Whether you are starting a business, expanding or changing its legal entity, or have just acquired a firm, you need to apply for and obtain an Employer Identification Number (EIN) from the Internal Revenue Service (IRS). An Employer Identification Number—or an EIN, as it’s commonly referred to—is a unique and permanent set of nine digits used to identify and track a business. It’s like a social security number, one assigned only to your business. This number helps you open a business bank account, get loans, hire employees, and most important, start filing your business tax returns. The IRS also requires you to have an EIN in order to report wages, file tax returns, pay taxes, or make certain business tax payments.

In the United States, Workers and employers are required to have an Employer Identification Number (or “EIN”) to ensure that the information they report to the IRS is accurate and valid. An EIN number is the federal legal entity identifier used by the IRS to track employers, and it is a critical part of any business’s compliance requirements. For businesses based in New York, understanding your local EIN regulations and how to compliantly obtain this number is vital to continued compliance and success.

Obtaining an EIN in New York is a relatively simple process, and it starts with consulting an experienced business lawyer. With counsel in tow, you framework the details of your business, such as what type of business it is, where it’ll be located, and whether it’ll operate as a sole proprietorship, a corporation, a partnership, or a Limited Liability Company. Your business attorney should guide you to the appropriate form to fill out when applying for your EIN and also provide legal advice regarding all aspects of your business structure.

Once you’ve consulted with your business lawyer, you're ready to dive into the world of applying for an EIN from the IRS. Fortunately, this step is a relatively straightforward process, and there are several different paths.

If you’re applying for an EIN as an entrepreneur or small business owner, you can apply online through the IRS website, or you can call the IRS and speak with a representative. You or your business attorney can also fill out the IRS Form SS-4 electronically or by mail.

Larger businesses must fill out Form SS-4 using paper or by fax. In all instances, you must provide the following information: company name, address, and contact information; Social Security number (SSN) of the owner or primary responsible party, contact information for them, and their form of ownership; number of employees or partners; the nature of the business, and the date the business was established; and estimated annual gross income and estimated taxes the business will pay.

After submitting this information, you’ll receive your EIN. As long as the name, address, and contact information of the accountable party, and the nature of your business, remain the same, the EIN stays the same. When any of those elements do change, you must apply for a new EIN.

Eaws your New York business is equipped to submit the proper forms, obtain the EIN, and to stay compliant with IRS regulations. With an experienced business lawyer by your side, you can navigate the EIN process without a hitch and rest assured that your business maintains the utmost legal standing.

Topics:

Registration,

Applications,

New York EIN