How to Apply for an EIN: A Step-by-Step Guide for New LLCs, Corporations, and Nonprofits

You’ve just filed your formation documents, chosen your business name, and officially launched your LLC, corporation, or nonprofit. Now you’re staring at a checklist of next steps, and near the top of that list is getting your Employer Identification Number. If you’ve been putting it off because you’re not sure where to start, this guide is for you. We’ve helped thousands of business owners navigate this process, and the good news is that applying for an EIN is one of the simpler tasks you’ll face as a new business owner.

Think of your EIN the way you think of a Social Security number, but for your business. It’s a nine-digit number the IRS uses to identify your business entity for tax purposes. Nearly every LLC, corporation, and nonprofit needs one, and without it, you can’t open a business bank account, hire employees, or file many of the forms the IRS and your state will eventually require from you.

This guide walks through the entire process from beginning to end. We’ll cover who needs an EIN, what information you’ll need before you apply, how to apply for an EIN through each available method, what to do once you receive it, and the mistakes to avoid along the way.

Why Your Business Needs an EIN Before Anything Else

An EIN, or Employer Identification Number, is a nine-digit tax identification number issued by the IRS. The format looks like this: XX-XXXXXXX. The IRS uses it to track your business’s tax obligations, just as it uses your Social Security number to track your personal ones. Despite the word “employer” in the name, you don’t need to have employees to need one.

The IRS requires an EIN for LLCs that have employees, all corporations (including S corps and C corps), and nonprofits that intend to apply for tax-exempt status. But the practical reasons to get one go well beyond satisfying the IRS.

Opening a business bank account: Nearly every bank requires an EIN to open a business checking account. Without it, you’re stuck mixing personal and business finances, which creates accounting headaches and puts your liability protection at risk.

Building business credit: Establishing a credit profile for your business, separate from your personal credit, requires an EIN. Vendors, lenders, and credit agencies use it to identify your business entity.

Hiring employees: If you plan to bring on staff, you’ll need an EIN to withhold payroll taxes, file quarterly employment tax returns, and issue W-2s at year-end.

Filing state registrations and reports: Many states require your federal EIN when you register for state employer taxes, sales tax permits, or when you file annual reports.

Now, there is one exception worth understanding. A single-member LLC with no employees and no excise tax obligations can, in some limited cases, use the owner’s Social Security number for federal tax purposes. However, this is rarely the best approach. Using an SSN for business purposes blurs the line between personal and business identity, and most banks will still ask for an EIN anyway. For multi-member LLCs, S corps, C corps, and nonprofits, there’s no gray area: an EIN is required, full stop.

The bottom line is that getting your EIN early in the process sets the foundation for everything else. It’s free to apply, and as you’ll see in the next section, you can have your number in hand the same day you apply.

What You Need Before You Apply for an EIN

Before you sit down to apply, there are a few things you need to have in place. Skipping this step is one of the most common mistakes new business owners make, and it can create real problems down the road.

First and most importantly, your business entity must already be legally formed with your state. That means your articles of incorporation (for corporations), articles of organization (for LLCs), or certificate of formation must be filed with and approved by your state’s Secretary of State office. The IRS will issue your EIN based on the information you provide, but if that information doesn’t match your state records, you’ll have mismatches that are frustrating to clean up later. Form your entity first, then apply for your EIN.

The IRS uses Form SS-4 as the official application for an EIN. Whether you apply online, by fax, or by mail, the same core information is required. Here’s what you’ll need to have ready.

Legal name of your entity: This must match exactly what’s on your formation documents. If your LLC is registered as “Riverside Consulting LLC,” that’s what goes on the form, not a shortened version or trade name.

Responsible party information: The IRS requires the name and Social Security number (or ITIN) of the responsible party. This must be an individual person, not another business entity. The responsible party is someone who owns or controls the business, has authority over its finances, and can make decisions on its behalf. For a single-member LLC, that’s typically the owner. For a corporation, it’s often a principal officer or major shareholder. For a nonprofit, it might be a founding director or officer.

Business address: The physical address where your business is located. If you use a registered agent address for legal notices, that’s separate from your business address on this form.

Entity type: You’ll need to identify what type of entity you’re applying for: LLC, corporation, nonprofit corporation, partnership, and so on. Selecting the wrong type here is a common error we’ll address later.

Reason for applying: The IRS wants to know why you’re requesting an EIN. Common reasons include starting a new business, hiring employees, opening a bank account, or applying for tax-exempt status.

Date business started or was acquired: For a newly formed entity, this is typically the date your state approved your formation documents.

Principal business activity: A brief description of what your business does. For example, “retail clothing sales,” “software consulting,” or “charitable educational services.”

Having all of this ready before you begin the application will make the process much smoother, especially if you’re applying online where the session is time-limited.

How to Apply for an EIN: Four Methods Explained

The IRS offers four ways to apply for an EIN. The right method for you depends on your situation, particularly whether you have a U.S. Social Security number or ITIN and whether you need your number right away.

Online Application Through the IRS EIN Assistant

For most domestic applicants, the online application is the fastest and most straightforward option. You can access it directly at IRS.gov. The tool is available Monday through Friday, 7 a.m. to 10 p.m. Eastern Time. Once you complete the application, your EIN is issued immediately, and you can download and print your confirmation notice on the spot.

Here’s how the online process works, step by step.

1. Go to the IRS EIN Assistant page and select “Apply Online Now.”

2. Choose your entity type from the list. Options include sole proprietor, partnership, corporation, S corporation, personal service corporation, church or church-controlled organization, other nonprofit organization, and others. Select the one that matches your legal entity structure.

3. Answer questions about why you’re applying. The system will walk you through a short series of questions based on your entity type.

4. Enter the responsible party’s information, including name and Social Security number or ITIN. Remember, this must be an individual.

5. Enter your business name, address, and other requested details.

6. Review your entries and submit. If everything checks out, your EIN is assigned immediately.

One important note: the IRS limits online EIN applications to one per responsible party per day. If you’re forming multiple entities, you’ll need to space out your applications accordingly. Many business owners find that digital filing platforms can help streamline this process when managing multiple filings.

Fax Application

If you prefer to submit a paper form, you can complete Form SS-4 and fax it to the IRS. The appropriate fax number depends on your state and is listed in the Form SS-4 instructions, available on IRS.gov. Fax applications are typically processed within four business days, and the IRS will fax your EIN back to you if you include a return fax number on your submission.

Mail Application

You can also mail a completed Form SS-4 to the IRS address listed in the form instructions. This is the slowest method, with processing times of four to five weeks. If you’re not in a hurry and prefer paper documentation, this works fine. But for most new businesses that need to open a bank account or get moving quickly, the online or fax method is a better fit.

Phone Application for International Applicants

If you’re an international applicant without a U.S. Social Security number or ITIN, the online tool won’t work for you. Your only option is to call the IRS Business and Specialty Tax Line at 267-941-1099. This line is available Monday through Friday, 6 a.m. to 11 p.m. Eastern Time. An IRS representative will ask you the questions from Form SS-4 and assign your EIN during the call. It’s worth having your completed Form SS-4 in front of you before you dial so the process goes smoothly.

No matter which method you use, there is no fee to apply for an EIN. The IRS does not charge for this service, and you should be cautious of any third-party service that claims to be the IRS or charges excessive fees for a basic EIN application.

How the Process Differs for LLCs, Corporations, and Nonprofits

While the application form is the same for everyone, the details you’ll fill in and the context around your application vary depending on your entity type. Here’s what you need to know for each.

LLCs

When you apply as an LLC, the IRS will ask whether your LLC has one member or more than one member. This distinction matters because the IRS treats single-member and multi-member LLCs differently for tax purposes by default.

A single-member LLC is treated as a disregarded entity by default, meaning its income flows through to the owner’s personal return. A multi-member LLC is treated as a partnership by default. In both cases, the LLC still needs an EIN for banking, hiring, and state compliance purposes. If you’re still deciding on your structure, understanding why form an LLC can help clarify the advantages this entity type offers.

If your LLC has elected, or plans to elect, S corporation tax treatment, you’ll need to reflect that on your Form SS-4. Select “S corporation” as the entity type rather than “LLC.” This is because the S corp election changes how the IRS classifies your entity for tax purposes. You’ll also need your EIN before you can file the S corp election on Form 2553.

Corporations

All corporations, whether C corps or S corps, need an EIN regardless of how many employees they have or how much revenue they generate. For a C corporation, select “corporation” as your entity type on the application. For an S corporation, select “S corporation,” but only after your S corp election has been filed or is being filed concurrently.

If you’re forming a corporation and plan to elect S corp status, get your EIN first. The IRS requires your EIN to be on Form 2553 when you submit your S corp election. Without it, your election can’t be processed.

Nonprofits

Nonprofits have a specific sequence to follow. Before you can apply for federal tax-exempt status under Section 501(c)(3), you must have an EIN. The IRS requires it on both Form 1023 (the full application) and Form 1023-EZ (the streamlined version for smaller organizations).

When applying for your EIN as a nonprofit, select “other nonprofit organization” or “church or church-controlled organization” as appropriate. In the “reason for applying” section, you can note that you’re applying for tax-exempt status. Make sure the entity name on your EIN application matches exactly what’s on your state-approved articles of incorporation for your not-for-profit corporation.

After You Receive Your EIN: What Comes Next

Getting your EIN is a milestone, but it’s the beginning of your compliance journey, not the end. Here’s what to do immediately after your number is assigned.

Save your CP 575 confirmation letter: The IRS issues a confirmation letter called the CP 575 when your EIN is assigned. If you applied online, you can download and print it immediately. This letter is your official proof of your EIN, and some banks and government agencies require it. Store it somewhere safe, both digitally and as a physical copy.

Open a business bank account: With your EIN and formation documents in hand, you can now open a dedicated business checking account. Keeping business finances separate from personal ones is essential for maintaining your liability protection and making tax time far less complicated.

Register for state tax accounts: Depending on your state and business type, you may need to register for state employer taxes, sales tax, or other state-level accounts. Your EIN will be required for most of these registrations.

Beyond these immediate steps, your EIN is connected to several ongoing compliance obligations you’ll need to stay on top of. Investing in business compliance services can help you manage these requirements as your company grows.

Annual reports: Most states require LLCs and corporations to file annual or biennial reports with the Secretary of State. These keep your entity in good standing and often require your EIN.

Registered agent maintenance: Your business must maintain a statutory agent in every state where it’s registered. This is a separate requirement from your EIN, but it’s part of the same compliance picture.

Beneficial ownership information reporting: Under the Corporate Transparency Act, many LLCs and corporations are required to file beneficial ownership information with FinCEN. Your EIN is part of this filing.

There are also situations where you may need a new EIN versus situations where you don’t. You’ll need a new EIN if you change your entity structure, for example, converting from a sole proprietorship to an LLC, or if certain significant ownership changes occur. You do not need a new EIN simply because you moved to a new state or changed your business name. When in doubt, check the IRS guidance on this topic at IRS.gov or reach out to a professional for clarification.

Common Mistakes to Avoid When Applying

The EIN application process is straightforward, but there are a few places where things can go wrong. Knowing what to watch for will save you time and frustration.

Applying before your entity is formed: This is the most common mistake. If you apply for an EIN before your state has approved your formation documents, the information you enter may not match your official state records. This can create discrepancies that are difficult to resolve later. Always complete your entity formation first.

Selecting the wrong entity type: Choosing “sole proprietor” when you’ve formed an LLC, or selecting the wrong LLC classification, can cause problems with how the IRS categorizes your business. If you realize you’ve made an error, contact the IRS Business and Specialty Tax Line at 800-829-4933 to correct it. You can also write a letter to the IRS explaining the error and requesting a correction.

Losing your EIN confirmation notice: It happens more often than you’d think. If you lose your CP 575 letter, you can retrieve your EIN by calling the IRS Business and Specialty Tax Line at 800-829-4933. You can also find your EIN on previously filed tax returns, bank account documents, or any state filings where you provided it. The IRS will not reissue the CP 575, but they can provide a 147C letter as a replacement confirmation.

Using a third-party service that charges excessive fees: The IRS application is completely free. Some services charge significant fees to apply on your behalf. While professional assistance with your overall formation and compliance is valuable, make sure you understand exactly what you’re paying for.

Moving Forward with Confidence

Applying for an EIN is one of the most important early steps for any new LLC, corporation, or nonprofit, and fortunately, it’s also one of the more manageable ones. The process is free, the online application takes less than 15 minutes, and your number is issued immediately. With your EIN in hand, you can open a bank account, hire employees, apply for tax-exempt status, and begin building your business on a solid compliance foundation.

The key is to do things in the right order: form your entity with your state, gather your information, apply through the IRS, and then move on to the next steps like banking, state tax registration, and ongoing annual filings.

At vState Filings, we handle EIN applications and formation filings every day. If you’d rather focus on running your business while we take care of the paperwork, we’re here to help. Reach out through our contact page and we’ll walk you through exactly what you need. You can also explore our full range of formation and compliance services to see how we support businesses at every stage of growth.

This article is provided for informational purposes only and does not constitute legal or tax advice. Requirements may vary based on your specific circumstances and state. Consult a qualified attorney or tax professional for guidance tailored to your situation.