.svg)
Business Structures
.jpg)
In the event that you operate a firm in the US, you have probably heard of an Employer Identification Number (EIN). Known by its other name, Federal Tax Identification Number, this special nine-digit number is required for a variety of legal and financial activities, such as filing taxes and creating a company bank account. An employer identification number is a special identification number provided by the IRS to identify your company, similar to a social security number for people. While most people can remember their SSN, business owners occasionally forget their EIN. You're not alone! Company procedures including opening a bank account, applying for loans, and paying taxes need an EIN. Three methods cover all possible ways to discover your EIN if you don't have one. What if you lose or forget your EIN? Don't worry—this step-by-step tutorial will help you get your EIN and gather the data you need to run your business.
What is an EIN Number?
Before we go into where to get your EIN, let's cover the basics. An Employer Identification Number (EIN) is a nine-digit code used by the IRS to identify a specific business entity. This number serves the same purpose as a person's Social Security number but is assigned to a business. Your EIN is needed for a variety of federal tax processes, including as submitting tax forms, making tax payments, and revealing employee earnings.
Why Do You Need to Know Your EIN?
To apply for a business loan, receive a company license, open bank accounts, establish Stripe accounts, submit taxes, or open US PayPal accounts, business owners need an EIN. Once you get your EIN confirmation letter, save it with other crucial company paperwork and try to commit the EIN to memory. It's crucial to double-check and correct any inaccuracies if you have an erroneous EIN or an EIN error. Thankfully, there are easy methods to get the EIN if you need to know where it is.
Why Is Your EIN Vital Information?
Your EIN is important for a variety of reasons.
Fiscal Reports
To submit federal and state taxes, including employment and income taxes, you must have your EIN. You cannot fulfil your tax duties without it.
Employing Personnel
To appropriately report your workers' earnings and withhold taxes, you need to obtain an EIN if you recruit staff.
Creating an Account with a Business Bank
To create a business bank account and manage your accounts independently of your personal finances, the majority of banks demand an EIN.
Filing for Licences and Permits for Businesses
When submitting an application for a permit or licence, many local and state agencies demand an EIN.
Credit Request Forms
Lenders often seek your EIN for credit checks and assessments when you ask for business financing.
Declaring Bankruptcy for Business
Your EIN is required to file the related papers in the sad event of bankruptcy.
Maintaining Legal Compliance
Your EIN helps to making sure your company complies with federal tax laws.
How to Find Your EIN Number
Now that you are aware of how crucial your EIN is, let's examine the several ways to locate it. The procedure is determined by the state of your company and the data at your disposal.
Step 1: Verify Your EIN Verification Letter
Examining the confirmation letter you got from the IRS when you first applied for the number is the simplest method to locate your EIN. Usually, this letter arrives soon after your EIN is issued. If the hard copy is nowhere to be found, go through your emails or documents for a digital copy.
Here's how to use the confirmation letter to discover your EIN:
1. Find the letter confirming your EIN.
2. Read the mail and check for your EIN, which is mentioned in plain English.
3. Write down the EIN and save it somewhere secure in case you need it later.
Step 2: Examine Prior Tax Records
Don't panic if you can't locate your EIN validation letter. Your EIN is often located on a variety of business-related tax forms. The following are some typical papers that could include your EIN:
Former Tax Returns
Examine the prior years' federal tax returns. On the first page of the return, usually towards the top, your EIN should be included.
W-2 Documents
You must provide your workers a W-2 form that contains your EIN if you have any.
Form 1099
You will have given independent contractors 1099 forms, which contain your EIN, if you have paid them.
Payroll Documents
Your EIN may be included in your payroll records since it is used to report employee wages.
Bank Records
Some banks will include your EIN on the bank statements for your company.
Permits or Business Licences
Your EIN could appear on any paperwork you've submitted in order to get a business licence or other licences.
Apps for Credit or Loans
Frequently, the application form for company loans or credit includes the EIN if you've applied.
Check these papers to check whether you can easily find your EIN. For future reference, make sure you maintain an organised set of company records.
Step 3: Speak with the IRS
You may get help from the IRS if the techniques as mentioned above don't work for you in locating your EIN. This is how you do it:
1. Dial 1-800-829-4933 to reach the IRS Business & Specialty Tax Line. This queue is open from 7 a.m. to 7 p.m. local time, Monday through Friday.
2. Give the information needed to confirm your identity. If you are a single owner, you will also need to include your Social Security number and other identifying information, along with your entire legal company name.
3. An IRS agent will provide you your EIN over the phone after confirming your identification.
4. Write down your EIN and save it in a safe location.
Remember that calling the IRS may need some waiting, so exercise patience.
Step 4: Examine Your Company's Bank Records
Your EIN need to be associated with any company bank account you've created. Your bank statements or getting in touch with your bank directly will provide your EIN. This is how to locate it:
1. Get the most current bank statement for your firm.
2. Check the statement for your EIN. It's often seen at the document's top or bottom.
3. Ask for help from your bank's customer support if you can't locate it on the statement. Your EIN ought to be accessible to them.
Step 5: Consult a tax professional or accountant
Your EIN is probably on file with any accountants or tax professionals you deal with. Make contact with them and request your EIN. It could be easily accessible in their customer files.
Step 6: Go to the IRS Webpage
To find your EIN online, go to the IRS website if that's more your style. As follows:
1. Visit the www.irs.gov website of the IRS.
2. Type "EIN lookup" into the search field using the "Search" tool.
3. Select the appropriate search result, which often provides a link to the EIN Assistant application.
4. To locate your EIN, adhere to the on-screen directions. To confirm your identity, you will be asked to answer security questions and give personal information.
5. The website will show your EIN on the screen when it has been validated.
This approach is practical for those who would rather manage these issues online, but it may not be effective in every situation since it relies on the data you have already given the IRS.
Step 7: Consult your state's tax authority
It's possible that in certain circumstances, rather than the IRS, your state tax authority provided you with your EIN. If the IRS is unable to provide your EIN, get in touch with your state's tax authority or go to their website. They could be able to point you in the direction of the right resources or give you your EIN.
Step 8: Get EIN from Former Business Partners
In the past, your co-owners or company partners could have records. The EIN of you. Make contact with them and inquire whether they are able to supply you the EIN details. Make cautious to confirm the information's correctness since it can have changed if your company's ownership or structure has changed over time.
Step 9: Examine Your Credit Report for Businesses
Your EIN is also kept on file with business credit reporting bureaus. Companies such as Equifax, Experian, and Dun & Bradstreet provide copies of their corporate credit reports upon request. These reports, which may be an invaluable tool for company owners, can include your EIN.
Explore the pros and cons of starting a North Carolina LLC and using an NC registered agent on businessformation.io.
What to Do in the Event That Your EIN Is Lost
You could sometimes find it difficult to determine your EIN using the aforementioned techniques. If all else fails, you may take the following further actions:
Check IRS letter
Examine any recent IRS letter that you may have received. The IRS may reference your EIN in correspondence or notifications.
Pay a visit to your nearby IRS office
For help, you may go to your neighbourhood IRS office. Make sure you bring the necessary company documentation as well as your personal identity. Use the IRS Office Locator on the IRS website to find the IRS office that is closest to you.
Request a New EIN
You may apply for a new EIN if you can't find the old one. Remember that you should only do this as a last option since having many EINs for your company might cause issues and confusion. You may apply online or on paper for a new EIN by completing IRS Form SS-4. Make careful to mention that this is an existing business's new EIN.
Safeguarding Your EIN
Once your EIN has been properly obtained, you must protect it. Your EIN is private information that has to be handled carefully. The following advice may help you safeguard your EIN:
Keep Digital Copies
Create digital copies of all of your key papers, including your EIN confirmation letter, and keep them in a password-protected, safe place.
Make Use of a Strong Password
Use a secure, one-of-a-kind password for any internet accounts you use to access your EIN. You may want to think about using a password manager to protect your login information.
Access Limit
You should only divulge your EIN to those who are entitled to know it. Think carefully about who may access this data.
Watch Your company's Credit
Make sure there are no unauthorized accounts or activity linked to your EIN by routinely reviewing your company credit reports.
Update Your Records
To guarantee that you get crucial letters about your EIN, keep your contact details current with the IRS and other pertinent authorities.
Conclusion
One of the most important pieces of information for your company is your Employer Identification Number (EIN). Financial management, legal compliance, and tax reporting all depend on it. This step-by-step instruction will show you how to recover your EIN if you've lost it or forgotten it. Once you've located your EIN, remember to keep it safe and take precautions to safeguard the legal and financial interests of your company. As a precious asset, your EIN must be kept secure as part of ethical business management.
Resource
https://www.nerdwallet.com/article/small-business/business-tax-id-number
