Frequently Asked Questions

What are the prerequisites for applying for an EIN and what is its format?

The prerequisites for applying for an Employer Identification Number (EIN) are quite straightforward. Firstly, your Limited Liability Company (LLC) must have state approval. This means that your business must be legally recognized by your state's Secretary of State before you can apply for an EIN. It's important to note that even if your LLC does not have employees, it can still be assigned an EIN. The EIN is a nine-digit number, similar to a person's Social Security Number. However, to distinguish the two, the EIN is written starting with two numbers, then a hyphen, followed by the remaining seven digits. An example of the EIN format would be: 12-3456789. If you previously had an EIN from a former taxation identity, perhaps due to a connection with a Sole Proprietorship, you would need to close that Tax ID number out. After receiving state approval for your LLC, you can then obtain a new number, which will be a completely different EIN for your Limited Liability Company.