EIN for Sole Proprietorship: When It’s Required and How to Apply

A sole proprietor can get an Employer Identification Number directly from the IRS for free, and the online application takes about ten minutes with the number issued on the final screen. You don’t technically need an EIN for a sole proprietorship if you have no employees and no other federal filing trigger, because the IRS lets you use your Social Security Number instead. Most sole proprietors get one anyway, since handing clients and vendors an EIN on a W-9 keeps your SSN off paperwork you don’t control.

When the IRS Requires One

A sole proprietor must get an EIN in a short list of situations. The most common is hiring employees, because you can’t file employment tax returns (Forms 940 and 941) or issue W-2s without one. Operating a Keogh retirement plan requires an EIN. So does filing federal excise tax returns.

Household employees count too. If you pay a nanny, housekeeper, or other household worker $3,000 or more in cash wages during 2026, you owe Social Security and Medicare taxes on those wages and need an EIN to report them.¹

Why Get One Even If You Don’t Have To

Banks routinely ask for an EIN before opening a business checking account. Clients who pay you more than $600 in a year need your taxpayer identification number to file a 1099-NEC, and giving them an EIN on your W-9 rather than your SSN reduces identity theft risk. Some state and local licensing offices also require an EIN on permit applications even when federal law doesn’t.

What To Have Ready Before You Apply

The IRS application asks for a “responsible party,” which for a sole proprietorship is you, the owner. The IRS defines this as the individual who ultimately controls the business and its assets.² You’ll need to provide your SSN or Individual Taxpayer Identification Number to verify your identity.³

Gather this before you start. The online application can’t be saved partway through and times out after 15 minutes of inactivity:⁴

Your legal name and SSN or ITIN, exactly as they appear on your Social Security card or ITIN letter.
Your business name, plus your trade name if you operate under a DBA.
The physical location of the business and a mailing address if different.
A brief description of what your business does, such as “freelance graphic design” or “residential plumbing.”
The date you started or acquired the business and your reason for applying, such as “Started New Business” or “Hired Employees.”

Select “Sole Proprietor” as the entity type on the application, even if you operate under a DBA name. A DBA doesn’t change your legal structure. If you’ve already formed an LLC through your state, that’s a different entity type, and the IRS expects you to form the entity with your state before applying for its EIN.⁴

How To Apply

Online

The IRS online EIN application is the fastest route for anyone with a U.S. address. You answer a series of questions, and if the application validates successfully, you receive your EIN immediately on the final confirmation screen. Print that confirmation page right away; it serves as your initial proof of the assigned number.

The online tool is available Monday through Friday from 6:00 a.m. to 1:00 a.m. Eastern Time, Saturdays from 6:00 a.m. to 9:00 p.m., and Sundays from 6:00 p.m. to midnight.⁴ The system limits you to one EIN per responsible party per day.²

The process is free. The IRS warns specifically about third-party websites that charge fees for EIN applications; there is no reason to pay anyone for this.⁴

Fax, Mail, or Phone

If you don’t have a principal place of business in the United States, or you simply can’t use the online system, submit Form SS-4 by fax or mail. Faxed applications are processed within about four business days. Mailed applications can take four to five weeks.²

International applicants outside the United States can also apply by calling the IRS at 267-941-1000 during business hours. Representatives on that line can process EIN applications over the phone.

However you apply, the IRS mails an official confirmation called the CP 575 Notice within four to six weeks of approval. That letter is your permanent proof the EIN was assigned to your business. Banks, licensing agencies, and payroll providers frequently ask to see it, so store it with your other tax records.

Where Your EIN Goes

Once you have the number, it goes everywhere your SSN used to go in a business context. Enter it on Schedule C when you file your annual Form 1040, on W-9 forms you provide to clients, and on any employment or excise tax returns you file. Your bank will need it to open a dedicated business account.

Your EIN doesn’t expire. It stays with you even if you change your business name, move to a new address, or open additional business locations.⁵

When You’d Need a New One

A sole proprietor needs a brand-new EIN when the business structure itself changes. Incorporating, forming a partnership, or declaring bankruptcy each requires a fresh number.⁶

Single-member LLCs catch people off guard. If you form an LLC but the IRS still treats it as a disregarded entity (meaning you report income on your personal Schedule C), you generally don’t need a separate EIN for the LLC; your existing sole proprietor EIN or SSN works. The moment that LLC has employees or owes excise tax, though, it needs its own EIN.7

Changing your business name, changing your address, or owning multiple businesses doesn’t require a new EIN. Those are administrative updates, not structural changes.⁵

Finding a Lost EIN

Misplacing an EIN is common and straightforward to fix. Check your CP 575 confirmation notice first, then prior business tax returns, the bank where your business account is held, or any state or local agency where you’ve applied for licenses.⁸

If none of those turn it up, call the IRS Business and Specialty Tax Line at 800-829-4933, Monday through Friday from 7:00 a.m. to 7:00 p.m. local time. They’ll verify your identity and read the number back to you over the phone.⁸

1
Internal Revenue Service. 2026 Publication 926 – Household Employer’s Tax Guide
2
Internal Revenue Service. Instructions for Form SS-4 – Application for Employer Identification Number
3
Internal Revenue Service. Responsible Parties and Nominees
4
Internal Revenue Service. Get an Employer Identification Number
5
Internal Revenue Service. When to Get a New EIN
6
Internal Revenue Service. When to Get a New EIN
7
Internal Revenue Service. Single Member Limited Liability Companies
8
Internal Revenue Service. Employer Identification Number