Table of Contents
What Is an EIN?
An EIN (Employer Identification Number) is a unique 9-digit number the IRS assigns to businesses for tax purposes. It’s also called:
Federal Tax ID Number
Federal Employer Identification Number
Business Tax ID
Format: XX-XXXXXXX (e.g., 12-3456789)
Who Needs an EIN?
You Must Get an EIN If You:
Situation
EIN Required
Have employees
Yes
Operate as a corporation or partnership
Yes
File employment, excise, or alcohol/tobacco/firearms returns
Yes
Withhold taxes on income paid to non-resident aliens
Yes
Have a Keogh plan
Yes
Are involved with trusts, estates, non-profits, or farmers’ cooperatives
Yes
You Should Get an EIN If You:
Situation
Why Get One
Sole proprietor with no employees
Protects your SSN
Single-member LLC
Required by most banks
Opening business bank account
Banks often require it
Applying for business credit
Builds business credit history
Working with vendors
More professional
EIN vs SSN vs ITIN
Number
What It’s For
Who Uses It
SSN
Social Security Number for individuals
U.S. citizens and residents
EIN
Business identification
Businesses, entities
ITIN
Individual Taxpayer ID
Individuals without SSN
When to Use Each
Purpose
EIN
SSN
Business tax returns
✓
—
Hire employees
✓
—
Open business bank account
✓
Sometimes
Apply for business credit
✓
—
Personal tax returns
—
✓
W-9 as sole proprietor
Either
Either
How to Get an EIN (Free)
Online Application (Recommended)
Step
Action
1
Go to IRS.gov/EIN
2
Select entity type (LLC, corporation, sole proprietor, etc.)
3
Provide responsible party information
4
Complete application questions
5
Receive EIN immediately upon completion
Available: Monday-Friday, 7 AM - 10 PM Eastern
Application Requirements
Information Needed
Details
Legal name
Exactly as registered
Trade name (DBA)
If different from legal name
Responsible party
Owner, officer, or authorized person
SSN or ITIN
Of responsible party
Business address
Physical U.S. address
Entity type
LLC, corporation, partnership, etc.
Reason for applying
Starting business, hiring, etc.
Other Ways to Apply
By Phone
Detail
Information
Number
267-941-1099 (not toll-free)
Hours
7 AM - 10 PM Eastern, Mon-Fri
Best for
International applicants
Receive EIN
During call
By Mail or Fax
Method
Where to Send
Processing Time
Mail
IRS, Attn: EIN Operation, Cincinnati, OH 45999
4-5 weeks
Fax
855-641-6935
4 business days
Form required
SS-4
EIN Application Timeline
Method
Time to Receive EIN
Online
Immediately
Phone
During call
Fax
4 business days
Mail
4-5 weeks
What to Do After Getting Your EIN
Action
Purpose
Save confirmation letter
Official IRS record
Store EIN securely
Protect from identity theft
Notify state tax agency
Register for state taxes if needed
Open business bank account
Separate business/personal finances
Banking Requirements
To Open Business Account
Typically Need
EIN confirmation letter
From IRS (CP 575)
Business formation docs
Articles of incorporation/organization
Operating agreement
For LLCs
Photo ID
Of account signers
Using Your EIN
Common Uses
Use Case
How EIN Is Used
File business taxes
Forms 1120, 1065, Schedule C
Pay employees
Form 941, W-2s
Report independent contractors
Form 1099-NEC
Open business credit card
Required on application
Apply for business loan
Required for lending
Work with vendors
Provide on W-9
Business licenses
Often required by city/state
Form
Purpose
Form 941
Quarterly payroll taxes
Form 940
Annual federal unemployment
Form 1120
Corporate income tax
Form 1065
Partnership return
Form 1099-NEC/MISC
Contractor payments
W-2
Employee wage reporting
Lost or Forgot Your EIN?
How to Find Your EIN
Method
Details
Original confirmation
CP 575 letter from IRS
Previous tax returns
Listed on all business returns
Bank account documents
Bank required it to open account
Call IRS
800-829-4933 (authorized person only)
State filings
May be on state business records
Getting EIN Confirmation
Need
Action
Replacement letter
Request from IRS by mail or fax
Verify EIN
IRS representative can confirm by phone
Expedited
Not available from IRS
EIN Changes and Updates
When You Need a New EIN
Change
New EIN Needed?
Change business name
No
Change business address
No
Add/change owners
Usually no
Change from sole proprietor to LLC
Yes
LLC becomes corporation
Yes
Corporation becomes LLC
Yes
New owner buys business
Yes
Partnership ownership changes 50%+
Sometimes
Update
How to Make Change
Business name
Send letter to IRS + Form 8822-B
Business address
Form 8822-B
Responsible party
Form 8822-B
Close business
Send final return + letter to IRS
EIN Scams to Avoid
Red Flags
Scam Type
Warning Signs
Paid EIN services
IRS does not charge — it’s free
Fake IRS websites
Always use IRS.gov
EIN brokers
No need for third parties
Rush fees
IRS issues online immediately
Protect Your EIN
Action
Why
Never share unnecessarily
Prevents fraud
Verify requests
Confirm identity of requesters
Monitor business credit
Check for unauthorized accounts
File taxes timely
Prevents fraudulent returns
State Business Registration
After Getting Federal EIN
State Requirement
Purpose
Where to Register
State tax ID
State income/sales tax
Secretary of State or Dept of Revenue
Sales tax permit
If selling goods
State Dept of Revenue
Business license
Local operating license
City/county government
Employer registration
If hiring in state
State labor department
EIN for Different Entity Types
Sole Proprietor
Aspect
Details
EIN required?
No (can use SSN)
Recommended?
Yes (protects SSN, business banking)
How to get
Apply online, select “sole proprietor”
LLC (Single-Member)
Aspect
Details
EIN required?
No (unless employees)
Recommended?
Yes (banks require it)
How to get
Apply online, select “LLC”
LLC (Multi-Member)
Aspect
Details
EIN required?
Yes
How to get
Apply online, list managing member
Corporation
Aspect
Details
EIN required?
Yes
How to get
Apply online, list officer
Non-Profit
Aspect
Details
EIN required?
Yes
Additional step
File Form 1023/1023-EZ for 501(c)(3) status
Frequently Asked Questions
How long is an EIN valid?
An EIN never expires. Once issued, it’s permanently assigned to that business entity.
Can one person have multiple EINs?
Yes. Each business entity gets its own EIN. A person can own multiple businesses, each with separate EINs.
Can I apply for an EIN if I’m not a U.S. citizen?
Yes. Apply by phone at 267-941-1099. You’ll need either an SSN, ITIN, or EIN of the responsible party.
How much does an EIN cost?
$0 — EINs are free from the IRS. Never pay a third-party service.
Bottom Line
An EIN is your business’s tax ID number — free and easy to get:
Apply online at IRS.gov/EIN (takes 10-15 minutes)Receive EIN immediately upon completing online applicationStore securely — you’ll need it for banking, taxes, and hiringNever pay — IRS issues EINs free of charge
Even if not required: Get an EIN to protect your SSN, open business accounts, and build business credit.
Related: 1099 Tax Guide | How Bonuses Are Taxed | Self-Employment Tax | Tax Brackets
Sources
Internal Revenue Service. “Tax Information for Individuals.” irs.gov
Social Security Administration. “Benefits and Eligibility Information.” ssa.gov/benefits
Written by
WealthVieu
WealthVieu researches and writes data-driven personal finance guides using primary sources including the IRS, Bureau of Labor Statistics, Federal Reserve, and Census Bureau.
The content on Wealthvieu is for informational purposes only and should not be considered financial, tax, or investment advice. Consult a qualified professional before making financial decisions. Full disclaimer · Editorial policy
