A Beginner’s Guide to Getting a Federal Tax ID Number in Dallas
Starting a Business in Dallas: Get Your Federal Tax ID Number3 min read
If you’re a business owner in Dallas, you probably already know the importance of getting a federal tax ID number at the beginning of your business journey. A federal tax ID number — sometimes known as an employer identification number or EIN — helps prevent identity theft and makes it easier to pay taxes. It’s the first step towards stability for any business, and the process is simple once you know the steps.
Whether you’re launching a small business or you need to apply for an EIN as part of your corporate duties, this guide will lay out the basics of acquiring a federal tax ID number in Dallas as efficiently and quickly as possible.
Why Would Dallas Business Owners Need a Federal Tax ID?
Your Dallas business needs a federal tax ID if you’re going to be hiring employees, opening a bank account, filing taxes, applying for trade licenses, or any of the other tasks common to many businesses. Having an EIN can also help to shield your identity and give you the fiscal protection you need to get your business up and running.
How Can Dallas Business Owners Get a Federal Tax ID?
If your Dallas business needs an EIN, you have various options to choose from. You can get an EIN from the IRS itself in a few simple steps. Alternately, you can also get a federal tax ID number online, via a third-party entity. Let’s break down each of these approaches.
The Internal Revenue Service (IRS)
The Internal Revenue Service is the easiest way for most people to get their federal tax ID numbers in Dallas. All you’ll need is the information associated with your business, including the type of business organization you have (sole proprietorship, LLC, LLP, etc.), the name of your business, physical address, and the timeframe of your employment.
To get the process started, you must make sure you have the associated paperwork in hand. Next, choose the type of application, either online, by mail, or by phone. Online applications generally take the least amount of time, but feel free to use either of the other two methods if you prefer. Gather your information and start the application as soon as possible.
In some cases, you may also be asked to submit an agreement with your business name, along with the address for your business and the contact information associated with your business.
Third-Party EIN Filing Companies
The Internal Revenue Service no longer allows private companies to sell EINs. Rather, third-party entities can only provide EIN assistance services on behalf of the IRS. These companies help to expedite the application process, making it easier and faster to acquire your EIN.
Third-party application services offer a variety of options, and rates generally range from around $69-129. The cost of these services, and any services associated with the filing of taxes for your Dallas business, can often be written off on your taxes, making the investment worthwhile over time.
Tips and Tricks for Registering
When registering or renewing your federal tax ID number in Dallas, make sure that you provide accurate information on the application and keep all of your paperwork organized. Double-check that any information associated with your EIN matches the business, including first and last names, birthdates, addresses, and contact information for key personnel. Once everything has been filed, you should receive a response from the IRS within several weeks.
Getting a federal tax ID number in Dallas is relatively quick and painless. From the Internal Revenue Service to third-party filing companies, you have multiple options when it comes to applying for an EIN. Upload the right information and paperwork, make sure it’s accurate, and you should be on your way to a successful business plan in no time.