Employer Identification Number

After starting your business, obtain your EIN (also known as a Federal Tax ID). The EIN is required for LLCs and corporations to pay taxes. The IRS also uses this to identify your business and communicate with you.

Business Formation

Get tax-compliant. Let us handle the details.

Step 1

Fill out our online questionnaire

Provide your business details and other IRS requirements in our intuitive form.

Step 2

We fill out your application and submit it to the IRS on your behalf

Our team prepares and files your paperwork on your behalf. No confusion and no guessing.

Step 3

You receive your EIN and any documentation from the IRS

Once the IRS has processed your application and sent us your EIN, we provide it directly to you.

Why you need an Employer Identification Number

Opening a Business Bank Account

Most banks require an EIN to open an account in your business's name, and having a dedicated account keeps your business and personal finances cleanly separated. This separation also makes bookkeeping and tax season considerably more straightforward.
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Hire Employees

If you plan to bring on staff, you're required to have an EIN to report wages and withhold payroll taxes. Without one, you won't be able to properly register with federal or state employment tax systems.
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File Federal Tax Returns

Corporations, partnerships, and multi-member LLCs use their EIN to file business tax returns separately from the owners' personal returns. This keeps your business's tax obligations distinct and properly documented with the IRS.
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Apply for Licenses and Permits

Many state and local licensing agencies ask for an EIN to confirm your business is properly registered and legitimate. Having it ready ahead of time can help prevent delays when you apply for the permits your business needs to operate.
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Protect Your Personal Information

Using an EIN instead of your Social Security Number on business documents reduces your exposure to identity theft. It keeps your personal tax ID out of contracts, invoices, and vendor paperwork where it doesn't need to appear.
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Work with Vendors and Partners

Contractors, suppliers, and platforms like marketplaces often request an EIN for their records and tax reporting. Providing one signals that your business is properly set up and ready to transact professionally.
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Form your business first

Your business should be legally formed with the state before you apply for an EIN. The IRS ties your EIN application to your entity's formation details: its legal name, its formation date, and its state of registration. Applying before you've officially formed can create mismatches that slow down or complicate your application.

If you haven't formed your LLC or corporation yet, start there. LegalNature's LLC formation and incorporation services help you get your entity properly registered with the state, so your EIN application goes smoothly right behind it.

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Frequently asked questions

What is an EIN, and do I need one for my business?

An EIN, or Employer Identification Number, is a nine-digit federal tax ID issued by the IRS to identify your business. You generally need one if your business has employees, operates as a corporation or partnership, or files certain federal tax returns. Sole proprietors without employees can often use their Social Security Number instead, though many still choose to get an EIN for privacy and banking purposes.

Can I get an EIN before my LLC or corporation is officially formed?

It's best to wait until your business is legally formed with the state first. Applying before formation can create mismatches between your EIN application and your official formation documents, which can complicate things later.

Do sole proprietors need an EIN?

Sole proprietors without employees can often use their Social Security Number instead of an EIN. However, sole proprietors who hire employees, file certain excise tax returns, or want to keep their SSN off business paperwork will need an EIN.

What's the difference between an EIN and a Social Security Number for business purposes?

A Social Security Number identifies an individual, while an EIN identifies a business entity. Using an EIN instead of your SSN on business documents helps separate your personal and business finances and reduces the risk of personal identity theft tied to your business activities.