What is an EIN Number ?
An EIN Number stands for Employer Identification Number and it will be issued by the IRS to your Indiana LLC. An EIN is to your Indiana LLC what a social Security Number is to a person. It helps the IRS identify your business for tax and file purposes. Having an EIN for your Indiana LLC allows you to open a distinguish bank report under the LLC ’ s diagnose, apply for certain licenses and permits, and handle employee payroll ( if applicable ).
even though it ’ second called an Employer Identification Number, it doesn ’ thyroxine mean that you have to have employees. The EIN is just a type of Taxpayer Identification Number ( TIN ) that identifies your Indiana LLC with the IRS. Special offer: If you hire Northwest to form your LLC ( $ 39 + state tip ), they ‘ll get your EIN Number for $ 50 .
Your Indiana LLC ’ s EIN may be called different names. They all mean the same thing though. exchangeable terms for an EIN include :
- EIN Number
- Employer ID Number
- Employer Identification Number
- Federal Employer ID Number
- Federal Employer Identification Number
- Federal Tax Number
- Federal Tax ID Number
- Federal Tax Identification Number
Benefits of having an EIN for your Indiana LLC
Having an EIN for your Indiana LLC enables you to do the following :
- Open an LLC business bank account
- File taxes at the federal, state, and local level
- Handle employee payroll (if applicable)
- Obtain business lines of credit or business loans
- Get a business credit card for your LLC
- Apply for business licenses
Wait for your Indiana LLC to be approved
Wait for your Indiana LLC to be approved by the Secretary of State before applying for your EIN. otherwise, if your LLC file is rejected, you ’ ll have an EIN attached to a non-existent LLC. however, if this does happen, you can always cancel your EIN and then apply for a new one. And you don ’ t have to wait for your cancellation to go through earlier applying for a new EIN .
Applying for an EIN for your LLC is free ( $ 0 )
Applying for an EIN for your Indiana LLC is wholly unblock. The IRS doesn ’ metric ton charge anything for applying for an EIN .
Don ’ triiodothyronine have an SSN or ITIN ?
If you ’ re a foreigner who formed an Indiana LLC, you can calm get an EIN without having an SSN or ITIN. You just can ’ metric ton get your EIN on-line. alternatively, you need to mail or fax Form SS-4 to the IRS. We have instructions hera : How to apply for EIN without an SSN or ITIN .
- Related article: How to apply for an ITIN
EIN Phone Application
You may have read that you can apply for an EIN by earphone. This is no retentive the character. The IRS has discontinued this service. The only businesses that can get an EIN by phone are nontaxable Organizations ( like non-profits ) and Foreign Companies ( companies formed outside of the United States ). If you ’ re a foreigner and you formed an LLC in Indiana, we have instructions below on how to apply for your EIN .
EIN Responsible Party
The EIN Responsible Party is a person that goes on file with the IRS when you apply for an EIN for your Indiana LLC. think of the Responsible Party as the LLC ’ s “ contact person ”. The IRS will send your LLC ’ randomness chain mail and correspondence to this person .
If you have a Single-Member Indiana LLC :
then you will be the EIN Responsible Party .
If you have a Multi-Member Indiana LLC :
One of the LLC Members will be the EIN Responsible Party. The IRS merely wants one person as the EIN Responsible Party. They don ’ thymine want all the Indiana LLC Members ’ information. The IRS gets the other Members ’ information when you file your 1065 Partnership return and issue K-1s each class. Although any LLC Member can be listed, you should list the LLC Member that will take on the responsibility of making certain the LLC ’ second taxes are handled by rights .
If your Indiana LLC is owned by another company:
The IRS made changes in 2018 that no longer allow an EIN Responsible Party to be a company. The EIN Responsible Party must be an individual person. So it ’ south best to list one of the individual owners of the rear company. Note: If you have an Indiana LLC that is owned by another party and you try to get an EIN on-line, you ’ ll good get an error message ( EIN reference point count ) at the end of the application .
To learn more about who can be the EIN Responsible Party for your Indiana LLC, please see EIN Responsible Party for LLC .
How is an Indiana LLC taxed?
By default option, an Indiana LLC is taxed based on the number of Members ( owners ). Meaning, an LLC is just taxed in the default option condition set by the IRS and the LLC doesn ’ triiodothyronine chosen to be taxed as a Corporation ( either a C-Corporation or an S-Corporation ). The default tax status for an Indiana Single-Member LLC is a Disregarded Entity, meaning if the LLC is owned by an individual, the LLC is taxed like a Sole Proprietorship. If the LLC is owned by a ship’s company, it is taxed as a branch/division of the parent company. The default option tax condition for an Indiana Multi-Member LLC is Partnership, meaning the IRS taxes the LLC like a Partnership.
If rather, you want your Indiana LLC taxed as a C-Corp, you ’ ll beginning apply for an EIN and then late file form 8832. If you want your LLC taxed as an S-Corp, you ’ ll first put on for an EIN and then late file shape 2553. If you choose to have your Indiana LLC taxed as a pot, make sure you speak with an accountant as there are a batch of details you need to consider. Having an LLC taxed as an S-Corporation is a much more popular choice than having an LLC taxed as a C-Corporation. S-Corporation tax income normally makes common sense once an LLC generates about $ 70,000 in net income per year .
How to apply for an EIN for your Indiana LLC
Below you will find 3 different sets of instructions :
1. If you have an SSN or ITIN, use the EIN online application
We recommend applying for an EIN on-line for your Indiana LLC if you have an SSN or ITIN. This is the easiest file method and it has the fastest approval time. We have instructions here:
How to apply for an EIN on-line
2. If you apply online, but you get an error message
If you have an SSN or ITIN, enforce for an EIN on-line, but you get an error message ( called an EIN citation total ) at the end, you will need to mail or fax Form SS-4 to the IRS rather. We have instructions here:
Apply for EIN for LLC with Form SS-4
3. If you don’t have an SSN or ITIN
If you don ’ metric ton have an SSN or ITIN, you can placid get an EIN for your Indiana LLC. You barely can ’ metric ton give for an EIN on-line. You will need to mail or fax Form SS-4 to the IRS alternatively and you must fill the form out in a certain way. We have instructions here:
How to get an EIN without an SSN or ITIN
EIN Confirmation Letter (EIN Approval)
once the IRS issues an EIN for your Indiana LLC you will receive your official blessing, known as an EIN Confirmation Letter (CP 575). The method you used to apply for an EIN will determine how you receive your EIN Confirmation Letter. If you applied for an EIN online:
You ’ ll be able to download a PDF copy of your EIN Confirmation Letter at the end of the on-line application. There is no waiting clock time. The IRS will besides send you a duplicate copy in the mail in about 4 to 5 weeks. If you sent Form SS-4 by fax:
The IRS will fax you back your EIN Confirmation Letter within 4 to 7 business days. If you sent Form SS-4 by mail:
The IRS will mail your EIN Confirmation Letter within 4 to 8 weeks. Here is what the EIN Confirmation Letter for an LLC looks like:
How to Cancel an EIN?
If there was a error with your beginning EIN application or you need to cancel your EIN Number for any reason, you precisely need to mail a cancellation letter to the IRS. We have instructions here : How to cancel an EIN. You don ’ t have to wait for your EIN cancellation to be finalized before getting a new EIN for your Indiana LLC .
LLC Business Bank Account
After getting your EIN, you can then open a separate commercial enterprise bank account for your Indiana LLC. Banks normally ask for the pursuit documents to open an Indiana LLC business bank account :
- EIN Confirmation Letter
- LLC Approval (stamped and approved Articles of Organization)
- LLC Operating Agreement
- Driver’s License and/or Passport
aside from the above, banks may besides require early paperwork ( like proofread of address ), so we recommend calling a few banks in Indiana ahead of fourth dimension before visiting them in person. It ’ second besides a good idea to ask if they have monthly fees on their “ basic ” occupation checking accounts since there are a numeral of banks that don ’ t have any monthly fees. If you ’ re a non-US resident ( foreigner ), you will need to show 2 forms of identification, such as your alien passport and your alien driver ’ south license. There are extra things to keep in mind when opening a U.S. bank account for your Indiana LLC that we have listed here : Non-US resident opening U.S. bank explanation for an LLC Note: You will need to open a savings bank account in Indiana since that is where you formed your LLC .
IRS Contact Information
If you have any questions, you can call the IRS at 1-800-829-4933. Their office hours are 7am – 7pm, Monday through Friday. We recommend that you call the IRS early to avoid long holding times .
once the IRS has issued an EIN for your Indiana LLC, you can then proceed to the future lesson : Indiana LLC Business Entity Report.
Matt holds a Bachelor’s Degree in business from Drexel University with a concentration in business law. He performs extensive research and analysis to convert state laws into simple instructions anyone can follow to form their LLC – all for free! Read more about Matt Horwitz has been the leading technical on LLC education for the past ten. He founded LLC University in 2010 after realizing people needed childlike and actionable instructions to start an LLC that other companies were n’t offering. He ‘s cited by Entrepreneur Magazine, Yahoo Finance, and the US Chamber of Commerce, and was featured by CNBC and InventRight.Matt holds a Bachelor ‘s Degree in business from Drexel University with a concentration in business law. He performs extensive research and psychoanalysis to convert state laws into simple instructions anyone can follow to form their LLC – all for loose ! Read more about Matt Horwitz and LLC University