The online application form immediately issues a new employer identification number, or EIN, eliminating both paperwork and the usual four-to-10 day wait to receive an EIN through paper processes. The IRS assigns the nine-digit numbers to identify taxpayers. The number is required for a host of purposes and getting it quickly is important for someone starting a business. A business cannot establish a bank account, for instance, without a federal EIN.

 

"Making EINs available to IRS customers on an immediate and permanent basis is an important step in improving our partnership with the business community," Commissioner Mark W. Everson said. "We want to reduce burden for businesses and tax professionals wherever possible."

 

By the end of November 2003, the IRS was receiving 37.5 percent of all EIN applications through the Internet. The online application mimics the paper Form SS-4, Application for Employer Identification Number. EIN applications can also be submitted by phone, fax or by mail. Applications faxed or mailed are often incomplete, contain errors and frequently require additional contact with the applicant by an IRS employee. The online application requires that all information needed to process the application be submitted before the EIN is assigned to the taxpayer.

 

The easiest way to get to the online EIN application is to type "EIN" in the IRS Keyword search on the IRS.gov homepage.