A tax ID number is required in order to operate most small businesses in the United States. This includes sole proprietorships, corporations, general partnerships, limited liability companies and nonprofit organizations. You must provide one when applying for a business loan, opening a bank account, filing taxes, obtaining insurance coverage, and much more.
In order to obtain a tax ID in Virginia you’ll need to fill out a form called Form VTN1. If you’re looking to open a business in another state, check out our guide about how to find a tax ID number there.
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How to Obtain a Virginia Tax Identification Number (EIN)
For a traditional application, call 800-829-4933
A state tax ID number is needed if you want to file federal income taxes as a sole proprietor, partnership or limited liability company (LLC). If you are filing as a corporation, you do not need one. However, it is still important to obtain a corporate EIN because it allows you to deduct certain expenses on your personal income tax return.
The IRS requires businesses to use an Employer Identification Number (EIN), which is similar to a Social Security Number. You must give the IRS a copy of your W-2 form, along with proof of incorporation, such as a certificate of formation or articles of organization.
You can apply for a Virginia EIN online, or you can request a paper application from the Internal Revenue Service. You must pay $135 for the electronic version and $150 for the paper version.
1. Business Founding Member Information
To apply for a tax number with the IRS, you must provide the following information about each member of your business. You must submit this information even if your business is not incorporated. If you are applying for a social security number (SSN), you must include the name and date of birth of each person who will use it.
Personal Details Required
Your Social Security Number (SSN): This is used to identify you and verify your identity.
Full Name of Each Person Who Will Use the SSN: This includes both the individual’s full legal name and maiden name.
Date of Birth of Each Person Who Will Be Using the SSN: This is the day and month you were born.
Address of Each Person Who Will be Using the SSN: Include street address, city, state, ZIP code, and country.
Phone Numbers of Each Person Who Will Have Access to the SSN: Provide the phone numbers of each person who will access the SSN.
2. Online Virginia Tax ID applications
Online applications are easier to complete and less expensive than traditional paper forms. In fact, online applications are often cheaper than paper forms because there aren’t additional costs associated with printing, mailing, and filing. And since most people already use the internet for banking and shopping, it makes sense that they’d want to do those things online too.
But what about tax returns? You might think you’ll just fill out one form and submit it to the IRS. But the truth is, you’re probably filling out multiple forms, each with different instructions, deadlines, and requirements. This isn’t necessarily a problem – except that it takes longer. If you’ve ever tried to file taxes online, you know how frustrating it can be. So why not make the process easier for yourself and others?
The good news is that many options for submitting tax information online exist. Here are some popular ones:
1. Free File Fillable Forms
FreeFileFillableForms.com offers free fillable forms that cover every state and federal income tax requirement. The site provides easy access to the forms, and includes detailed instructions on completing them. There’s no charge for the forms, and you can print them directly from the site.
2. TurboTax Online
TurboTax Online is another great option for filling out tax forms online. Like FreeFileFillableForms, TurboTax Online offers free fillable forms for every state and federal requirement. Unlike FreeFileFillableForm, however, TurboTax Online charges a fee for the forms. However, the price is very reasonable, especially considering the convenience of having everything done online. Plus, the site lets you pay via credit card, PayPal, or check.
3. Traditional Applications for a Virginia Tax ID by Phone, Mail or Fax
You can still apply for a Virginia tax identification number online, over the phone, by fax, or by mail. If you choose to submit an application by fax, it must include a self-addressed envelope and a cover sheet that includes the following information: name, address, telephone number, date of birth, social security number, employer’s name, and type of business. You can find additional instructions here.
If you want to apply by mail, you can download the form here. You can also call 804-786-5100 to request a paper copy of the form.
4. How to Obtain a Virginia Business EIN
To obtain an EIN, you must file Form SS-4 with the IRS. You can do it online, via snail mail, or over the phone. If you choose the latter option, you’ll need to send a copy of your application along with a $50 fee to the IRS. Once you’ve done that, you’ll receive a letter telling you whether or not you’re approved.
The process is pretty straightforward. But there are some things you should know about getting an EIN. First off, you don’t have to use one. Many people prefer to keep their personal tax information separate from their business information. And if you’re filing taxes for yourself, you might want to consider keeping track of your earnings separately.
But if you decide to go ahead and get an EIN, here’s what you need to know.
First, you’ll need to determine whether you qualify for an EIN. This depends on the type of business you run. Sole proprietorships, partnerships and S Corporations are eligible for an EIN. So are most limited liability companies and nonprofits. However, sole proprietorships, LLCs, and nonprofits aren’t eligible for an EIN if they make money.
If you’re running a small business, you’ll need to determine how much income you bring in each year. If your annual gross receipts total less than $10 million, you won’t need an EIN. For larger businesses, you’ll need to figure out whether or not you fall under the threshold for being considered a “small business.”
In addition to determining how much revenue you generate, you’ll need to provide proof of your identity. This could take the form of a driver’s license, passport, birth certificate, social security card, voter registration card, or utility bill.
You’ll also need to fill out Form SS-4, Application for Employer Identification Number. This form asks questions like where you live, what state you operate in, and how long you plan to operate your business.
5. How to Request a Virginia State Tax Identification Number
There are several ways to apply for a Virginia state tax ID number. You can do it online, over the phone, or you can use one of our toll-free numbers to speak with a representative. Our representatives are able to help you with your application process, whether you’re applying for a single individual or multiple individuals.
You must provide proof of identity and residency to receive a Virginia state tax ID card. If you don’t already have one, we recommend getting a passport photo taken and providing it along with your application.
If you plan to use your tax ID number to file a federal return, you’ll need to register your tax ID number with the IRS. To do this, you’ll need to complete Form W-7 and submit it to us. We’ll send you a confirmation letter once we’ve received your form.
To find out how to apply for a Virginia tax ID number, call 877-844-3222.
6. Virginia State Tax ID Number
A state tax ID number lets taxpayers use the same filing method for both state and federal income tax returns. If you live in Virginia, you might want to consider getting one. Here are some things you should know about how to obtain a Virginia state tax ID number.
What is a state tax ID number?
You can use a Virginia state tax ID to prepare and file your state income tax return. To do so, you must provide the following information:
• Your Social Security number;
• The name and address where you filed your federal income tax return;
• The amount of taxable income reported on your federal return; and
• Any credits claimed on your federal return.
Frequently Asked Questions
How is a Virginia LLC taxed?
A Virginia LLC is taxed under the Internal Revenue Code Section 7701(a)(2), which states that “In the case of a corporation, partnership, estate, trust, S corporation, association, joint venture, government, church, or foundation, the term ‘corporation’ includes such organizations.” This means a single-member LLC is treated as a sole proprietorship, while multi-member LLCs are treated as partnerships.
The default tax status for a Virginian Single-Member LLC is Disregarded Entity, which means if you’re an owner of the LLC, you don’t pay income tax on your profits. If you’re an employee of the LLC, however, you do pay payroll taxes on your earnings.
If another entity owns the LLC, it is taxed as part of the organization. For example, if you have a company named Acme Inc. and form a separate LLC called Acme LLC, Acme Inc. owns 50% of Acme LLC. In this scenario, Acme Inc. pays the same corporate tax rate on its portion of the LLC as it does on its entire company.
How to Cancel an EIN?
Suppose there was a mistake with the initial application for your EIN, or you want to cancel it because you changed your mind about incorporating in Virginia. In that case, you can do so without paying penalties. Just send a written request to the IRS indicating that you are canceling your EIN.
The IRS will process your request within 10 days, and you’ll receive a confirmation e-mail informing you that your request has been received. Your EIN will remain active until the IRS confirms that your cancellation request has been processed. Once your request is processed, you won’t be able to apply for another EIN unless you file Form 8832 again.
James Rourke is a business and legal writer. He has written extensively on subjects such as contract law, company law, and intellectual property. His work has been featured in publications such as The Times, The Guardian, and Forbes. When he’s not writing, James enjoys spending time with his family and playing golf.