It can be very confusing when you are bombarded with a lot of information all at once. Even if you would read different things, you will have trouble storing the details you have learned. This article aims to provide you with one topic that you need to know: tax ID Application. Do you think you are ready to apply for this?
Reasons to ApplyIf you are confused if you need to apply for tax ID or not, these are some possible reasons why people get a tax ID number:
- You are planning to start a new business.
- You need to hire employees, or you need to be employed as an employee.
- You want to open a bank account under the name of your company.
- The organisation has changed its structure and organisation.
- You have found an organisation with a partner.
Process to FollowThis is the process that you will follow so that you can quickly get your tax ID:
- Select the reason why you would like to get a tax ID number.
- You will be redirected to the SS-4 form that you may choose to fill up online if you are a resident of the United States. You can print this out and mail/fax it if you are a non-US resident.
- Pay for the one-time processing so that you can get your tax ID number and your tax ID
Most people report that they get it within an hour of filing an application. It will take longer if you are a non-US resident. A fax message will take about 4 business days before it can get approved. It will take longer if you would send the form through snail mail. The answer can be received in a month.
Even if you receive your tax ID number, it will take a couple of weeks before your ID becomes a part of the system. This means that you cannot immediately use your ID to open a bank account under your business’ name. You also cannot make an e-payment yet. You need to be patient before your card becomes useful.
Getting a tax ID form and eventually getting your ID is something that you can do on your own. If you have the money to spare and you want to go through the application fuss-free, some companies can do the process for you. The fees are a bit staggering though so if you would instead use the money for your business, then do the method mentioned above.