[dub06]

Hi i was wandering if anyone knew the difference of a tax id and a EIN(emploer identification number) i thought they had the same meaning but sba.gov says you only need a EIN if you have employees. I need a tax id to buy from a wholeseller.

[paul2145r]

Well, they pretty much are the same thing.. Unless I'm mistaken. You Need an EIN if you have employees, but you don't NEED employees to get an EIN... See what I mean? You can go ahead and apply, just be ready to submit the necessary paperwork every three months or so!

[Swank]

typically you'd get an EIN when you setup a C corp, LLC, etc. Otherwise as a sole proprietor you'd get a tax ID. They are two forms of the same exact thing, one (EIN) is the version you use if/when you employ people.

[ceo77]

an EIN and tax ID are the same thing, just different names. I have one and depending on who asks for it they will refer to it as either or.

[radreality]

like other people have said, its pretty much the same thing just different names. Your social security number can be called your tax id, just the same as your EIN can be called your tax id. If you want to run a business that is separated from yourself, you shouldn't use your social security number as your tax id for the business.

Originally Posted by paul2145r

You can go ahead and apply, just be ready to submit the necessary paperwork every three months or so!

I'm not really sure what this guy meant. You only need to file paperwork for an EIN number once and its good for as long as your company is active and reporting to the IRS. He might be talking about quarterly reporting to the IRS, but if you don't have employees that isn't required, its your choice if you do it quarterly or annually.

All you need to do is fill out Form SS-4 from the IRS. After you fill it out, you can even call it into the IRS and they will process it and give you an EIN immediately over the phone.

______________________________
Robert Falk
Business Developer / Investor
Self Help & Success Forum

[mulatto401]

Yea, my business is a sole owner, and I didn't have employees when I got my EIN.

The government likes when you use your SSN as your tax id, but I wouldn't. Keep business and personal serperate. Its will help you in the end in alot of case.

[houeis]

Originally Posted by dub06

Hi i was wandering if anyone knew the difference of a tax id and a EIN(emploer identification number) i thought they had the same meaning but sba.gov says you only need a EIN if you have employees. I need a tax id to buy from a wholeseller.

You need both! If you plan on reporting your taxes to the Fedral goverment, then you need your EIN. Your EIN is like a social security for your business... On the other hand the State Tax ID, is for your sales or grocery sales tax... In other words, you only need that in the case that you sell any items within your current state. If you do, then you use your State Tax ID for that. YOU NEED BOTH (if you are not a sole owner. LLC, S Corps etc. need them) or else the IRS will come after you...

Good luck!