An IRS EIN number is a tax identification and can be obtained by applying to the IRS. This article will tell you everything you need to know about an IRS EIN number and how it ties into your business. An EIN is a nine-digit tax ID number for businesses in the United States, and if your company doesn't already have one, it's important to get one. It's a 13-digit number used to identify business entities that are subject to US Federal income tax. An EIN Number is something that a company can apply for by filling out a form.
A Free EIN Number is just that, a number that is not charged. It is a number that is produced by a company called the IRS. The process of acquiring a Free EIN can be a bit confusing, and that is the reason why the IRS provides a video on the subject.
Why You Need an IRS EIN Number
The Internal Revenue Service (IRS) will not do it for you. You need to apply for an IRS EIN number yourself. Why? The EIN is hard to open a business account, make purchases on behalf of your business, and even pay taxes.
If the Internal Revenue Service doesn't want you to have an EIN, then you are definitely going to need one if you are running a business.
How to Apply for IRS EIN Number if You're a Non USA Citizen
If you are a non-US citizen and need an EIN number, it is best to go about it through the IRS's international EIN services. There are many ways in which one can apply for an EIN number if they are a Non-US citizen, as long as they have the necessary documents to prove that they are authorized to do so.
The process of applying for an EIN Number as a non-US citizen can be done by mail or online. Through mail, one must complete and submit the following:
- One completed Form SS-4 (Application for Employer Identification Number).
- A letter requesting an International Social Security Agreement (Form SS-5).
- Supporting documentation that proves your right to work in the US
If you want to get your EIN number without going through all the process mentioned above, then hire a Freelancer that can help you. They will charge you one-time fees, after that, you don't have to pay anything. You can use this EIN for as long as you want. There won't be any issue with EIN number that you will get from Freelancer. Check out this gig on Fiverr: I will get your IRS EIN for non US citizens
3 Reasons Why You Should Get an IRS EIN Number
1. An EIN number is required for any U.S. business entity to open a bank account, get tax-exempt status, and receive many types of U.S. government benefits and grants. You must have an EIN number if you want to register your Business in the USA as a non US citizen. An EIN number serves as a substitute for a social security number.
2. Avoid 30% Tax withhold on Income from United States company. That means if you are getting paid from any business that is registered in US such as Amazon, YouTube etc., 30% of your income will be on hold for one year by US government. If you have an EIN number, then you can avoid this withholding. Just make sure to fill up Tax form as a citizen of the United States. That means you can claim you are a USA citizen by just having an EIN number, which is cool.
3. It allows you to claim deductions on the company’s federal income tax return. You don't need to worry about federal income tax return if you are a non USA citizens. Even you make more than 20k USA in a Year (which is the lowest tax bracket), as long as your bank account is not located in the USA you don't need to pay tax. If your bank account is located in the USA, then you have to pay tax in US.
Conclusion:
In conclusion, it seems essential to get an IRS EIN Number if you want to start your own business in the United States of America or have one with overseas interests here in America! In must case, you don't need to have a registered business in the United States or anywhere else, you can get EIN number under your name or your business name without any proof of documents. You can get an EIN as a Non US Citizen, you just have to reach out IRS to get one. You can do that via a phone call or Fax.
