An Employer Identification Number (EIN) is a business’s equivalent of a Social Security number. EINs help the IRS to maintain track of your company’s tax filings.
LLCs with more than one member must obtain an EIN, and all LLCs with workers must have an EIN. We’ll discuss why having a free EIN is beneficial to all LLCs further down.
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When Is an EIN Required for an LLC?
If your company is an LLC with workers or excise tax liabilities, you must get an EIN.
If your company is an LLC with more than one member, you must get an EIN.
Even if you are not obliged to get an EIN, we encourage that you do so since having an EIN has various advantages.
EIN Advantages
Although not all LLCs are obliged to get an EIN, it is always a good idea to do so.
Obtaining an EIN gives the following advantages:
An EIN may aid in the protection of your corporate veil.
If you start your firm without workers but later decide to hire, you will already have an EIN.
Using an EIN instead of your Social Security number (SSN) protects your SSN and reduces the danger of identity theft.
To create a business banking account, most institutions demand an EIN. To keep your personal and work funds distinct, you’ll need a business bank account.
Although an EIN is not essential for all business loans, most lenders prefer a firm that has established business credit via a business bank account and lines of credit linked to the company’s EIN.
How to Obtain a Free EIN for Your Limited Liability Company
Important: Before applying for an EIN, LLCs must be formally registered and recognized.
Use our free Form an LLC guide to help you register your company. There are also free EIN instructions in the tutorial. You may also get your LLC registered via an LLC creation provider.
The EIN Assistant on the IRS website is the fastest and easiest method for taxpayers to get a free EIN.
Information to help you request your EIN number through the IRS EIN Assistant:
The IRS is open Monday through Friday from 7 a.m. to 10 p.m. to receive your EIN.
Only firms headquartered in the United States and its territories are eligible.
A valid Taxpayer Identification Number is required (SSN, ITIN, EIN)
Only one application per day may be made by the entity owner or responsible party.
Your application must be completed in a single session and cannot be saved.
If the session is not in use, it will time out after 15 minutes. You will get an EIN immediately after completing the form.
Applications will not be handled if an EIN has already been acquired online.
Form SS-4 may be used to apply for an Employer Identification Number (EIN) via fax or mail.
If you are submitting by fax, please send your EIN application to (855) 641-6935.
If you want to apply by mail, send it to the Internal Revenue Service, Attn: EIN Operation, Cincinnati, OH 45999.
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