Should you invest your capital in a new business?
Congratulations, you have started your own business! Welcome to the world of working for yourself. As you may or may not know, your business will need an EIN number. EIN, which stands for Employer Identification Number, is a nine digit number which the federal government uses to identify an individual business for tax purposes.
Obtaining an EIN is surprisingly easy; by going to the Internal Revenue website you can apply for your number online. The website is user friendly and will, by asking a series of easy to answer questions, guide you through the process. Hyperlinks and help topics along the way make even the most nervous applicant feel at ease and give you the assurance that you are answering the questions correctly.
For those that do not feel they are computer savvy enough or don't have access to a computer, an EIN number can be obtained by telephone through the Business & Specialty Tax Line at (800) 829-4933. The hours of operation are 7am -10pm Monday thru Friday.
If the individual prefers to not chance waiting on the phone, an SS-4 form can be faxed to the fax number for the IRS in your state or the SS-4 form can be mailed to your state's IRS office.
The time frame for receiving your EIN number depends on how you applied. For those applying via the internet the number is provided immediately and you can print a confirmation that will include the EIN number. If you apply by phone the EIN number will be assigned to you at that time.
If the SS-4 form is faxed and a return fax number is supplied the applicant can expect a fax with the EIN number within four business days. If no return fax number is given then the information will be mailed back to the applicant, which may take as long as two weeks. For applications mailed to the IRS the turnaround time is approximately four weeks.
The business owner should take into consideration when the will need the number for filing a return or making a deposit when deciding when and how to apply. Remember the quickest method is to apply online or over the phone. It is also important to note that applicants who do not have a residence or business office in the U.S. will need to use the following number (267) 941-1099 if they choose to apply by phone.