When you start your company, the state needs a way to distinguish you from other companies. One way is by requiring a unique name. However, this is not enough and you need to make yourself even more distinguishable. To do this, the authorities give you a tax ID number known as an EIN. It can be confusing to understand if and when you need a New York State EIN number. In truth, this number is essential in several aspects of business operation. These include generating payrolls, paying taxes, starting a bank account and many others. Understanding how an EIN New York works and how to get one is thus crucial.
Many people compare this number with the SSN given to individuals and it pretty much serves the same purpose but for companies. It is also known as:
Not every company needs this number. However, it comes with many benefits and it’s a good idea to apply for one. After all, you can get an EIN for free from the IRS!
This number is necessary if you have employees as you will need to generate a payroll for them. Please note that this also applies to a company with more than one member. Even if your company does not fall into these categories, getting this number helps you in:
These are but some of the benefits that accrue from making an application.
You can easily locate your NY state EIN number via:
Before making an application, you have to ensure that you are formally approved to conduct business. Otherwise, you can still get an ID but it would not help you as it would not be tied to your company. Once you have your confirmation, you can get your ID via:
If you are looking for the easiest and fastest way to get your ID, this is the best option. You can get it at anytime from 7 in the morning till 10 at night but for the online application process to go through, you need to have a valid taxpayer ID. Once you start the session on the Internal Revenue Service (IRS) website, you have to complete it within that session with a limit of 15 minutes. If you cannot, you will have to start over as the site does not save your information. Please note that you will get the ID immediately you file the EIN online.
This option is not available to you if you have used it before or lack a valid taxpayer ID. If you fall into these categories, it helps to consider the below alternatives:
In this case, you need to access and fill form SS4 and send it to:
Internal Revenue Service Operation
Attn: EIN Operation
Cincinnati, OH 45999
You will use the same form as if you were filing by mail, only that this time, you will send the application to:
This option works for international applicants who do not have valid IDs and cannot make an EIN application by mail or fax. You will need to fill out the SS4 form and can leave 7b blank. You will then call the IRS on 267-941-1099. They are available on weekdays from 7 in the morning to 10 at night EST. Please note that this is not a toll-free number and you will incur charges for connection. It can take up to an hour to complete the process, more so when you call on a Monday. To save time and money, call using a web calling service and do so on days other than Monday.
You should get a confirmation on the same day when you use an online application. For fax and mail applications, the waiting time is 4-7 business days and 4-8 weeks respectively. Please note that you are not subject to any fees when accessing this service as it is completely free. However, if you choose to use a third party to do this for you, New York state EIN application service costs will apply.