An employer identification number is used by the IRS to identify businesses for the purposes of tax filing and other applicable reporting requirements. Many sole proprietors do not need an EIN unless they hire employees or meet some other qualifying criteria. If you know that you’re going to need one of these nine-digit identification numbers, it’s best to obtain it sooner rather than later, so you’ll have more time and peace of mind to file your employer-based tax returns and filing forms.
In addition to providing powerful and intuitive form filing software support, Advanced Micro Solutions (AMS) can help you comply with any number of basic filing requirements. Here is the essential information when it comes to applying for and receiving an employer identification number.
Do You Need an Employer Identification Number?
There are six specific criteria by which the IRS determines whether or not you need an EIN number. If you meet even one of the six criteria, you will need to apply for an EIN. Many of the most common reasons are fairly self-explanatory. For example, do you have employees? Others are more obscure, such as starting a certain type of tax-deferred pension plan known as a Keogh plan. Take a look at these IRS criteria to make a determination in your case.
How do You get an EIN Number?
The IRS offers several different ways to obtain your EIN. The most common, by far, is to apply online. This process is fairly straightforward so long as you’re located in the U.S. and have a valid social security number, taxpayer identification number, or a pre-existing employer identification number. Otherwise, you’ll need to download and fill out Form SS-4. You can then return the completed form either by fax (by which you will receive your EIN within 4 business days) or by mail (by which you will typically receive your EIN within 4 weeks). International applications may also apply for and receive their EIN over the phone by calling 267-941-1099. You can find complete instructions for getting your EIN number here.
Looking Ahead to Employer Filing Requirements
If you’re like most employers, your filing needs are only getting started with applying for an employer identification number. There’s a big difference between simple employee/subcontractor tax returns and multi-stage employer-based reporting. You need to issue a recipient copy by the end of January. You need to report this w-2 and 1099 information to the IRS by the end of February (if paper filing) or the end of March (if e-filing). Then, you’ll still need to file your own tax returns on the standard mid-April filing deadline.
Get Software Support for Your Forms Filing
The W-2/1099 Forms Filer offers an incredible range of software and data management features for w-2 and 1099 filing forms. With this platform solution, you’ll have multiple options for efficient data entry, secure and reliable data reporting, easy-to-print filing form information, and dependable networking services for use on multiple computers. From there, you can add any number of extra software capabilities through the platform’s sophisticated module interaction and our catalog of software products:
- W-2/1099 Forms Filer (required purchase)
- Payroll Module
- E-File Direct
- Affordable Care Act Filer
- 1042-S Filer
- Software-Generated Forms
- Forms Filer Plus
To get started, download our free software demo or call our Sales and Information at (800) 536-1099. You can buy our software directly through the AMS site at any time.