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- Qualifying Small Business (QSB) Stock (Section 1202)
- Section 1244-Losses on Small Business Stock
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- Per Diem Rates - IRS Publication 1542 Oct 2011 for Travel Within the Continental U.S (for employers who pay a per diem allowance to employees)
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Tax Identification Numbers for an LLC
1) Single-person LLC:
IRS regulations require TWO employer identification numbers (EIN) for a single member limited liability company that is:
- Owned by one person, AND
- Has or will have employees within the next 12 months.
Both the owner and the LLC need their own EIN:
- The owner needs his/her own EIN (as a sole proprietor) and
- The LLC needs its own EIN.
Important: You CANNOT use the online EIN application service offered by the IRS if you do not already have an EIN as a sole proprietor. Call the Business and Specialty Tax Line at (800) 829-4933 for assistance.
2) An LLC with two or more members:
- Requires an EIN for the LLC.
For LLCs with two or more members, individual members do not need an EIN for themselves. The partnership entity
If an election is made for the LLC to receive corporation tax treatment:
- An EIN required.
3) General guidelines for whether you need an EIN for your business:
You need an EIN if:
- You have one or more employees.
- If you own sole proprietorship, you are not considered an employee of your own business.
- The the business is a partnership
- The business is a corporation.
- You are a single-owner LLC and have or expect to have employees within the next 12 months.
- In this case, you need two EINs, one for yourself, as a sole proprietor and one for the LLC itself.
- You are a sole proprietorship and you file:
- Pension tax returns.
- Excise tax returns (e.g., alcohol, tobacco, or firearms)
- You change your form of business.
- For example, from a sole proprietorship to a corporation.
Next:
Limited Liability Company: Tax Filing for an LLC
Related Links
- Your Limited Liability Company: An Operating Manual
- What is a Limited Liability Company?
- Legal Implications of Operating as a Limited Liability Company
- Reasons for LLC Popularity
- Classification of LLCs
- Making a Business Classification Election
- LLC versus S-corporation
- Sole Proprietorships
- Partnerships
- Corporations
- S-corporations
Copyright © 2008-2012 Larry Villano. All rights reserved.