Once you’ve obtained your tax ID online, you can begin using it immediately to open bank accounts and apply for local licenses or permits. But what happens if someone claims your federal tax ID isn’t valid?
First, make sure that the number was written down correctly. Tax IDs, also called Employer Identification Numbers or EINs, are nine-digit numbers that can easily be copied incorrectly. If the numbers were accidentally transcribed or copied incorrectly, someone might claim that they are invalid. Always check the number for accuracy.
Limitations on Immediate Use
Although you can use your tax ID number immediately after receiving it to open bank accounts or apply for permits, you are not eligible to file a tax return or make tax payments using your new tax ID.
The Internal Revenue Service (IRS) has an approximate window of two weeks following your application processing to send you final documentation in the mail. During this time the IRS also files your documentation into its permanent records. Until you receive the final documentation in the mail, you will not be able to file a tax return, make tax payments, or pass matching programs at some banks or credit offices. This could be cause for someone to claim your federal tax ID isn’t valid, and the best thing to do is wait for final documentation to arrive.
Applying for Tax ID Online
A federal EIN application is a simple process that takes a few minutes to complete online. If you’re in a hurry and need your tax ID as soon as possible, online applications are processed within 24 hours, and you can check the status of your order at any time.
If you receive final documentation from the IRS and are still having problems with your tax ID or EIN, please contact us directly.