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Updated on August 17, 2023
How to Get an EIN for an LLC in Maryland
Do I Need an EIN?
Benefits of Having an EIN
What Do I Need to Get an EIN in Maryland?
How to Apply for an EIN in Maryland
Register for Maryland Taxes
FAQs
The Internal Revenue Service (IRS) uses your business’s employer identification number (EIN) to identify your company, much the way a Social Security number is used to identify individuals.
If your LLC has more than one member or if you are going to hire employees, you’ll need an EIN. But these aren’t the only factors. The IRS offers a test to determine if you need an EIN:
Do you have employees?
Do you operate your business as a corporation or a partnership?
Do you file any of these tax returns: Employment, Excise, or Alcohol, Tobacco, and Firearms?
Do you withhold taxes on income, other than wages, paid to a non-resident alien?
Do you have a Keogh plan?
Are you involved with any of the following types of organizations?
Trusts, except certain grantor-owned revocable trusts, IRAs, Exempt Organization Business Income Tax Returns
Estates
Real estate mortgage investment conduits
Non-profit organizations
Farmers’ cooperatives
Plan administrators
If you answer yes to these questions, your business needs an EIN.
Benefits of Having an EIN
There are several reasons to get an EIN, even if you’re not required to have one.
It’s often required to open a business bank account. However, it creates separation between your business and personal finances because bankers, creditors, and the IRS will identify your business by its EIN rather than your personal Social Security number.
Also, it helps establish business credit, which will boost your access to financing. And, if you do end up hiring employees in the future, you’ll already have your EIN and be ready to go.
What Do I Need to Get an EIN in Maryland?
According to the IRS:
All EIN applications (mail, fax, electronic) must disclose the name and Taxpayer Identification Number (SSN, ITIN, or EIN) of the true principal officer, general partner, grantor, owner or trustor. This individual or entity, which the IRS will call the ‘responsible party,’ controls, manages or directs the applicant entity and the disposition of its funds and assets. Unless the applicant is a government entity, the responsible party must be an individual (i.e., a natural person), not an entity.
When you fill out the application, you’ll need the following:
Name, title, and Social Security number of managing member or owner
Business address
State in which your business is registered
Reason for applying
Main business activity
Products/services offered
Closing month of your accounting year
Contact phone number and email
How to Apply for an EIN in Maryland
The application is Form SS-4, and you can submit it via the IRS website. Alternatively, you can print the form and fax or mail it. If you apply online, your EIN will be issued immediately.
There is no cost to obtain an EIN, which never expires.
Register for Maryland Taxes
You also may need to register for business taxes in Maryland.
You’ll need to register to withhold state income taxes and unemployment taxes if you have employees.
You’ll need to register to collect and pay sales tax if you sell goods or services subject to sales tax.
Your local government may also require tax registrations.
FAQs
Are there any costs to obtain an EIN for my LLC in Maryland?
No, applying for an EIN directly through the IRS is completely free.
Once I've applied, how long will it take to get my EIN in Maryland?
If you choose the online application method, you’ll usually receive your EIN immediately upon completion. Fax submissions can take up to four business days, and mailed applications might require 4-5 weeks.
Can I use my personal Social Security Number (SSN) instead of an EIN for my LLC's operations in Maryland?
While some sole proprietors may operate using their SSN, it’s advisable for LLCs to have a separate EIN. This provides clearer financial separation and satisfies many business requirements.
Once obtained, does an EIN in Maryland expire or need renewal?
No, once an EIN is assigned to your LLC, it remains with the business indefinitely, unless there are major structural changes.
Can non-U.S. residents acquire an EIN for their LLC in Maryland?
Yes, foreign individuals or entities can apply for an EIN for their Maryland LLC. Even if they don’t possess an SSN or ITIN, they can still apply, typically through mail or fax.
Are there specific EIN-related rules or nuances for Maryland that I should be aware of?
While the process of obtaining an EIN is federally standardized through the IRS, once you have your EIN, it’s essential to be familiar with any Maryland-specific business and tax regulations.
