How To Get A EIN (Tax ID) Number In Connecticut
Connecticut offers one of the most educated workforces in the country, making it a great place to start a business. However, before you start hiring your team, making sales, or launching other aspects of your business, you will need to obtain a Connecticut tax ID number and a federal EIN number.
To help you out, this guide explains how to obtain a Connecticut EIN number. Then, it looks at the differences between a Connecticut tax ID number and a federal tax ID number.
How To Apply For A Tax ID Number In Connecticut
To apply for a Connecticut EIN number, you need to gather basic information about your business and identify a responsible party. Then, you simply need to submit the information and wait for the government to mail you a number. Once you have the number, you can start using it right away on tax forms, loan applications, and more. Keep reading for a step-by-step overview of the EIN application process.
Prepare The Required Information
Ideally, you should gather the details you need before you start the online application so it doesn’t time out. If you’re working with a business formation specialist, you should gather this information and then provide it to them — they can guide you toward the info you need. To apply for an EIN number Connecticut business owners need the following details:
● Legal and trade name of business — If you’re forming an LLC or a corporation, you should establish your name with the CT Secretary of State before you start this process.
● Contact details for your business — This includes mailing addresses and phone numbers. You don’t have to note an email address.
● Whether our business is an LLC or a corporation — If either of these business structures applies to your situation, you need to provide details about your incorporation date and the number of members.
● Type of entity — The main options are sole proprietorship, partnership, and corporation, but you can also obtain a Connecticut EIN number for nonprofits, government entities, estates, trusts, farm cooperatives, and other types of organizations.
● The reason you’re applying — Options include hiring employees, compliance with withholding regulations, banking, changing the type of organization, and purchasing an existing business.
● Type of business — You simply need to note your main industry category and your principal merchandise or services.
● Name of the responsible party — This is the person to whom the IRS can send correspondence, and it must be a person, not a business entity.
Once you have the above details, you need to decide if you want to apply online or through the mail. You can also apply using a fax machine, but you can only apply over the phone if you’re based in another country.
When applying for an EIN number Connecticut residents should consider doing the process online. Applying for an EIN online is the easiest and fastest option. Often, you can get your Employer Identification Number the same day that you apply.
Submit Your Application Via Mail
To apply for a federal tax ID number through the mail, you need Form SS-4. This form requests the details noted above. You can complete it on your own or pay a professional to help you. In either case, you should expect to wait several weeks to receive your Connecticut EIN number.
Frequently Asked Questions
An EIN is an employer identification number. It identifies your business on payroll tax returns, and you must have this number if you hire employees. You also need an EIN number to file corporate or partnership tax returns as well as federal excise tax returns.
To get an EIN number Connecticut residents need to reach out to the federal government. You cannot obtain this number from the CT Secretary of State.
No. An EIN is a federal tax ID number, but there are also state tax ID numbers. Businesses and other organizations can obtain their state tax ID number from the CT Department of Revenue Services. You use the state ID number on state tax returns which include sales tax and state withholding tax for your employees.
Running a business comes with a lot of different tax obligations. Business owners need to deal with a mix of state and federal taxes plus local taxes. This can be complicated, and for best results, business founders may want to consult with a specialist.