How To Get a Tax ID Number For a Business: A Complete Step-by-Step Guide for Founders
Feb 23, 2026
If you’re researching how to get a tax ID number for a business, the short answer is this: you must register your business with the appropriate government authority, submit required formation documents, and apply through the official tax agency often online. In the United States, that means applying for an Employer Identification Number (EIN) through the Internal Revenue Service (IRS). In other countries, the process is similar but handled by the national tax authority.
A tax ID number is essential for opening business bank accounts, hiring employees, filing taxes, and working with payment processors. This guide explains what a business tax ID is, who needs one, and how to apply step by step whether you’re a local founder or an international entrepreneur.
What Is a Tax ID Number for a Business?
A tax ID number for a business is a unique identifier issued by a government tax authority. It allows the government to track your company’s tax obligations and reporting.
In the United States, the business tax ID is called an Employer Identification Number (EIN) and is issued by the IRS. According to the IRS official EIN guidance, an EIN is required for most businesses that:
Hire employees
Operate as a corporation or partnership
File specific types of tax returns
Withhold taxes on income paid to non-resident aliens
Other countries use different terms such as Tax Identification Number (TIN), Business Number (BN), or Company Registration Number but the function is largely the same.
Who Needs a Tax ID Number?
Not every business requires a separate tax ID, but most do.
You typically need a tax ID number if:
You formed an LLC, corporation, or partnership
You plan to hire employees
You want to open a business bank account
You need to work with payment processors
You want to separate business and personal finances
Even sole proprietors often apply for a tax ID to avoid using their personal Social Security Number for business activities.
If you plan to open a U.S. business bank account, an EIN is almost always required as part of the onboarding process.
How To Get a Tax ID Number For a Business (United States)
Step 1: Form Your Legal Business Entity
Before applying for a tax ID, your business must legally exist.
This means registering:
An LLC
A corporation (C-Corp or S-Corp)
A partnership
Or operating as a sole proprietorship
Your formation documents such as Articles of Organization or Articles of Incorporation will be required during the tax ID application.
If you are unsure about entity type, review guidance from the U.S. Small Business Administration’s business structure overview, which explains how each structure affects taxation and liability.
Step 2: Determine Responsible Party Information
The IRS requires you to identify a “responsible party” typically the founder or principal officer.
You will need:
Legal name
Taxpayer identification number (SSN or ITIN for U.S. persons)
Business address
Date of formation
Accuracy is critical. Inconsistent details can delay approval.
Step 3: Apply Through the Official IRS EIN Application
To get a tax ID number for a business in the United States, apply directly through the IRS online EIN application portal.
The online application is:
Free
Available during designated hours
Processed immediately upon approval
At the end of the process, you receive an EIN confirmation letter (CP 575), which you should store securely.
Avoid third-party services that charge unnecessary fees for submitting the same free form.
Step 4: Receive and Store Your EIN Confirmation
Once issued, your EIN becomes your permanent business tax ID.
You will use it to:
Open a business bank account
File federal and state taxes
Apply for business credit
Register with payroll providers
Work with payment processors
Keep both digital and printed copies of your confirmation notice.
How To Get a Tax ID Number as a Non-U.S. Founder
International entrepreneurs forming a U.S. entity can still obtain an EIN.
If you do not have a Social Security Number (SSN), you may:
Complete IRS Form SS-4
Submit by fax or mail
Or work with formation agents familiar with non-resident applications
Processing may take longer than the online system used by U.S. residents.
Non-resident founders must ensure consistency between:
Incorporation documents
Responsible party information
U.S. mailing address (if required)
Proper documentation significantly improves approval speed.
How Long Does It Take to Get a Tax ID Number?
Processing times vary by country and application method.
In the United States:
Online applications: Immediate approval (if eligible)
Fax submissions: Several business days to weeks
Mail applications: Several weeks
International founders typically experience longer timelines due to manual review.
Common Mistakes When Applying for a Business Tax ID
Many founders encounter delays due to avoidable errors.
Incorrect Business Name
The legal name entered must match formation documents exactly.
Mismatched Addresses
The address used in your EIN application should align with your formation records.
Applying Before Entity Formation
You cannot obtain a tax ID for a business that is not legally registered.
Paying Unnecessary Third-Party Fees
Government tax ID applications are typically free when submitted directly through official channels.
What Happens After You Get a Tax ID Number?
Once your tax ID is issued, the next steps typically include:
Opening a business bank account
Registering for state taxes (if applicable)
Setting up accounting systems
Applying for business licenses
Integrating payment processors
For founders working internationally, efficient financial infrastructure becomes just as important as compliance documentation.
The Role of Financial Infrastructure After Getting a Tax ID
Obtaining a tax ID number for a business is only the first step in building operational capacity.
Modern startups often require:
Multi-currency payment acceptance
USD, EUR, and GBP settlement options
Efficient contractor payouts
Reduced foreign exchange friction
For globally distributed teams, combining proper tax registration with flexible cross-border payment solutions strengthens long-term scalability.
Hurupay Inc. provides multi-currency accounts that allow startups and remote businesses to receive and send USD, EUR, and GBP payments efficiently. After securing your tax ID and formalizing your business structure, having streamlined payment infrastructure can simplify global operations and reduce unnecessary transfer costs.
While a tax ID establishes legal recognition, reliable financial systems enable practical growth.
Do You Need Separate State Tax IDs?
In the United States, some states require additional tax registration beyond the federal EIN.
You may need to register for:
State income tax
Sales tax permits
Employer payroll tax accounts
Requirements vary by state. Always verify obligations with your state’s department of revenue.
Final Answer: How To Get a Tax ID Number For a Business
To get a tax ID number for a business:
Form your legal business entity.
Gather required identification and formation documents.
Apply through your country’s official tax authority (in the U.S., through the IRS).
Receive confirmation and store your tax ID securely.
Use the tax ID to open accounts, file taxes, and operate legally.
The process is straightforward when documentation is accurate and submitted through official channels.
Conclusion: Building the Right Foundation for Growth
Understanding how to get a tax ID number for a business is a foundational step in launching a compliant and scalable company.
A tax ID enables banking access, tax reporting, and operational legitimacy. However, sustainable growth depends on pairing compliance with efficient financial infrastructure.
Once your business is registered and your tax ID secured, focus on building systems that support international payments, transparent accounting, and long-term scalability. Legal registration opens the door but strategic financial setup determines how far your business can grow.
