Employer Identification Number - EIN

DEFINITION of 'Employer Identification Number - EIN'

A unique identification number that is assigned to a business entity so that they can easily be identified by the Internal Revenue Service. The Employer Identification Number is commonly used by employers for the purpose of reporting taxes.

Also known as a Federal Tax Identification Number. When it is used to identify a corporation for tax purposes, it is commonly referred to as a Tax Identification Number.

BREAKING DOWN 'Employer Identification Number - EIN'

The EIN is a nine-digit number, and its role is similar to that of the Social Security number. The number includes information about which state the corporation is registered in. EINs can be applied for by phone, online or by mail. The digits of an EIN are formatted as follows: XX-XXXXXXX. Businesses that have changed their ownership structure usually must apply for a new EIN.

RELATED TERMS
  1. Taxpayer Identification Number ...

    A number that is assigned to a tax paying businesses for identification ...
  2. Tax Identification Number - TIN

    As the name implies, this number is a nine-digit number used ...
  3. Bank Identification Number - BIN

    The first four to six digits of a credit card. The bank identification ...
  4. IRS Publication 908

    A document published by the Internal Revenue Service (IRS) that ...
  5. Specific Identification Inventory ...

    A method of keeping track of all items in an inventory. Specific ...
  6. CUSIP Number

    An identification number assigned to all stocks and registered ...
Related Articles
  1. Entrepreneurship

    How to Obtain Your Federal Business Tax ID

    Learn how an eligible business obtains a federal tax identification number or employer identification number from the IRS by mail, by fax, by phone or online.
  2. Taxes

    What is a Tax Identification Number?

    A tax identification number, or TIN, is a nine-digit figure the IRS uses for certain tracking purposes.
  3. Personal Finance

    Promises To Fix Credit Problems

    Don't get caught believing these "too good to be true" promises. Learn the signs of a money scam and keep your wallet safe.
  4. Taxes

    Employers: Don't Forget IRS Form 941

    Your obligations as an employer include various employment taxes. Use this form to report them.
  5. Entrepreneurship

    Foreigner Starting A Business In The U.S.?

    Keep these four startup steps in mind before you do.
  6. Retirement

    The Purpose Of Having A Social Security Number

    When (and why) it is necessary to use the nine-digit number the United States government issues to individuals and when you should avoid it.
  7. Entrepreneurship

    Starting A Small Business: Location And Licenses

    By Amy Fontinelle The type of business you're starting, the laws where you want to open your business, what you can afford and what suits your lifestyle will determine what options you have ...
  8. Professionals

    Opening a Brokerage Account

    Opening a Brokerage Account
  9. Entrepreneurship

    Hiring? Regulations Small Businesses Need to Know

    When a small business becomes an employer, it has new responsibilities. Make sure you familiarize yourself with regulatory requirements.
  10. Taxes

    Filling Out The W-9 Form

    Freelancers and independent contractors have to give a W-9 to their clients – and you might need to provide one for other transactions. Here's what to do.
RELATED FAQS
  1. What are the advantages of paying your taxes with the Electronic Federal Tax Payment ...

    The Electronic Federal Tax Payment System (EFTPS) is a free tax payment service offered by the U.S. Department of the Treasury ... Read Answer >>
  2. What are the main methods for calculating business costs?

    See why different economic actors use different methods for calculating costs, and learn how different methods can impact ... Read Answer >>
  3. What are the dangers of using the Electronic Federal Tax Payment System (EFTPS)?

    The Electronic Federal Tax Payment System (EFTPS) is a convenient way to file your taxes, but you need to be aware of some ... Read Answer >>
  4. How can I change the information on my Social Security card?

    Discover the process of filing for a name change on your social security card, the documentation required for the request ... Read Answer >>
  5. How can I change my name on my Social Security card?

    Learn what documents are needed to change your name on your Social Security card whether you are a natural-born or foreign ... Read Answer >>
  6. When am I not required to submit a social security number on my tax return?

    When filing your tax return, you are generally required to include the social security numbers of yourself and the individuals ... Read Answer >>
Hot Definitions
  1. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  2. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  3. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  4. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  5. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
  6. Generally Accepted Accounting Principles - GAAP

    The common set of accounting principles, standards and procedures that companies use to compile their financial statements. ...
Trading Center