How to Get a Tax ID Number for Your Business

To get a federal tax ID number for your business, apply for an Employer Identification Number (EIN) directly with the IRS. It’s free, and the online application issues your number on the spot. Most businesses need one; a sole proprietor with no employees and no excise tax filings is the main exception and can use a Social Security Number instead.

Do You Actually Need an EIN

The IRS requires an EIN if you operate as a corporation, partnership, or multi-member LLC; if you have employees; if you file excise taxes; if you manage certain trusts, estates, or retirement plans; or if you run a tax-exempt organization.1Internal Revenue Service. Employer Identification Number

A sole proprietor with no employees who doesn’t file excise returns can use a personal SSN for federal filings. The same goes for a single-member LLC the IRS treats as a disregarded entity. Even so, many solo operators apply anyway to keep their SSN off every W-9 and vendor form, and to open a business bank account.1Internal Revenue Service. Employer Identification Number

What to Have Ready Before You Apply

The IRS online session will time out if you stall, so pull everything together first:

  • Entity type: corporation, partnership, LLC, sole proprietorship, estate, trust, or nonprofit.
  • Legal name and mailing address as registered with your state, plus any trade name or DBA.
  • Responsible party. This has to be a real person who controls the entity’s funds and assets, not another business. You’ll need their full name, title, and SSN or Individual Taxpayer Identification Number (ITIN).2Internal Revenue Service. Responsible Parties and Nominees
  • Reason for applying: new business, hiring employees, banking, or another qualifying purpose.
  • Principal business activity, such as retail, construction, or consulting.
  • Date the business started or acquired its assets.
  • Highest number of employees you expect in the next 12 months.

How to Apply

The IRS offers four application channels. Online is dramatically faster than the others, and there’s no fee for any of them.

Apply Online

Use the EIN application on irs.gov. You’ll answer questions about your entity, responsible party, and business details, and the system issues your EIN immediately. You can download or print the confirmation notice right away. The online system is available Monday through Friday, 7 a.m. to 10 p.m. Eastern Time.3Internal Revenue Service. Get an Employer Identification Number

One rule catches people setting up more than one entity: the IRS allows only one EIN per responsible party per day. Spread multiple applications across several days.4Internal Revenue Service. Understanding Your EIN

Apply by Fax

Complete Form SS-4 and fax it to the IRS. For businesses in the 50 states or D.C., the number is 855-641-6935. You’ll typically get your EIN back by fax within four business days.5Internal Revenue Service. Instructions for Form SS-4

Apply by Mail

Mail the completed SS-4 to Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999. Processing takes roughly four to five weeks.5Internal Revenue Service. Instructions for Form SS-4

Apply by Phone (International Applicants Only)

If your principal place of business is outside the United States and you can’t use the online system, call 267-941-1099 Monday through Friday, 6 a.m. to 11 p.m. Eastern Time.1Internal Revenue Service. Employer Identification Number

If a Return Is Due Before Your EIN Arrives

If you have a tax return or deposit due while your application is still processing, write “Applied For” and the date you applied in the EIN space on the form. Do not substitute your SSN in the EIN field on a business return.5Internal Revenue Service. Instructions for Form SS-4

When You’ll Need a New EIN Later

Your EIN stays with the entity it was issued to, but certain structural changes mean you have to apply for a new one rather than updating the old:

  • A sole proprietor incorporates, forms a partnership, or declares bankruptcy.
  • A corporation receives a new charter from the secretary of state, converts to a partnership or sole proprietorship, or creates a subsidiary.
  • A partnership incorporates, dissolves to a sole proprietorship, or ends and a new partnership begins.
  • An LLC terminates and reforms as a corporation or partnership, or a single-member LLC starts filing employment or excise taxes.

Routine changes such as a new business name, new address, or new responsible party do not require a new EIN. Report address or responsible-party changes on Form 8822-B instead; changes to the responsible party must be reported within 60 days.6Internal Revenue Service. When to Get a New EIN7Internal Revenue Service. About Form 8822-B, Change of Address or Responsible Party – Business

A Federal EIN Doesn’t Cover State Taxes

Most states that impose income tax, sales tax, or employer withholding require a separate state tax ID number. Whether you need one depends on the taxes your state collects and the nature of your business. A retail shop collecting sales tax, for example, typically needs a state seller’s permit on top of the federal EIN. Registration steps and fees vary by state, so check your state revenue or taxation department. The SBA at sba.gov keeps a directory of state registration resources.