March is associated with the coming of Spring, rain, flowers and tax season- some of which are more or less pleasant than the others. However, tax season can be perfectly manageable with the right tools and preparation. For instance, if you own a business, you may be required to file for an FEIN before you file a formal tax return. Here is a bit more on the subject:
What Is An FEIN? An IRS FEIN is another term for the IRS EIN tax ID. The EIN, or FEIN, is a tax ID for a give corporation. In much the same way that a social security number serves to identify individuals to the IRS, an EIN will identify a business or corporation. If you’ve just started a new business, you may need to apply for an EIN.
Who Needs an FEIN? Any business with employees, a corporation, or partnership requires an EIN number. If you are an independent contractor who runs his or her own business and does not have employees, you may not need an EIN. If, however, you wish to incorporate, you will need to apply for an FEIN number for tax purposes.
How Can One Obtain a FEIN? When it comes to obtaining an EIN number, you have the option of doing so online, by mail or via fax. If you choose to mail or fax your EIN form, which is available on the IRS website, be prepared to wait a few weeks before you get your tax ID number. The fastest way to obtain your FEIN is by doing so online. Many sites will allow you to obtain your EIN number instantly if you qualify, which can be particularly beneficial if you are rushing for tax deadlines.
Once you obtain an FEIN, you can file your taxes properly, and you can continue to use that number to file your company’s taxes every year.