How to Apply for a Restaurant Tax ID or EIN Number

Do you know if you own a restaurant, you need a Tax ID (EIN) number? When you open a restaurant, it does not matter the food you serve, if you have an LLC or a Corporation, or the type of clients you want to bring in, you need to be in compliance with the Internal Revenue Service. To be compliant with the IRS, you need an employer identification number. The application process gets you to the number in a variety of ways. Choosing the appropriate method, though, will ensure you are compliant with the Internal Revenue Service before you put anything on the grill or serve up your first meal for a client.


Steps to Getting a Tax ID (EIN) Number for a Restaurant

  1. What is a Tax ID (EIN) Number?
  2. Why Does a Restaurant Need a Tax ID (EIN) Number?
  3. How to Get a Tax ID (EIN) Number for a Restaurant Online
  4. How to Get a Tax ID (EIN) Number for a Restaurant through Mail or Fax
  5. Is an EIN Number the Same as a Tax ID?
  6. How Long Does It Take to Get a Tax ID (EIN) Number for a Restaurant Business?

1. What is a Tax ID (EIN) Number?

The employer identification number or Federal Tax ID (EIN) Number is the unique nine-digit number which you get from the Internal Revenue Service. The idea for the number is to allow for the IRS to identify your business and any business dealings you may do. For example, if your restaurant decides to go to a bank to take out a loan, it is the employer identification number they will use. The unique identifier is how the IRS sees your business.

There are other names for the employer identification number. The abbreviation of EIN is one of the most common forms the number takes. You may also see it referenced as the Federal Employer Identification Number or Federal Tax Identification Number. All of these are exactly the same nine-digit unique number.

2. Why Does a Restaurant Need a Tax ID (EIN) Number?

There are many reasons why a restaurant needs a Tax ID (EIN) Number. Take a restaurant that wants to open up a business checking or savings account. In most cases, a bank is going to require a valid EIN in order to open up the account and process the application. If you want to do business with banks or anything in the finance space, you need your EIN Number.

If you have employees, the restaurant also needs to have a Tax ID (EIN) Number. The Tax ID (EIN) Number? is what the IRS will use to track all of your payroll tax needs. Business owners, other than those acting as a sole proprietorship and running the restaurant in isolation, will also need an EIN, even if you have no employees. The EIN is also put to use to track all the business income for tax purposes with the Internal Revenue Service.

3. How to Get a Tax ID (EIN) Number for a Restaurant Online

The easiest way to get a Tax ID (EIN) Number for your restaurant is to apply online. The Internal Revenue Service has an online portal where you can hop on their site, locate the form, fill it out, submit, and await the processing. You can fill in all the information including the principal address of the business, the responsible party of the restaurant, etc. When you put all the details on the online application form, you will then submit to the Internal Revenue Service for processing.

The IRS will process the online application instantly, immediately allowing its online system to review everything you submit. Once the validation is complete, it is then the IRS will be returning to you the complete EIN.


4. How to Get a Tax ID (EIN) Number for a Restaurant through Mail or Fax

You have the ability to get a Tax ID (EIN) Number for your restaurant through the mail or fax as well. When you are applying through the mail, you will be printing out the form from the Internal Revenue Service. With the paper form in hand, you can complete all the information such as the responsible party, the address of the restaurant, and so on. You will then package up the application in an envelope, stamp it, and send it in for processing.

The fax form of applying for a Tax ID (EIN) Number is similar to the mail form. You print out the application and complete it in full. Once you complete the application, you submit it to the Internal Revenue Service with a fax machine, faxing it to the IRS via their number. The IRS then sends fax back to you when they are done processing the request.

5. Is an EIN Number the Same as a Tax ID?

There is no difference between an EIN number and a Tax ID number. There are a lot of different names for these identifiers. You may hear the EIN or employer identification number referred to as a federal tax identification number or federal employer identification number. You may also just see it with the listing as a tax ID number. You want to remember these are all exactly the same in the eyes of the IRS.

6. How Long Does It Take to Get a Tax ID (EIN) Number for a Restaurant Business?

The length of time it takes to get a Tax ID (EIN) Number for a restaurant depends on how you apply. When you apply online you can get an EIN number back in just fifteen minutes or so. If you apply via fax, it will take a few days at a minimum. When you apply through the mail, you can expect it to take a few weeks.

Running a business always requires you to be on top of your game. You need to be sure your restaurant is serving up the best food, the ultimate client experience, etc. On top of the restaurant running, you need to be ready to handle back office business. The business includes being compliant with the Internal Revenue Service at all times. Getting a Tax ID (EIN) number for your restaurant is the first big step and should be something you do before you open your doors or do any real business. Get compliant early and complete the EIN application process right online.