IRS EIN Online Things To Know
As an employer or employee, you should understand the importance of the Employer Identification Number. The IRS utilizes the EIN, as a way to help identify a specific company. Each company is unique and their number will be as well. This number will come in handy, during a number of different events, so it is best to keep it on hand and readily available, at all times. This identifying number will be explored in greater depth below. File for your EIN online here.
What Is The IRS EIN?
First and foremost, you should take the time to familiarize yourself with the basics. What precisely is this figure? Well, the Employer Identification Number is a number, which generally resembles 00-0000000. The Internal Revenue Service primarily uses the number, as a way to identify an entity, which is required to give tax statements to their lawyers or report employment taxes. The number is used frequently, when sending documents to the IRS, as well as the Social Security Administration.
Importance For The Employee
Although the employer is the one responsible for obtaining and distributing this figure, the employee will need it at some point or another. This is especially true, when the employee needs to file his or her tax statements. The number can usually be found on the worker’s W2 statement. When an employee files his or her income tax statements, the figure must be entered precisely into the designated box.
Obtaining the EIN
There are a number of different entities and groups that can obtain this figure. First and foremost, Limited Liability Companies are required by law to obtain one. Self-employed individuals have the option of obtaining their own EIN. In order to acquire an IRS EIN, you will need to go directly through the Internal Revenue Service. Visiting their website will provide you with everything you need to know.
Although many people do not know it, the EIN can be utilized in a number of different ways. First and foremost, it can be used as a way to protect your Social Security Number. Instead of handing out your Social Security Number, you can pass along your EIN instead! Your SSN is paramount and if it falls into the wrong hands, you will find yourself in a great deal of trouble. Using the EIN gives reassurance that your identity will remain safe and sound.
Another way to use this figure is to use it, when opening a business bank account. This will give you the ability to keep your self-employment earnings separate from your other earnings. It is also possible to obtain business credit from various retailers, by utilizing an EIN number. It is recommended that you start with small cards, before working your way up to others in the future.
Obtaining an Employer Identification Number is not easy and enlisting the help of a professional is often recommended. If you need assistance applying for your EIN, you’ve come to the right place. Our group will be able to assist you in this endeavor and ensure that you are able to obtain your own EIN, without complication.