Free EIN Verification Letters (147c)

free EIN verification letter 7

You receive an EIN verification letter from the IRS as an answer to your application for an Employer Identification Number. They send this letter to confirm that they have received your letter. Surely, you known the importance of an Employer Identification Number as it is associated with the IRS and taxes.

The importance of an EIN letter:

The IRS issues an Employer Identification Number or EIN to the business or company that requested it. EIN is a unique 9-digit number. This number is for the business while the Social Security Number or SSN is for individuals. The businesses require an EIN verification letter if they plan to;

  • File tax returns
  • Get industrial permits and business licenses
  • Open bank accounts
  • For other official purposes such as the submission of Form 1099 for contracting work

As a sole proprietor, you can consider getting a 147C letter. This way, you don’t have to use your SSN for your business. Furthermore, while opening a bank account for your business, lending institutions generally insist on providing EIN details. There may come time when your sellers and investors may request your EIN.

When the IRS approves your EIN application, they send you an EIN verification letter that states within 8-10 weeks they issue you this number. The business address you have mentioned in your application, this verification letter gets mailed to it. Sometimes, you may misplace or loss your original letter that is usually a tax ID certificate. In such a situation, you don’t have to worry as you can still get another letter from the IRS. Moreover, this letter acts as the purpose of the original verification letter that you lost.

How to verify a company’s EIN?

EIN is similar to SSN but you use EIN for your business. You should consider all tax identification private whether you want to use this number for business or personal matters. You have to become an authorized representative of your business in order to verify your EIN. There is one exception i.e. registered tax-exempt or non-profit organizations.

Lost or misplaced EIN verification letter

The IRS enables a representative to confirm, call, or relocate your business EIN. You as the business owner consider an authorized representative. Officers of your company, partners, sole proprietors, and for a trust, the executor or the trustee of the estate are also qualified as representatives of your business. It is very easy to get your EIN without an EIN letter. For this, you just have to call the IRS and then a representative of the IRS will ask for your identifying information. Then, the representative will provide you an EIN number over the phone. You should also check condolence letters.

When a person isn’t the authorized representative

When a person isn’t the authorized representative then he can ask an authorized person to complete the Tax Information Authorization. This form needs the EIN in a catch-22 situation. This indicates if your company lost its number completely then the authorized representative should call.

In the case of Exempt Organizations

You can visit the IRS site where you can conduct an Exempt Organization Select Check in order to verify the EIN number of a charitable company. This IRS tool enables you to verify information regarding charitable organizations without the IRS EIN letter.

Typically, Exempt Organization have not-for-profit status. With the help of the site’s search tool, you can search the company by name. After that, you can check the EIN verify tax-deductible donations and the company’s status too.

Other methods of confirming an EIN

You can also use other sources to verify your EIN. Most employers still comply with requests to verify their EIN while it’s considered private information. On payroll checks or on 1099s for contractors, you can see this number.

By providing an incorrect EIN will result in IRS rejection of the form while filing tax returns whether for your business or for personal purposes. Due to this inconsistent data, they might even request for other information. In such a case, to prevent overstating or understating your income, it is necessary to verify your EIN.

Verifying your own EIN:

Without your 147C letter, you can verify your EIN number. By using your EIN, if you have already set up your business hen it should appear on any of the following document;

  • Banking statement
  • Applications for bank accounts, loans, etc
  • Fictitious name statement
  • Sales tax permit
  • The tax returns of the previous year
  • Business license
  • 1099-Misc forms

Without your EIN letter even by having the above documents, you still can’t verify your EIN then follow the below steps;

  • At first, you have to call the Business & Specialty Tax Line of the IRS.
  • Before they provide your number, you have to give your identifying information. The reason behind is that only authorized persons can get this number.
  • They will give you the number over the phone when they have verified your information.
  • On the phone, repeat the number to the person. After that, secure this number in a password-protected file so that you always have access to it.

You must protect your EIN at all times in the same way as you protect your SSN. Moreover, you should always ensure that all documentation having this number is securely locked up. During submitting applications online, you should use secure online sites that request your EIN. You may start feeling overwhelmed with all of this EIN information. Likewise SSN, EIN is your business’ legal identifier while conducting business affairs such as submitting tax returns.

Conclusion:

In conclusion, an EIN verification letter is sent by IRS after approving your EIN application. An EIN is a unique number matched to your business. You need an EIN for various reasons like when your business plans to file tax returns, open bank accounts, and more. An authorized representative of your business verifies your EIN.

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