What's a employer identification number : The Essential Guide to Understanding and Using

To obtain an Employer Identification Number (EIN) for your business, you can follow these steps:
1. Determine if you need an EIN: Generally, businesses are required to have an EIN if they have employees, operate as a partnership or corporation, file employment taxes, or withhold taxes on income (such as for a household employee). If you\'re unsure if you need an EIN, you can check the IRS website or consult with a tax professional.
2. Prepare the necessary information: Before applying for an EIN, gather the required information. This usually includes the legal name and structure of your business, the mailing address, the responsible party\'s name and Social Security Number (SSN), and the reason for applying.
3. Choose your application method: You can obtain an EIN through various methods. The most common options are online, by mail, or by fax. Online application is often the quickest and most convenient method.
4. Apply online: To apply for an EIN online, visit the IRS website and access the EIN Assistant. Complete the online application form by providing accurate and detailed information about your business. Double-check all the details before submission to ensure accuracy.
5. Apply by mail or fax: If you prefer applying by mail or fax, you can download Form SS-4 from the IRS website. Complete the form with the necessary information and send it to the designated address or fax number as provided on the form.
6. Waiting for approval: Depending on the application method, the processing time for your EIN can vary. Online applications are typically processed immediately, and you will receive your EIN instantly upon completion. If you applied by mail or fax, it may take several weeks to receive your EIN.
7. Record and use your EIN: Once you receive your EIN, be sure to record it in a safe and easily accessible place. You will need this number for various tax-related purposes, such as filing returns, opening bank accounts, or hiring employees.
It\'s important to note that the specific process and requirements may vary slightly depending on your country and jurisdiction. For the most accurate and up-to-date information, consult the IRS website or seek guidance from a qualified tax professional.

An Employer Identification Number (EIN) is a unique nine-digit number assigned by the Internal Revenue Service (IRS) to identify businesses for tax purposes. It is also known as a Federal Tax Identification Number. Here is a step-by-step explanation of what an EIN is:
1. Purpose: An EIN is used to identify business entities for tax purposes. It is similar to a Social Security number for individuals but is specifically for businesses.
2. Application: To obtain an EIN, a business owner must apply with the IRS. This can be done online, by mail, fax, or telephone. The most convenient and quickest way is to apply online through the IRS website.
3. Requirements: The person applying for the EIN must have a valid Taxpayer Identification Number (TIN), which can be a Social Security Number (SSN), Individual Taxpayer Identification Number (ITIN), or another EIN if the applicant is an existing business applying for a new EIN.
4. Responsible Party: The responsible party is the person or entity who controls, manages, or directs the business or organization. The IRS requires the responsible party\'s name and Social Security number or other TIN when applying for an EIN.
5. Unique Identifier: Once approved, the EIN becomes the unique identifier for the business. It is used for various tax-related activities, such as filing returns, making payments, hiring employees, and opening business bank accounts.
6. Usage: An EIN is essential for businesses that need to file tax returns, pay employment taxes, and engage in certain financial transactions. It is required for partnerships, corporations, LLCs, sole proprietorships with employees, and other entities involved in business activities.
7. Non-profit Organizations: Non-profit organizations and certain other exempt entities are also required to obtain an EIN. These include charities, religious organizations, and educational institutions.
It is important to note that an EIN is not used for personal tax identification or for individuals who are self-employed without employees. It is solely for the identification of business entities.
Overall, an EIN is a crucial identification number that helps the IRS and other government agencies track and monitor businesses for tax compliance purposes. It is an essential requirement for businesses to fulfill their tax obligations and properly manage their financial activities.

An Employer Identification Number (EIN) is a unique nine-digit number assigned to businesses by the Internal Revenue Service (IRS) in the United States. It is also known as a Federal Tax Identification Number. The main purpose of an EIN is to identify a business entity for tax filing purposes.
Here are the main differences between an EIN and a Social Security Number (SSN):
1. Purpose: EIN is used to identify businesses, while SSN is issued to individuals for various purposes, including identification for taxation and social security benefits.
2. Issuing Authority: EINs are issued by the IRS specifically for businesses, whereas SSNs are issued by the Social Security Administration to individuals.
3. Format: EINs are nine-digit numbers in the format of XX-XXXXXXX, while SSNs are nine-digit numbers in the format of XXX-XX-XXXX.
4. Usage: EINs are used primarily for business-related activities, such as filing tax returns, opening business bank accounts, and hiring employees. On the other hand, SSNs are used for personal identification, such as obtaining government benefits, opening personal bank accounts, and filing personal tax returns.
5. Individuals vs. Businesses: SSNs are assigned to individuals, including citizens, non-citizen residents, and non-resident aliens who are authorized to work in the United States. EINs, however, are assigned only to businesses, including corporations, partnerships, sole proprietors, and nonprofit organizations.
In summary, while both an EIN and SSN are identification numbers, they serve different purposes. An EIN is used for business-related activities, whereas an SSN is used for personal identification and tax purposes for individuals.

It is important for a business to have an Employer Identification Number (EIN) for several reasons:
1. Legal Requirement: In the United States, any business entity that hires employees, operates as a partnership or corporation, or withholds taxes on income, is typically required by the Internal Revenue Service (IRS) to have an EIN. It is a legal obligation for such businesses to apply for and obtain an EIN.
2. Tax Purposes: The EIN serves as a unique identifier for the business when it comes to tax matters. It is used by the IRS to track and identify businesses, their tax obligations, and payments. Businesses need an EIN to file tax returns, pay federal taxes, and accurately report their financial activities to the government.
3. Hiring Employees: If a business plans to hire employees, an EIN is necessary. It is required for reporting employment taxes, social security taxes, and Medicare taxes withheld from employees\' wages. Moreover, an EIN is needed for issuing W-2 forms to employees at the end of the year.
4. Opening Business Bank Accounts: Most financial institutions require a valid EIN in order to open a business bank account. Separating personal and business finances is crucial for maintaining accurate accounting records. An EIN allows businesses to establish their own bank accounts under the business name, making financial management more organized and professional.
5. Establishing Business Credit: Having an EIN is often a prerequisite for building business credit. It enables a business to apply for business loans, credit cards, and other forms of financing that can help with business growth and expansion.
6. Business Identity: An EIN helps establish a clear identity for a business. It distinguishes the business from its owners and allows it to be recognized as a separate entity. This is especially important for partnerships and corporations that have separate legal and financial responsibilities.
Overall, obtaining an EIN is crucial for legal compliance, tax reporting, payroll management, financial institution interactions, and establishing a distinct business identity. It is an essential step for any business that wants to operate legitimately and responsibly.

To obtain an Employer Identification Number (EIN) for your business, you can follow these steps:
1. Determine if you need an EIN: EINs are primarily used to identify businesses for tax purposes. If your business has employees, operates as a partnership or corporation, or files certain types of tax returns, you will likely need an EIN. If you\'re unsure, you can consult the IRS website or seek advice from a tax professional.
2. Visit the IRS website: Go to the IRS website (www.irs.gov) and search for \"EIN Application\" or \"Apply for an EIN.\" You can access the online application through the IRS website.
3. Choose the appropriate application form: In most cases, you will use Form SS-4, which is the Application for Employer Identification Number. Make sure you have all necessary information ready, such as your business\'s legal name, structure (sole proprietorship, partnership, corporation, etc.), and the reason for applying.
4. Complete the online application: Fill out the required fields on the online application form. These typically include personal information, business details, and the reason for applying. Double-check all the information to ensure accuracy, as errors may delay the process.
5. Submit the application: Once you have completed the application, review it thoroughly and click \"Submit\" or similar options on the website to send it to the IRS. If there are any errors or missing information, you may be prompted to correct it before submission.
6. Obtain your EIN: After successfully submitting the application, the IRS will provide you with your EIN immediately. You can either print the confirmation or save it electronically for your records. The EIN is now valid and can be used for various business purposes.
It\'s worth noting that if you prefer to apply via mail or fax, you can download Form SS-4 from the IRS website, fill it out manually, and send it to the designated address or fax number mentioned on the form.
Remember, always consult official government websites or seek advice from professionals to ensure accurate and up-to-date information for obtaining an EIN.

Yes, an Employer Identification Number (EIN) is required for all types of businesses, with a few exceptions. An EIN is a unique identifier assigned by the Internal Revenue Service (IRS) to business entities operating in the United States. It is used for tax purposes and is often referred to as a Federal Tax Identification Number.
Here are the steps to obtaining an EIN:
1. Determine if you need an EIN: Most businesses require an EIN if they have employees, operate as a corporation or partnership, or file certain tax returns, such as employment, excise, or alcohol, tobacco, and firearms taxes. However, some sole proprietors may be able to use their Social Security Number (SSN) in place of an EIN if they meet certain criteria.
2. Verify your eligibility: Generally, you need to have a valid taxpayer identification number, such as an SSN, Individual Taxpayer Identification Number (ITIN), or EIN, to apply for an EIN. Only one EIN can be issued per responsible party per day.
3. Choose your application method: There are several ways to apply for an EIN. The most common methods are applying online through the IRS website, faxing or mailing Form SS-4 (Application for Employer Identification Number), or applying by phone.
4. Gather necessary information: Before applying for an EIN, you will need to provide certain information about your business, such as its legal name, mailing address, type of entity (e.g., corporation, partnership, sole proprietorship), date of formation, number of employees, and principal activity.
5. Fill out the application: If applying online, you will need to visit the IRS website and complete the online application form. If applying by fax, mail, or phone, you can fill out Form SS-4 and submit it accordingly. Make sure to double-check all the information before submitting.
6. Understand the IRS processing time: The IRS typically issues EINs immediately for online applications. For applications submitted by fax, you can expect to receive an EIN within four business days. Mailed applications might take a few weeks for processing. Phone applications used to be an option but have been phased out and are no longer available.
7. Use and maintain your EIN: Once you receive your EIN, it is important to keep it safe and use it for all tax-related matters, such as filing returns, making payments, and corresponding with the IRS. Additionally, notify the IRS if there are any changes in your business, such as a change in address or ownership.
Remember, it\'s always a good idea to consult with a tax professional or the IRS directly to ensure you have the most accurate and up-to-date information regarding your specific business circumstances.

Yes, an individual can apply for an Employer Identification Number (EIN), not just businesses. In fact, the third search result you mentioned states that \"The person applying online must have a valid Taxpayer Identification Number (SSN, ITIN, EIN).\" This means that an individual can apply for an EIN if they have a valid Social Security Number (SSN), an Individual Taxpayer Identification Number (ITIN), or another EIN.
To apply for an EIN as an individual, you can follow these steps:
1. Determine your eligibility: Make sure you have a valid SSN, ITIN, or EIN before applying for an EIN as an individual.
2. Go to the official website: Visit the official website of the Internal Revenue Service (IRS), which is www.irs.gov.
3. Search for the EIN application form: On the IRS website, search for the application form called \"Form SS-4: Application for Employer Identification Number.\"
4. Access the application form: Once you find the form, click on it to access the PDF version of the form.
5. Fill out the application form: Fill out the form with accurate and complete information. Include your personal details as an individual applying for an EIN.
6. Submit the application: Once you have filled out the form, submit it to the IRS according to the instructions provided on the form or the IRS website. You may have the option to submit it online, by mail, or by fax.
7. Wait for the EIN: After submitting the application, you will need to wait for the IRS to process your request and assign you an EIN. This usually takes a few weeks, but you can check the status of your application on the IRS website.
Remember, an EIN is primarily used for tax purposes, so individuals who need to use an EIN for certain activities, such as opening a solo business or managing rental properties, can apply for one.

An Employer Identification Number (EIN) is a unique identifier assigned to a business entity by the Internal Revenue Service (IRS) in the United States. It is also referred to as a Federal Tax Identification Number. The EIN is used for various purposes and here are some common uses of an EIN:
1. Tax Purposes: One of the primary uses of an EIN is for tax-related purposes. Businesses use the EIN to identify themselves when filing tax returns, paying taxes, and communicating with the IRS. It is a necessary requirement for businesses to have an EIN if they have employees, operate as a partnership or corporation, or withhold taxes on income.
2. Opening Business Bank Accounts: Banks typically require businesses to have an EIN in order to open a business bank account. The EIN helps identify the business and ensures that the bank has accurate information for tax reporting.
3. Hiring Employees: When a business hires employees, it needs an EIN to report employment taxes, such as Social Security, Medicare, and federal income tax withholding. The EIN is used to identify the employer and track taxes paid on behalf of employees.
4. Forming a Corporation or Partnership: When forming a corporation or partnership, an EIN is necessary to establish the legal entity for tax and reporting purposes. It helps in separating the business\'s tax liability from the personal tax liability of the owners.
5. Obtaining Business Licenses and Permits: Many state and local governments require businesses to have an EIN when applying for various licenses and permits. This ensures tracking and reporting of business activities for regulatory compliance.
6. Applying for Business Credit: To establish business credit, an EIN is often required by lenders and credit institutions when applying for loans, lines of credit, or business credit cards. The EIN helps track the credit history and financial activities of the business.
It is important for businesses to obtain an EIN to ensure compliance with tax regulations, facilitate financial transactions, and establish their legal identity. Applying for an EIN can be done online through the IRS website, by mail, or by fax.

Yes, there are some exceptions and special cases regarding Employer Identification Number (EIN) requirements. Here are a few examples:
1. Sole Proprietorships with no employees: If you are a sole proprietor with no employees and you don\'t plan on hiring employees in the future, you may not be required to obtain an EIN. In this case, you can use your Social Security Number (SSN) for tax purposes instead.
2. Single-member LLCs: A single-member Limited Liability Company (LLC) is generally treated as a disregarded entity for tax purposes. If you are the sole owner of an LLC and you don\'t have any employees, you can choose to use your SSN instead of obtaining an EIN. However, if you later hire employees or add members to your LLC, you would need to obtain an EIN.
3. Non-profit organizations: Non-profit organizations, such as charities and religious institutions, are required to obtain an EIN even if they don\'t have any employees. This is because the EIN is used for tax-exempt purposes and reporting.
4. Trusts and estates: Trusts and estates are also required to obtain an EIN. This is necessary for tax reporting purposes, as the EIN is used to identify the trust or estate when filing tax returns.
It\'s important to note that these exceptions and special cases may vary depending on the jurisdiction. It\'s always advisable to consult with a tax professional or the relevant government agency to determine the specific EIN requirements for your particular situation.

According to the information available from the search results and my knowledge, an Employer Identification Number (EIN) cannot be transferred or reassigned if a business changes its structure or ownership.
When a business goes through changes, such as a change in ownership or a change in legal structure, it is typically required to obtain a new EIN. This is because an EIN is tied specifically to the business entity for which it was originally issued.
If a business undergoes a change in ownership, for example, where one person or group of individuals acquires the business from another, the new owners will usually need to apply for a new EIN for the business. The old EIN associated with the previous owners will not be valid for the new entity.
Similarly, if a business changes its legal structure, such as switching from a sole proprietorship to a corporation, it will typically need to apply for a new EIN. Each legal structure is considered a separate entity in the eyes of the Internal Revenue Service (IRS), and therefore, a new EIN is usually required.
It\'s important for businesses to ensure they have the correct EIN for their current structure and ownership, as this number is used for various tax and identification purposes. Failing to obtain a new EIN when necessary can result in complications with the IRS and other government agencies.
Therefore, to answer your question directly, an EIN cannot be reassigned or transferred if a business changes its structure or ownership. The business entity will need to apply for a new EIN to ensure compliance with IRS regulations and accurate identification for tax purposes.