It's required to file tax returns, as well as to set up retirement accounts and health accounts to offer medical and dental benefits to employees, among other uses.
Just remember that one is for business entities, and one is for individuals.Ī FEIN is a way for the IRS and other government entities to identify and track business entities' tax and financial activities. It's easy to get the two types of numbers mixed up. The tax number for individuals, also referred to as a tax identification number or TIN, is an individual's Social Security number. The FEIN is a unique nine-digit corporate ID number that works the same way a Social Security number does for individuals. What is a federal tax identification number (FEIN)?Ī federal tax identification number, also known as a FEIN or an employer identification number (EIN), is issued to entities that do business in the United States.
Read on to learn what a FEIN is and how to get one.