Every business needs an Employer ID number, regardless of the type of entity. You need one to start a corporation or S-Corporation, and also if you are a sole proprietor. Tax ID number applications are faster and easier than ever now, thanks to IRS-EIN-Tax-ID. You can apply for an EIN online and start using your EIN on the same day. As soon as you receive your confirmation email with your EIN, you are ready to start setting up your business. The process is painless and easy.
What if I do Not Have a Social Security Number?
All persons who work legally in the United States must have a social security number (SSN). This category includes U.S. citizens, permanent residents, and people with nonimmigrant work visas. People who are in the United States on student visas and visitor visas do not have a social security number. They may still need an EIN, though, if they are employing a babysitter or setting up a trust. They may also wish to join a business venture with U.S. citizens or permanent residents.
You Can Apply for an SSN and EIN Simultaneously
Most EIN applicants who do not yet have an SSN are in the process of applying for one. In some cases, they have already applied for an SSN and are waiting to receive the social security card. In other cases, they may go to the Department of State and apply simultaneously for an SSN and EIN.
People who are not eligible for an SSN can still get an EIN. They can do this if they start a business in partnership with someone who has an SSN. When this happens, it is the person who has the SSN who connects his social security number to the EIN.