When starting a business, there are many important things to consider – from creating a business plan to hiring employees. One of the most crucial steps in setting up a new company is obtaining an Employer Identification Number (EIN). This nine-digit code is assigned by the Internal Revenue Service (IRS) and is used to identify your business for tax purposes. But just how long does it take to get an EIN number?
The answer is that it depends on the method you use to apply for your EIN. There are three different ways to obtain an EIN: online, by fax, or by mail. Below, we’ll break down the estimated processing times for each method.
Online Application
The fastest and most convenient way to obtain an EIN is through the IRS’s online application system. The process typically takes less than 15 minutes to complete, and you’ll receive your EIN immediately upon submitting your application.
To apply online, you’ll need to visit the IRS website and navigate to the EIN application page. From there, you’ll be asked to provide information about your business, including its legal name, address, and type of entity. You’ll also need to provide your own personal information as the responsible party for the business. This includes your name, social security number, and contact information.
Once you’ve entered all the necessary information and submitted your application, you’ll receive your EIN via email within minutes. However, it’s important to note that the online application system is only available during certain hours, so be sure to check the IRS website for current availability.
Fax Application
If you don’t have access to the internet, you can also apply for an EIN by fax. This process usually takes around four business days to complete.
To apply by fax, you’ll need to fill out Form SS-4, which can be downloaded from the IRS website. Once you’ve completed the form, you can fax it to the number provided on the form. The IRS will then process your application and send your EIN to you by fax within four business days.
Mail Application
The slowest way to obtain an EIN is through the mail. This method can take up to four weeks to complete.
To apply by mail, you’ll need to download Form SS-4 from the IRS website and fill it out completely. Once the form is completed, you can mail it to the address provided on the form. The IRS will then process your application and send your EIN by mail to the address you provided on the form.
It’s important to note that if there are any errors or missing information on your application, the processing time for your EIN may be delayed. To avoid any delays, be sure to double-check all the information you provide on your application before submitting it.
In conclusion, obtaining an EIN is a critical step in starting a business. While the length of time it takes to get an EIN can vary depending on the application method you choose, the quickest way to obtain an EIN is through the online application system. Whether you’re applying online, by fax, or by mail, be sure to take the time to complete your application accurately and thoroughly to avoid any delays in processing.