Running a small business is stressful enough, trying to get clients to buy your services or products, running a team and doing your best to stay afloat.
Doing business also means staying on top of your paperwork and making sure all your reporting to the IRS is accurate.
This is where an EIN number comes in handy.
An Employer ID Number is an identifier used by the IRS to manage relations with businesses. Even if the name implies having employees, you’ll need an EIN, even if you are the only one who is working for the business.
The IRS isn’t the only one requiring an EIN, banks also need this for your business checking account. Let’s say it’s some sort of a SSN for your business. Just like you have a social security number, as a person in the US, your business has one, too.
Even if most use it as an employment tax identification number, it can be used as a general tax number.
When using IRS-EIN-Tax-ID.com., the entire process is made easier for you, removing any unnecessary moves. They break applying for an EIN number down into three simple steps.
This cuts down on the time it would take to fill out an application through the IRS and it keeps you from dealing with unneeded stress. The simple steps they have broken the application into are:
- Choose your business entity
- Enter all the correct information
- Review your application and submit
If you do not know what your entity is, they can assist you in finding which one you should file under. There are several different types depending on your business and they can include:
- Sole Proprietor/individual
- Limited Liability Company
- Trust Estate of Deceased Individual
- Corporation, S-Corporation, and Personal Service Corporation
- Church Controlled Organization
For example, when applying for an estate tax id, you would make sure that was your correct identity type and you would then select it to begin imputing information.
If you are unsure if you need an employer identification number or a tax identification number, you should be aware of the different reasons one might need one.
- Have you recently started or own a business?
- Are seeking employees or already hired?
- Have you opened a bank account that requires one?
- Do you want to open up a credit line for your business?
- Have you recently changed ownership of your business?
- Have you created a pension plan, trust, corporation, or partnership?
- Do you represent an estate of a deceased individual?
If you answered yes to any of these questions, then you qualify for an EIN number. Remember, the easiest way to apply is the IRS-EIN-Tax-ID website.