Apply for an Employer Identification Number (EIN)

An Employer Identification Number (EIN), also referred to as a Federal Tax Identification Number, is a distinct nine-digit number issued by the Internal Revenue Service (IRS) to businesses for taxation purposes in the United States. The IRS uses it to identify the tax accounts of employers and of other entities that are required to file business tax returns. Although the EIN is primarily used in the US, businesses in India can also obtain one for their US operations.

You can apply for an EIN online, by fax or by mail, depending on your eligibility and documentation. According to the IRS guidelines, you need an EIN if:

• you have employees;
• you operate a corporation or a partnership;
• you file employment, excise, or alcohol, tobacco and firearms tax returns;
• you withhold taxes on income, other than wages, paid to a non-resident alien;
• you have a Keogh plan;
• or you are involved with trusts (with some exceptions), estates, plan administrators, farmers' cooperatives, real estate mortgage investment conduits or non-profit organisations.

Organisations need an EIN to file their business tax return and to pay salaries to their employees. Banks, brokerage houses and credit unions also do not open accounts for corporations without an EIN.

Obtaining an EIN is a smooth process if the responsible person has a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN). Non-residents can also apply without an SSN, but it is a lengthier procedure that can cost you billable time, and it can become a headache if due diligence is not observed.

We secure US EINs for Indian entrepreneurs irrespective of SSN and ITIN, and have assisted international businesses in expanding their operations to the United States.

US citizens with an SSN don't need to pay a third party to obtain an EIN: you can apply online on the IRS website.