What Is an EIN Number?

What Does EIN Stand For?

EIN stands for Employer Identification Number. This is the official name the IRS uses for the 9-digit tax identification number assigned to business entities. The EIN was originally created to track employer payroll tax obligations, which is why it includes the word "Employer" in its name.

Today, the EIN serves a much broader purpose than just employer identification. Every LLC — regardless of whether it has employees — needs an EIN for banking, payment processing, tax filing, and business operations. The IRS issues EINs to LLCs, corporations, partnerships, trusts, estates, non-profits, and other entities that need federal tax identification.

The EIN format is XX-XXXXXXX: two digits, a hyphen, then seven more digits. For example, 12-3456789. This format makes it easy to distinguish an EIN from an SSN (XXX-XX-XXXX) or ITIN (9XX-XX-XXXX). The number itself has no meaning — it is simply a unique identifier assigned sequentially by the IRS as applications are processed.

Other Names for EIN

The EIN goes by several names, all referring to the same 9-digit number. Understanding these alternate names prevents confusion when reading IRS forms, bank applications, or payment processor requirements:

• Federal Tax ID: The most common informal name for the EIN. When someone asks for your business's "federal tax ID," they want your EIN.
• Federal Employer Identification Number (FEIN): The full, formal name that makes it clear the number is federal (not state) and used for employer identification purposes.
• Tax ID Number: A general term for any tax identification number. In a business context, "tax ID" usually means EIN.
• Employer ID Number: A shortened version of Employer Identification Number, used interchangeably with EIN.
• Business Tax ID: An informal term emphasizing that this tax ID belongs to the business entity, not an individual.

Who Needs an EIN?

The IRS requires an EIN for nearly every business structure operating in the United States. If you have formed or plan to form a Wyoming LLC, you need an EIN. This requirement applies whether you are a US citizen, permanent resident, or non-resident living outside the United States.

Business Entities That Must Have an EIN

• All LLCs: Every Limited Liability Company must have an EIN, even if it has no employees and only one member. Banks will not open a business account without an EIN. Payment processors like Stripe require an EIN for verification.
• Corporations (C-Corps and S-Corps): All incorporated businesses must obtain an EIN immediately after incorporation.
• Partnerships: Multi-member LLCs taxed as partnerships need an EIN for partnership tax returns (Form 1065).
• Non-profit organizations: 501(c)(3) organizations and other tax-exempt entities require an EIN for tax filings and donations.
• Trusts and estates: Most trusts and estates need an EIN for tax filing and asset management.
• Businesses with employees: Any business that hires employees must have an EIN for payroll tax withholding and reporting.

Non-Residents Forming a Wyoming LLC

Non-US residents forming a Wyoming LLC need an EIN just like US citizens do. The LLC is a US entity subject to US tax law, regardless of where the owner lives. Without an EIN, you cannot complete critical post-formation steps: opening a US business bank account, registering for Stripe or PayPal, filing Form 5472 (the annual information return required for foreign-owned single-member LLCs), or conducting normal business operations.

The good news is that non-residents can obtain an EIN without a Social Security Number or ITIN. The IRS allows international applicants to submit Form SS-4 by fax with "Foreign" written in the SSN field. Processing takes 2-4 weeks, and the EIN is completely free. Once issued, the EIN never expires and stays with your LLC permanently.

Sole Proprietors and When They Need an EIN

US sole proprietors (self-employed individuals not operating as an LLC or corporation) may use their personal SSN instead of an EIN for tax purposes. However, even sole proprietors need an EIN if they meet any of these conditions:

• Hiring one or more employees
• Operating as a partnership or LLC
• Filing certain tax returns (excise tax, alcohol/tobacco/firearms)
• Withholding taxes on income paid to non-resident aliens

For non-residents, the sole proprietor exception does not apply because non-residents generally cannot use a US SSN. If you are a non-resident operating any form of US business, an EIN is required.

EIN vs SSN — What Is the Difference?

An EIN identifies a business entity. An SSN (Social Security Number) identifies an individual person. The two numbers serve completely different purposes in the US tax and identification system. Understanding this difference is critical for non-resident LLC owners who may not have an SSN.

What Is an SSN?

An SSN is a 9-digit number issued by the Social Security Administration (not the IRS) to US citizens, permanent residents, and individuals authorized to work in the United States. The format is XXX-XX-XXXX. The SSN was originally created in 1936 to track earnings for Social Security retirement benefits, but it has evolved into the primary personal identification number in the US.

The SSN is used for individual tax filing (Form 1040), employment verification (I-9), credit reporting, bank account opening, insurance, government benefits, and countless other personal identification purposes. Non-residents who have never worked in the US on an authorized visa do not have an SSN and cannot obtain one without work authorization.

Key Differences Between EIN and SSN

The EIN and SSN are fundamentally different types of identification numbers that serve different legal entities (business vs. individual) and different purposes (business tax ID vs. personal identification). Here are the critical differences:

Can Non-Residents Get an EIN Without an SSN?

Yes. Non-residents can and do obtain EINs without having a Social Security Number. The IRS specifically designed the fax application process (Form SS-4) to accommodate international applicants who have no SSN and no physical presence in the United States. On Line 7b of Form SS-4, where the form requests the responsible party's SSN or ITIN, write "Foreign" or leave it blank if applying by fax. The IRS accepts this and issues the EIN normally.

This is why the Wyoming LLC is such a popular structure for non-residents: you do not need an SSN to form the LLC or get the EIN. Your LLC operates as a US entity with full access to US banking and payment systems, while you remain physically outside the US with no US work visa or SSN requirement.

EIN vs Tax ID — Are They the Same?

Yes, in most business contexts, an EIN and a Tax ID are the same thing. When someone asks for your LLC's "Tax ID," they are asking for your EIN. However, understanding the technical terminology prevents confusion and helps you know exactly what to provide in different situations.

What Is a Tax ID?

"Tax ID" is a general umbrella term for any taxpayer identification number. The IRS officially uses the term TIN (Taxpayer Identification Number) to cover all types of tax identification numbers. Under the TIN umbrella, there are three main types relevant to non-resident LLC owners:

• EIN (Employer Identification Number): Identifies business entities
• SSN (Social Security Number): Identifies US citizens and authorized workers
• ITIN (Individual Taxpayer Identification Number): Identifies individuals who cannot get an SSN

When Tax ID Means EIN

In nearly every business context — bank applications, payment processor registrations, IRS forms for businesses, contractor agreements — the term "Tax ID" means EIN. When a form has a field labeled "Tax ID" or "Federal Tax ID" or "Tax Identification Number" in a section about business information, enter your LLC's 9-digit EIN.

Federal Tax ID vs State Tax ID

The EIN is a federal Tax ID, meaning it is issued by the IRS for federal tax purposes. Some states issue separate state Tax IDs for state-specific obligations like state income tax, sales tax, or employer unemployment insurance. Wyoming, however, has no state income tax, and most Wyoming LLCs never need a state Tax ID.

This distinction matters because a form might ask for both a "federal Tax ID" (your EIN) and a "state Tax ID" (which most Wyoming LLCs do not have). If you see both fields, enter your EIN in the federal Tax ID field and leave the state Tax ID field blank unless you have specifically registered for Wyoming sales tax or employer accounts.

For a detailed breakdown of every difference between EIN and Tax ID, federal vs. state tax identification, and which numbers you need as a Wyoming LLC owner, read our full comparison of EIN vs Tax ID.

EIN vs ITIN — What Is the Difference?

An EIN identifies a business entity. An ITIN (Individual Taxpayer Identification Number) identifies an individual person who cannot obtain a Social Security Number. These are two entirely separate numbers issued for different purposes, and many non-resident LLC owners need only the EIN, not the ITIN.

What Is an ITIN?

An ITIN is a 9-digit tax processing number the IRS issues to individuals who have a US tax filing requirement but are not eligible for an SSN. The format is 9XX-XX-XXXX — always starting with the number 9, which distinguishes it from an SSN. The IRS created the ITIN program in 1996 to allow non-resident aliens, their spouses, and dependents to comply with US tax law without requiring an SSN.

The ITIN is used exclusively for individual tax filing. It does not authorize work in the US, does not change immigration status, and does not establish eligibility for Social Security benefits. If your LLC earns US-source income that creates a personal US tax filing obligation (Form 1040-NR), you may need an ITIN to file that personal return.

Do You Need Both an EIN and an ITIN?

Most non-resident Wyoming LLC owners need only the EIN. The LLC uses the EIN for all business activities: banking, Stripe registration, Form 5472 filing, contractor payments, and annual tax compliance. The owner does not need a personal tax ID (SSN or ITIN) unless they have a personal US tax filing obligation.

You need an ITIN in addition to your LLC's EIN only if:

• Your LLC earns income effectively connected with a US trade or business (ETBUS), creating a personal tax return requirement
• You own US rental property and must file Form 1040-NR
• You want to claim tax treaty benefits by filing a US tax return
• You sold US real estate and need to file for FIRPTA withholding refund

If you run an online business with no US physical presence, no US employees, and no US-source income, you do not need an ITIN. The LLC files Form 5472 (using the EIN), but the owner has no personal filing requirement and does not need an ITIN.

EIN vs ITIN Comparison Table

A business owner can have both an EIN for their business and an ITIN for their personal tax filings. These two numbers coexist and serve different purposes. The EIN stays with the business entity permanently. The ITIN expires if not used on a tax return for three consecutive years, but can be renewed.

How to Get an EIN for a Wyoming LLC

The process for obtaining an EIN depends on whether you have a Social Security Number. US citizens and residents with an SSN can get an EIN instantly online through the IRS website. Non-residents without an SSN must apply by fax or mail using Form SS-4. Both methods are free — the IRS charges nothing for issuing an EIN.

Option 1: Online Application (For US Residents with SSN)

If you are a US citizen or permanent resident with an SSN, you can complete the EIN application online at the IRS website in about 15 minutes. The system validates your SSN instantly and issues your EIN immediately upon completion. You receive a confirmation PDF (Form CP 575) that you can download and print.

This instant online method is available only during IRS business hours (Monday-Friday, 7am-10pm ET) and requires the responsible party to have either an SSN or an ITIN. The responsible party is the LLC owner or managing member who has control over the LLC's assets.

Option 2: Fax Application (For Non-Residents Without SSN)

Non-residents who do not have an SSN or ITIN use the fax method to apply for an EIN. This is the standard process for international entrepreneurs forming a Wyoming LLC. Here is the step-by-step process:

1. Form your Wyoming LLC: File Articles of Organization with the Wyoming Secretary of State and receive your approved filing receipt. You need the LLC's formation date and official legal name for the EIN application.
2. Download Form SS-4: Get the current version of IRS Form SS-4 (Application for Employer Identification Number) from the IRS website at irs.gov. Make sure you use the latest version.
3. Complete Form SS-4: Fill out all required fields. On Line 7b (SSN, ITIN, or EIN), write "Foreign" or leave it blank if faxing. Provide your LLC name, formation date, Wyoming address, and your personal information as the responsible party.
4. Fax to the IRS: Send the completed Form SS-4 to the IRS international fax number: (855) 641-6935. Include a cover sheet with your name and return fax number in case the IRS needs to contact you.
5. Wait for confirmation: The IRS processes faxed EIN applications in 2-4 weeks. You receive a confirmation letter (CP 575) by mail or fax showing your 9-digit EIN. This letter is your official proof of EIN assignment.

Option 3: Mail Application (Slowest Method)

You can also mail Form SS-4 to the IRS at: Internal Revenue Service, Attn: EIN International Operation, Cincinnati, OH 45999. Mail processing takes 6-8 weeks, significantly longer than the fax method. Use fax instead of mail whenever possible to get your EIN faster.

WyomingLLC.co Handles EIN Application

WyomingLLC.co includes EIN application assistance in our $297 flat-fee LLC formation package. We prepare your Form SS-4, submit it by fax to the IRS, follow up on processing, and deliver your EIN confirmation letter as soon as the IRS issues it. This eliminates errors, saves time, and ensures your EIN application is completed correctly the first time.

For complete step-by-step instructions, required documents, and common mistakes to avoid, read our step-by-step guide to getting an EIN for your Wyoming LLC.

What Happens If You Don't Have an EIN?

Operating a Wyoming LLC without an EIN is functionally impossible. Nearly every critical business activity requires an EIN for verification, compliance, or legal purposes. Without an EIN, your LLC remains a paper entity unable to conduct actual business operations.

You Cannot Open a US Business Bank Account

Every US bank — from traditional banks like Chase and Bank of America to fintech banks like Mercury and Relay — requires an EIN to open a business checking account. The bank must verify your LLC's tax identification number during account opening. There is no workaround. No EIN means no business bank account, and without a business bank account, you cannot accept customer payments, pay contractors, or manage business finances separately from personal funds.

You Cannot Use Stripe or PayPal as a Business

Payment processors require an EIN to verify business identity and issue IRS Form 1099-K tax reporting. Stripe asks for your business Tax ID during registration. PayPal business accounts require an EIN. Square, Authorize.net, and every other major payment processor require an EIN for business accounts. Without an EIN, you cannot accept credit card payments through your LLC.

You Cannot File Required Tax Forms

Foreign-owned single-member LLCs must file IRS Form 5472 annually along with a pro forma Form 1120. Both forms require the LLC's EIN. Without an EIN, you cannot file these forms, which puts you out of compliance with federal tax law. Failure to file Form 5472 carries a $25,000 penalty per year. The IRS does not accept excuses for missing this filing deadline.

You Cannot Hire US Contractors or Employees

When your LLC pays a US contractor $600 or more in a calendar year, you must issue IRS Form 1099-NEC showing your LLC's EIN as the payer. If you hire employees, you must withhold payroll taxes and file quarterly Form 941 using your EIN. Without an EIN, you cannot legally hire anyone in the United States or issue proper tax documentation.

You Have No Proof of Business Identity

The EIN confirmation letter (CP 575) is proof of your LLC's federal tax registration. Vendors, partners, and institutions use it to verify that your LLC is a real, IRS-registered entity. Without an EIN, you lack this fundamental business credential, making it difficult to establish business relationships, sign contracts, or demonstrate legitimacy to partners and customers.