As a limited liability company (LLC), you want to be sure you are in line with the IRS expectations from day one. Before you have any customers or bring in any revenue, comply with the IRS for easy tax filing down the line.
Steps to Applying for Tax ID (EIN) Number for an LLC
- Prepare Mandatory Business Information
- Apply for an LLC Tax ID (EIN) Number Online
- Apply for an (EIN) Number via Mail or Fax
- How Do I Obtain a Tax ID (EIN) Number for my Limited Liability Company?
- How Long Does it Take to Obtain a Tax ID (EIN) Number for my LLC?
- Why Do I Need a Tax ID (EIN) Number for my Limited Liability Company?
When you go down the path of obtaining a Tax ID (EIN) Number, you need to begin by gathering all of the information you require. The mandatory business information to obtain a Tax ID (EIN) Number for your LLC is integral whether you are applying for the identifier online, through the mail, or via fax. You want to gather up all of the information before you begin the application process to help you avoid having to start and stop.
The mandatory business information will begin with you figuring out and naming the responsible party. The responsible party is the individual with the ability to control and manage all of the assets of the organization. The responsible party needs to be an individual and cannot be an entity. The individual also needs to have a Social Security Number or ITIN. If the individual lacks these, he or she is not eligible to be the responsible party.
You also need information pertaining to the industry of the LLC, the principal address as well. When you get all of the data together, have it in a place where it is readily available so you can easily fill in all of the required fields in an efficient manner.
When you are in need of a Tax ID (EIN) Number for your LLC, the best course of action is usually going to be the online application process. The Internal Revenue Service makes changes routinely and one of those changes was the addition of an online application option for a Tax ID (EIN) Number.
The online application will replicate the more standard paper-based application you complete via mail or fax. When you apply online, all you really need is a device with an internet connection. You can do the online application with a desktop, laptop, or another similar type of device. You may even be able to use your mobile device to do the application.
The online application requires you to input all of the mandatory business information. Once the information entered is complete you will be doing a submission to the Internal Revenue Service. Once they do the validation, they will return to you the complete and unique nine-digit Tax ID (EIN) Number for the LLC.
An LLC has options when it comes to applying for and obtaining a complete Tax ID (EIN) Number. You can apply with both the mail as well as the fax methods.
The mail application method for the LLC have you printing out the form SS-4 EIN (Tax ID) Application. The printed form will have instructions on it as well as areas for you to fill in all of the mandatory business information. The LLC information will include details such as the responsible party, their Social Security Number or ITIN, or something similar. With the form complete you will be putting it into an envelope and then applying postage. You can then mail the form to the IRS. Once they process the application they will mail you back the Tax ID (EIN) Number.
The LLC also has the option to obtain a Tax ID (EIN) Number through the fax application method. When you use the fax, you need to locate the fax number for the Internal Revenue Service. You also need to complete the SS-4 form in full with all of the information necessary. Once you have everything set up you can then fax it over to the IRS. They will receive the fax and go through a processing and validation process. Once they complete all of that they will fax you back the complete Tax ID (EIN) Number.
You have a lot of options when it comes to obtaining the Tax ID (EIN) Number for your Limited Liability Company. The online method is going to be the most popular and as you will see in the next section, the quickest by far. When you get beyond that method, the mail and fax methods also give you ample ability to get the number in different ways. If none of those work, you can even call the Internal Revenue Service for a final option.
The three methods you have to apply for the Tax ID (EIN) Number for your Limited Liability Company will weigh heavily on the length of time it takes for full processing. The online application method is going to be the quickest. With the online application method, you can apply and have the number back to you in just a few minutes. The mail method is going to take the longest, taking a few weeks in the time it takes to mail it, have it go through processing, and then receive it back in its final state. The fax method is going to sit in the middle of the mail and online application methods. With the fact method, expect it to take a few business days before you have it back to you.
The need for the Tax ID (EIN) Number is all in the root or in relation to the requirement of the Internal Revenue Service. The IRS needs the number and it is necessary in order for tax filing, for payroll tax processing, opening up business bank accounts or loans, etc. Anything you do, the unique identifier is what allows the IRS to tag all of the activity and trace everything back to your business.
The IRS needs the ability to track the activity of the LLC and you also need a way to easily submit accurate tax returns, open up financial accounts in the name of the LLC, etc. Applying for an EIN is the easiest way to do this and using the methods we detail can help get you there fast.