Every company that plans on generating an income and paying money will need an EIN. According to the Internal Revenue Service, an EIN is more commonly known as the Employer Identification Number or Federal Taxpayer ID number, and it is used to identify your business as an entity. You will need this to file taxes on income and expenses generated by and for your business. This was our very next step. It's relatively easy and thanks to the IRS online system, you can receive your EIN within minutes after completing the application.
Here's what you need:
Go to the IRS website first and answer the questions you see below to determine if you need an EIN. You can access it by clicking here. The survey looks like this:
If you answer YES to any of these, you will need an EIN. Once you click YES on any of these; you will then be directed to the application page, which is located here. It will walk you step by step on how to apply online, mail, fax, or telephone! Online was the fastest and easiest option for us. You can only apply during operating business hours, which are Monday through Friday in Georgia.
Once you complete the application, you will receive a document that lists the name of your company and your new EIN within minutes…no, literally…minutes. It took ours about 2 minutes before we had it. One important note…make sure that you list everything exactly how it is on your business papers because that is what will be needed when you open a business account with a bank. This will be discussed in another post.
Once you've obtained your EIN, you are finished with registering with the IRS. Congratulations on completing the next step of becoming an entrepreneur! Leave a comment and let us know how your process has gone thus far! I look forward to sharing experiences with you all!
