State of Maryland EIN: Everything You Need to Know
A state of Maryland EIN, or employer identification number, is used by state tax authorities to identify your business. 3 min read
A state of Maryland EIN, or employer identification number, is used by state tax authorities to identify your business. This is the same as your federal EIN from the IRS. This number allows you to establish bank accounts, apply for credit, and otherwise administer your business finances. It's also used to hire staff, purchase inventory, and file taxes. If your company has several separate business operations, each will need its own EIN.
Do I Need a Maryland EIN?
Many businesses find they thrive in Maryland because of the more affluent residents who are willing to spend money on products and services. If your company is based in Maryland, you will need to register for a tax identification number if your business:
- Has employees
- Is an estate, trust, or non-profit organization
- Was established as a partnership or corporation
- Is responsible for paying excise, alcohol, firearms, tobacco, or employment taxes
Even if your business does not fall into one of these categories, however, you may want to establish a Maryland EIN so that you can use it instead of your Social Security number to obtain business licenses and permits, open bank accounts, and apply for business credit.
How Do I Obtain a Maryland EIN?
The EIN application form is available on the IRS website. You can also download a copy of the form so you can print it and then mail or fax it in, or you can opt to apply by phone. No fee is charged to register for an EIN.
To apply for a tax ID in Maryland, you'll need to provide the following:
- The official legal name of your business as written in your formation paperwork
- The name of the party responsible for filing taxes on behalf of your business
- The physical address of the business (not a PO box)
- The contact phone number and email address for your business
- Your valid Social Security or Taxpayer Identification Number
- The type of business entity
After you complete the application, if it is approved, you will receive your EIN via email. This unique identifier is a nine-digit number.
Although you receive the EIN immediately upon approval, you must wait two weeks before using the number for an electronic tax filing or payment. This waiting period allows the IRS to add the number to their official computer system.
What Is the SDAT Entity ID Number?
The State Department of Assessments and Taxation (SDAT) assigns each business organized in Maryland an entity ID number. This starts with a W and is different from the EIN, which is a federal number assigned by the IRS. While the entity ID number is used for tracking, it's not considered an official tax ID.
How Do I Obtain a Business's EIN?
If you have a legitimate reason to request a company's EIN, you can do so by writing, calling, or emailing them directly. However, they may refuse if you don't have approval to receive this information.
What if I Lose My Business EIN?
Your business will have the same EIN until it closes or reorganizes and applies for a new EIN. When you first receive your number, save the notice so that you can refer to it later. If you no longer have this paperwork, you can check to see if your bank or credit union has your business EIN on file. You can also call the IRS Business and Specialty Tax Line and a representative will provide the number after confirming your identity through a series of questions.
If you need help with applying for an EIN for your Maryland business, 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.