Legal Question in Business Law in Arizona

Does a sole proprieter in az without emloyees require a federal ein the business being a small commercial contractor


Asked on 2/24/12, 6:05 pm

1 Answer from Attorneys

Nancy Delain Delain Law Office, PLLC

Why would you NOT get an EIN?

Vendors and clients will ask for your tax ID number. If you use your Social Security Number (SSN) as your sole proprietorship's tax ID number (which you can indeed legally do), that splatters your SSN across the universe, into the hands of unknown persons, and you make it ridiculously easy for someone to steal your identity. If you use an EIN, that's a layer of protection between your private information and the general universe.

To get an EIN, visit http://www.irs.gov and click on:

1. "Businesses" in the top line of links; then click on

2. "Employer ID Numbers" in the sidebar; then click on

3. "Apply for an EIN Online" in the main body of the page; then click on

4. "Apply Online Now" in the main body of the page.

Fill out the (short and easy) form, hit the Submit button and receive immediate notice online of your brand-new EIN. Print this notice for your records.

The IRS will snailmail a letter to you confirming your new EIN in a few weeks, but you need not wait for that confirmation to use the number.

THIS POST CONTAINS GENERAL INFORMATION AND IS INTENDED FOR ENTERTAINMENT PURPOSES ONLY. IT DOES NOT CONSTITUTE LEGAL ADVICE, NOR DOES IT CREATE ANY ATTORNEY-CLIENT RELATIONSHIP. FOR LEGAL ADVICE ON YOUR PARTICULAR MATTER, CONSULT YOUR ATTORNEY.

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Answered on 2/24/12, 9:30 pm


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