Employer Tax ID Number

This a basic guide for the Employer Identification Number, or EIN. Some people call it Employer Tax ID Number.

This is the IRS definition:

An Employer Identification Number (EIN) is a nine-digit number that IRS
assigns in the following format: XX-XXXXXXX. It is used to identify the
tax accounts of employers and certain others who have no employees.
However, for employee plans an alpha (for example, P) or the plan
number (e.g., 003) may follow the EIN. The IRS uses the number to
identify taxpayers that are required to file various business tax returns.
EINs are used by employers, sole proprietors, corporations,
partnerships, non-profit associations, trusts, estates of decedents,
government agencies, certain individuals, and other business entities.
Use your EIN on all of the items that you send to the IRS and the Social
Security Administration (SSA).

You can get the PDF Here

When you get ready to do your taxes, check your W-2 to make sure the EIN is there, or your return will be rejected. On the software I use at work, we enter the number 2 times to confirm it is correct.

Tim


---
Tim Watson is a tax preparer during the tax season. Do you need to learn even more about taxes? Here is a great guide U.S. Master Tax Guide . Need a break? Take a look at my Christmas Page .