Key Takeaways

  • To apply for an EIN for an S Corporation, you must first form your corporation at the state level.
  • An EIN is mandatory for federal tax purposes, payroll, and business banking.
  • Indiana S corps must file Form 2553 with the IRS after incorporation to elect S corp tax status.
  • The EIN application can be completed quickly online through the IRS.
  • Additional Indiana-specific steps include registering with the Department of Revenue and obtaining any required state licenses.

If you need to apply for EIN for S corp, the process goes through the IRS. An employer identification number (EIN) is given to a business and serves as its identifier, similar to a social security number for an individual.

Do I Need an EIN for an S Corp?

The S corporation is one of the business formation options. Other similar formations include C corporations and limited liability companies (LLC). Similar to the other types of corporations, S corporations often need employees to run the business and obtain a bank account for the company. These elements and others relating to running a corporation require the owner to obtain an EIN.

The Basics of Business Models

Understanding what defines an S corporation offers a better understanding of why this business formation needs an EIN. Basically, an S corp is a group of people working together to operate a business. An S corporation is more complex than a sole proprietorship and has shareholders who own the company. Due to these factors, an S corporation is never owned and operated by a single individual.

This type of business formation always employs others, which is why it meets the requirements to obtain an EIN. When your business has an EIN, you can legally pay your employees and handle all important tax matters. This number keeps your organization operating legally.

Getting an EIN

After you understand whether your business needs an EIN, the next step is beginning the process of applying for one. Starting a business comes with many complex tasks and factors. Many new business owners get weighed down and overwhelmed by the amount of paperwork that is required.

An S corporation is a type of corporation that can pass its business debt, losses, and income through the organization to its shareholders. The income and losses are then reported by each shareholder on their individual tax return. This avoids double taxation, which is a distinction of a corporation. Pass-through taxation is one of the aspects of an S corporation that sets it apart from other corporations.

The EIN is also referred to as the tax identification number. The IRS issues EINs to businesses across the United States, which the companies can use for several key tax purposes. This number is nine digits and is unique to your business entity.

Do You Need an EIN for an S Corp?

Although S corporations aren't on the list of business entity types that require an EIN, it is helpful to obtain one anyway. The business entity types that do require an EIN are traditional corporations and partnerships. With an EIN for your S corp, you can pursue important business objectives that can help your corporation achieve success. For example, an S corporation might not have employees right away, but you won't be able to hire any or establish payroll until you obtain an EIN.

Other reasons an S corporation owner might need an EIN include:

  • Opening a business bank account.
  • Applying for regional and local licenses and permits.
  • Establishing credit in the company name.

If the business loses its status as an S corp, it would need an EIN immediately as well.

How to Apply for an EIN

The process of applying for an EIN is simple. You can complete the steps by phone or fax, but the preferred method is through the IRS website. Completing the application online will take just a few minutes, as long as you have the information needed within easy reach. After you apply online, you may receive your EIN within a few hours or a few days.

As soon as your business receives its EIN, you can legally start participating in the business activities needed to establish and run your company, such as opening bank accounts, applying for permits, and hiring employees. You can also manage the required tax forms and other documents more efficiently.

EIN for S Corporation

In order to be registered as an S corporation in any state, a business owner must file its articles of incorporation with the secretary of state or other government agency that handles corporation formation. Additionally, S corp owners must file an election form with the IRS that allows the business to pass its deductions, losses, credits, and income through to its shareholders, eliminating the need for the corporation to pay its own taxes.

Additional Steps to Form an S Corp in Indiana

While applying for an EIN is essential, forming an S corporation in Indiana involves several additional steps to stay compliant with state and federal law. Here’s a concise checklist of key tasks specific to Indiana:

  1. Choose a Business Name: Ensure the name is distinguishable and includes a proper designator like “Corporation” or “Incorporated.”
  2. Appoint a Registered Agent: Indiana requires every corporation to designate a registered agent with a physical address in the state.
  3. File Articles of Incorporation: Submit this formation document to the Indiana Secretary of State’s Business Services Division, either online or by mail.
  4. Create Corporate Bylaws: Although not required to be filed, bylaws define your company’s internal governance.
  5. Hold an Organizational Meeting: Elect directors, issue shares, and document the meeting in minutes.
  6. File IRS Form 2553: After obtaining your EIN, file Form 2553 to elect S corp tax treatment. This must be done within 75 days of incorporation or the start of the next tax year.
  7. Register with the Indiana Department of Revenue: If you plan to hire employees or sell taxable goods, register for state tax accounts.
  8. Obtain Local Permits and Licenses: Your business may require local or industry-specific permits.

These steps are crucial for anyone researching how to apply for S corp in IN and seeking to operate legally and effectively.

Frequently Asked Questions

  1. What is the deadline to file Form 2553 for S corp election?
    You must file within 75 days of incorporating or by March 15 of the year you want S corp status to begin.
  2. Can I apply for an EIN before filing Articles of Incorporation in Indiana?
    No, the IRS requires that your business be legally formed before applying for an EIN.
  3. Does an Indiana S corp need to register with the state for taxes?
    Yes, especially if it has employees or sells taxable goods/services. Register with the Indiana Department of Revenue.
  4. How much does it cost to start an S corp in Indiana?
    As of 2025, the Articles of Incorporation filing fee is $90 (online) or $100 (paper filing).
  5. Is an operating agreement required for an Indiana S corporation?
    No, operating agreements are typically used for LLCs. S corps should have bylaws instead.

If you need help on how to apply for s corp in in, you can post your legal need on UpCounsel's marketplace. UpCounsel accepts only the top 5 percent of lawyers to its site. Lawyers on UpCounsel come from law schools such as Harvard Law and Yale Law and average 14 years of legal experience, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb.