Are you in the process of starting a business in Missouri? If so, you may have come across the term EIN and wondered about its significance for your new company.
Not every small business will need one, but many businesses in Missouri require an Employer Identification Number, also known as an EIN. This number serves as your business’s identification for tax purposes and is necessary for various activities, including opening a bank account, hiring employees, and filing tax returns.
During your research, you might encounter services that charge fees to obtain this number on your behalf. However, it’s important to know that you don’t need to pay for an EIN. You can acquire one directly from the Internal Revenue Service at no cost.
Understanding the process can be challenging, especially when you’re managing all the other aspects of starting a business. We’ve created this resource to help. Our article explains what an EIN is, which businesses need one, and, most importantly, how to obtain your Missouri EIN without any fees.
See: Steps to Starting a Business in Missouri
What is the Employer Identification Number (EIN)?
EIN is short for Employer Identification Number and is sometimes referred to as a Federal Employer Identification Number (FEIN), Federal Tax Identification Number, or Federal Tax ID Number. The EIN is a unique nine-digit number that is similar to a social security number for an individual but instead identifies a business. It’s important to note that while we’re discussing how to get a “Missouri EIN,” the EIN is actually issued by the federal government through the IRS, not by the state of Missouri.
Who needs a Missouri EIN?
The EIN is needed for Missouri businesses that are either:
- Registered as a general partnership, corporation, or multi-member Limited Liability Company, or;
- A sole proprietorship or single-member LLC that has employees
The EIN is optional for sole proprietorships and single-member LLCs without employees. Those business entities will use the owner’s social security number (SSN) or Individual Taxpayer Identification Number (ITIN). While it’s not required, using an EIN in place of the owner’s SSN can help protect the owner from identity theft.
Some other uses of the EIN include:
- Opening a bank account: Before opening a business bank account, banks will ask for an EIN.
- Applying for business licenses & permits: Many Missouri business licenses will require the EIN (or SSN in some cases) before filing an application.
- Filing tax returns: The EIN is used to identify the business when filing state and federal tax returns.
Related: How to register for an EIN without an SSN
How to apply for an EIN
The easiest and fastest way to apply for an EIN is to visit the Internal Revenue Service (IRS) website between 7 a.m. and 10 p.m. EST, Monday through Friday.
The online application process only takes about 5 minutes to file the EIN online, and the number will be ready in seconds. If applying online isn’t an option, you can also complete an EIN application by mail or fax by sending Form SS-4 to the IRS fax number 855-641-6935.
You can even get an EIN over the phone if the company was formed outside the U.S. by calling 267-941-1099. Note that this isn’t a toll-free number if filing by phone.
There is no cost for an EIN when you apply directly through the Internal Revenue Service.
What information do I need to get an Employer Identification Number?
Applying for an EIN in Missouri is pretty straightforward, but you will need to obtain some information beforehand, such as:
- Legal name of the business
- Business address
- Name(s) of the principal officer, manager, or owner
- Name(s) and contact information of the owners, directors, officers, or members
- Type of business and what activities the business performs
- Date the business was started or acquired
- Closing month of the entity’s accounting year
- Number of employees expected to be hired
- Contact information
Within seconds, the IRS will provide the EIN that can be used immediately. A few weeks later, the IRS will send the official paperwork, known as an EIN Confirmation Letter (CP 575).
When might a new EIN be needed?
While most businesses will keep the same EIN throughout their existence, there are certain situations where a new EIN might be required:
- Changes in ownership structure (e.g., sole proprietorship to corporation)
- Bankruptcy filing
- A corporation receives a new charter from the secretary of state
- A subsidiary is created to be operated as a separate entity from its parent company
If any of these situations apply to your business, you may need to apply for a new EIN.
What if a business loses its EIN?
If you’ve lost or misplaced your EIN, don’t worry. Here are steps you can take to recover it:
- Check any old tax returns or business documents where the EIN might be listed.
- Contact the bank where you opened a business account; they should have the EIN on file.
- Call the IRS Business & Specialty Tax Line at 800-829-4933.
- If you applied online, you can retrieve a lost EIN immediately by using the IRS’s EIN lookup tool on their website.
Additional state tax ID numbers for Missouri businesses
While the EIN is a federal identification number, Missouri businesses may also need to obtain state-specific tax ID numbers. These include:
- Missouri Tax Identification Number: Required for businesses that need to file sales tax, withholding tax, or certain other business taxes in Missouri.
- Missouri Unemployment Tax Number: Needed if your business has employees in Missouri.
You can apply for these numbers through the Missouri Department of Revenue and the Missouri Department of Labor and Industrial Relations, respectively.
Is an EIN the same as a Missouri sales tax license?
No, these registrations are commonly confused, and many businesses will actually need both. Businesses selling a product or offering certain services in the state need a Missouri sales tax license from the Missouri Department of Revenue.
Frequently Asked Questions about Missouri EINs
- Q: Is there a fee for obtaining an EIN? A: No, obtaining an EIN directly from the IRS is free of charge.
- Q: How long does it take to get an EIN? A: If you apply online, you’ll receive your EIN immediately. Other methods may take up to 4-5 weeks.
- Q: Can I use my EIN to file personal taxes? A: No, your EIN is for business taxes only. Use your Social Security Number for personal taxes.
- Q: Do I need a new EIN if I change my business name? A: Generally, no. A name change alone doesn’t require a new EIN.
- Q: Can I have multiple EINs for one business? A: Generally, a business should have only one EIN. However, there are some exceptions, such as for different branches of a corporation.
Remember, while this guide provides general information, tax laws can be complex. For specific advice about your business situation, it’s always best to consult with a local Missouri Small Business Development Center, qualified tax professional, or attorney.