What is EIN?
EIN stands for Employer Identification Number and it is issued by IRS (Internal Revenue Service). EIN is very similar to Social Security Number, but it is only issued to business entities and is meant only for business related items.
EIN is a unique 9 digit number and it identifies a business for tax purposes. EIN is necessary for businesses in order to apply for a business bank account, business licenses and to file a business tax return. Applying and obtaining EIN is one of the first and most important steps in business formation.
EIN is necessary for every business that hires and retains employees. However, corporations and partnerships are also required to obtain EIN, even if they do not hire or retain employees.
Our business formation services division assists our clients with EIN application. Please contact us for more information.