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
Real estate mortgage investment conduits
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 Oklahoma?
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
State in which your business is registered
Reason for applying
Main business activity
Closing month of your accounting year
Contact phone number and email
How to Apply for an EIN in Oklahoma
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 Oklahoma Taxes
You also may need to register for business taxes in Oklahoma.
If you have employees, you’ll need to register to withhold personal income taxes on the Oklahoma Taxpayer Access Point. In addition, you can register for sales tax on the same site if you sell taxable goods or services.
Your local government may also require tax registrations.
Is there a fee associated with obtaining an EIN for my LLC in Oklahoma?
No, applying for an EIN directly with the IRS is completely free of charge.
Once I apply, how long does it take to receive my EIN in Oklahoma?
If you apply online, you typically receive your EIN immediately upon successful completion. Fax applications generally take around four business days, and mailed applications might need 4-5 weeks for processing.
Can I use my personal SSN instead of getting an EIN for my Oklahoma LLC?
While sole proprietors can sometimes use their SSN for certain business functions, it’s strongly recommended for LLCs to obtain a separate EIN for liability protection, privacy reasons, and other business needs.
In Oklahoma, do EINs expire or need renewal?
EINs don’t expire. Once your Oklahoma LLC has an EIN, it remains with the company unless significant structural changes happen.
Can foreign nationals apply for an EIN for their LLC in Oklahoma?
Absolutely. Even if they don’t possess an SSN or ITIN, foreign nationals can obtain an EIN for their Oklahoma LLC, typically using fax or mail methods.
Are there any specific guidelines in Oklahoma related to EINs?
The process of obtaining an EIN is a federal procedure and remains consistent across states. However, once you have your EIN, it’s essential to be aware of any Oklahoma-specific business regulations, licenses, or tax obligations that may apply.