When you apply for an Employer Identification Number (EIN) you should expect some red tape in the application process, which includes forms for an EIN, and other important information you should have ready before you apply.
EINs are used by the Internal Revenue Service (IRS) to track tax obligations of legal entities inside the US. Business owners use an EIN for various purposes, namely for reporting taxes on Individual Income Tax Return (1040 Forms), and in accordance with laws that require all corporations, partnerships, and any entity with employees, to apply for an EIN.
To get an EIN, you must file an SS4 form (Application for Employer Identification Number), and return it to the proper agency.
Form SS4 requires a few pieces of information that must be obtained before you apply for an EIN. You will need to have either a Social Security Number (SSN), or an Individual Taxpayer Identification Number (ITIN) to file an SS4 Form. Additionally, you will need to know what type of business entity you would like to start (i.e. sole proprietorships, Limited Liability Company, etc.) in order to complete the application process.
Once you have all the information you need to file an SS4 Form, you have a few choices regarding how you would like to apply for an EIN.
You can apply for an EIN by phone or by mail. Both of these methods can take up to two weeks to complete. You can also apply online, which is widely considered the easiest and fastest way to obtain an EIN.
If you apply for an EIN online, you’ll have your new EIN within 1-2 business days. In some cases, you may have your results within a few hours.
You can’t avoid all the red tape and forms for an EIN, but you can speed up the process by applying for an EIN online.