The federal employer identification quantity (FEIN), often known as the employer identification quantity (EIN), is a novel nine-digit quantity assigned by the Inside Income Service (IRS) to companies working in the USA. It’s used to determine 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 might be discovered on the IRS web site.