Applying For EIN
Are you interested in obtaining your own Employer Identification Number? If you are, you should step back, analyze your situation and explore the process, as a whole. Although you can easily apply for EIN, getting approved is anything, but easy! With this in mind, you should know precisely what you need, where to start and how to fill out your application. Within this guide, you will be provided with in-depth information, which will help move you in the right direction.
Why You Need An EIN
First and foremost, you should take the time to explore the reasons for actually obtaining an EIN. Do you actually need one or would you benefit from obtaining one? If you own and operate a limited liability company, you should recognize that obtaining one of these numbers would be a requirement! If you’re self-employed, you may opt to obtain one, but it isn’t a necessity. Still, many self-employed individuals will find benefits from obtaining an EIN. These benefits will be listed below.
- You will be able to use the EIN instead of your SSN and this could keep your safe
- Once you’ve gotten your EIN, you will be able to use it to open a separate banking account for your company or self-employment income
- You can use the number to gain credit
Although some will be required to obtain this figure, others will do so, because it is beneficial in one way or another.
How To Move Forward
Once you’ve confirmed that you need to apply for EIN, you will need to know how to move forward. The good new is that applying for a number can be done online, through FAX or by snail mail. The process is a little complicated, but some individuals will still be able to proceed through it on their own. In order to apply online, your business needs to be located in the United States or within the country’s territories. You must also have a valid taxpayer identification number, which could be your social security number or individual taxpayer identification number.
In order to apply through fax or mail, you should first acquire the SS-4 form. It can easily be downloaded from the official website of the Internal Revenue Service. If you live outside of the United States, you can apply by telephone.
What You Need To Know
In order to properly apply for your Employer Identification Number, you will need to gain a bit of information. This includes information about yourself and your business. Some of the required information will be listed below for your consideration.
- Your reason for applying
- The type of business you operate
- Type of merchandise or service offered
- Number of employees expected within the next year
- Your specific type of entity, whether sole proprietor or partnership
Although this process might seem straightforward and uncomplicated, it can actually be very difficult to get approved. Many experts recommend enlisting the help of a third party, as a way to obtain your EIN. If you need assistance, you can rest assured knowing that there are groups out there willing to help!