The federal employer identification quantity (FEIN), also called the employer identification quantity (EIN), is a novel nine-digit quantity assigned by the Inner Income Service (IRS) to companies working in the US. It’s used to establish the enterprise for tax functions and is required for companies to file sure tax kinds, such because the Type W-2 and Type 1099.
FEINs are essential as a result of they permit the IRS to trace companies and make sure that they’re complying with tax legal guidelines. Additionally they assist to stop fraud and identification theft. Companies can receive a FEIN by finishing the Type SS-4, which will be discovered on the IRS web site.