Securing Your Taxpayer ID

Date: 12/13/2006 | Category: Business | Author: Claire Reid

One of the first steps in establishing your new business is to secure your Federal Employer Identification Number (FEIN) or Taxpayer ID. This number assigned by the IRS is the equivalent to a social security number for your corporation.

The IRS says you will need an EIN if you answer “Yes” to any of the following questions:

Do you have employees?YESNO
Do you operate your business as a corporation or a partnership?YESNO
Do you file any of these tax returns: Employment, Excise, or Alcohol, Tobacco and Firearms?YESNO
Do you withhold taxes on income, other than wages, paid to a non-resident alien?YESNO
Do you have a Keogh plan?YESNO
Are you involved with any of the following types of organizations? 

  • Trusts, except certain grantor-owned revocable trusts, IRAs, Exempt Organization Business Income Tax Returns
  • Estates
  • Real estate mortgage investment conduits
  • Non-profit organizations
  • Farmers’ cooperatives
  • Plan administrators

You can apply for your FEIN by either going to the IRS website. Filing is free. However, if you are unsure how to fill out the form consider having IncParadise handle it for you. For more information on how IncParadise can help you file for your FEIN, click here. Click here for a Free Tax ID – EIN