If a loved one has a passed away, you will want to make sure to take care of all the financial obligations that come with an estate. Completing the IRS EIN application is simple, and you can often receive an approval on an application within the same business day.
How You can get an EIN for an Estate
The application process for an EIN can be completed online and once you have your number, you will be able to use it immediately. To complete the application, you will need the Social Security Number of the deceased, Social Security Number of the responsible party and the contact information for the responsible party.
If you are a family member or a friend, you will be responsible for paying annual income taxes and dividing money among the rightful heirs. If you are working on an estate that has complicated finances, consider working with a tax attorney or a tax accountant. Let heirs know about any money they are receiving because they may have to pay taxes.
LLCs Can Easily Obtain a Federal Tax ID Number
The Limited Liability Corporation (LLC) is unique to the United States, which allows the individual to enjoy the protections of a corporation. There are several benefits for starting an LLC. An LLC offers plenty of protection, as its members are not responsible for business debts and other liabilities.
A LLC will need to obtain an LLC Tax ID Number. The Tax ID Number is a nine-digit number used by the IRS to identify your business as a tax paying entity within the U.S. When you have your federal Tax ID number, you will be able to obtain a bank account, apply for a credit card or secure permits.
An EIN is needed for a variety of businesses, and will help you when you are trying to complete the work that comes with starting an estate. When you have an estate and LLC, you will want to complete the process for an EIN.