A federal employer identification number, or EIN, is a nine-digit number the IRS assigns to businesses for tax filing and reporting purposes. However, most sole proprietors don’t need to obtain an EIN and can use their Social Security numbers instead.
What can someone do with your EIN number?
Once someone gets your EIN number, he can establish corporate credit card accounts, business banking accounts and even establish personal credit without your knowing it. The theft of your EIN can be combined with thieves accessing your mail.
Why would an employee need a EIN number?
You may need to obtain an EIN for a number of reasons, including business, estate, or trust banking, and hiring employees. Businesses also need EINs when they are required to file employment tax returns; excise tax returns; or alcohol, tobacco, and firearms returns.
How to get an EIN from outside the US?
To obtain an EIN as an international applicant, you must call the IRS at 267-941-1099 and press the appropriate number from the menu to receive a foreign EIN.
Who are the responsible parties for an EIN?
Responsible Parties All EIN applications (mail, fax, electronic) must disclose the name and Taxpayer Identification Number (SSN, ITIN, or EIN) of the true principal officer, general partner, grantor, owner or trustor.
Why do I need an EIN number for my business?
In the United States, every business is required to have an EIN. This unique number, which is issued by the federal government, is used by the IRS in order to quickly and easily identify each business for tax purposes.
Is there a limit to the number of eins you can apply for?
Daily Limitation of an Employer Identification Number Effective May 21, 2012, to ensure fair and equitable treatment for all taxpayers, the Internal Revenue Service will limit Employer Identification Number (EIN) issuance to one per responsible party per day. This limitation is applicable to all requests for EINs whether online or by fax or mail.
