27 Apr How to Apply for a Tax ID in Ohio In 3 Easy Steps
Use of a federal tax ID rather than a social security number is a rising trend in Ohio as it is in other states. This has come to pass because it is becoming more difficult to trust anyone with your social security number. A Federal Tax ID is a valid alternative that allows employers and other paying clients the ability to report earnings to the IRS without risking the identity theft that comes with a stolen social security number. If you are interested in getting one of your own, it may be easier than you think.
Step 1: Determine What You Want To Use It For
The first step may be the easiest, but also the most important. Determine if you want to use the Employee Identification Number (EIN) as an employee, for a sole proprietorship, or as a part of a corporation such as an LLC. If you transfer from one to another, you will likely need to apply all over again.
Step 2: Gather Your Business Information
Even if you are using your EIN for a simple sole proprietorship you will need to answer many questions regarding your business dealings and financial status. This will include all addresses where you do business, property owned such as real estate and vehicles, employees working under you, and tax returns.
Step 3: Engage The Services Of A Notary Or Filing Service
Although the process to apply for an EIN is fairly straightforward, all documentation needs to be prepared correctly and some copies will need to be certified. Hiring a notary or filing service that has one on staff will make this process pain-free. For more information, read help applying in Ohio.