New Oregon Businesses
Many people are choosing to start their new business in the state of Oregon. If you are one of those people, this information is for you. One of the first things your new business will need is a tax id number. So let’s find out how to apply for an oregon tax id.
What Is A Tax ID Number and Why Do I Need One?
According to the Internal Revenue Service website, an individual tax identification number, or ITIN, is required for anyone who needs a U.S. taxpayer number, and doesn’t have a social security number. However, new businesses will need an employer identification number, or EIN, which will be used to identify your business for all tax purposes. In this article, we will mainly discuss getting an EIN for a business.
And remember: Taxes are important!
- First of all, individuals anywhere in the United States with internet access can visit the IRS website and fill out the free application to get a tax ID number. Under Forms and Instructions, search for tax id numbers, and select the appropriate form for your needs from the presented list. Fill out and submit the form, and you will receive your unique number. Forms are available for individuals and companies.
- You may take one look at those forms, however, and decide that you want further guidance, as just having access to the forms doesn’t answer the many questions that you may have along the way. An internet search will present many options of agencies offering to help, and may make you feel more secure that your forms will be completed quickly and accurately, greatly reducing the possibility of delays. These businesses offer to take care of the hassle of paperwork and forms so you can put your focus and energy into what you really want to do, which is establishing your new business.
- Whether you decide to tackle it alone, or get some help, you will need some information. The first question that arises refers to the type of business that you own. There are many categories, and it is essential to file under the right entity, as it directly affects the amount of taxes you will have to pay. For example, a sole proprietor may or may not have employees, and would have different tax obligations than a corporation which may have many employees. Non-profits have different regulations, and so on.
- Once the filing category has been determined, the next step is to put the information on the correct form and wait for the number to be issued. If filed online, the process can often be completed in an hour or so. Once your number has been assigned, you are ready to take care of any federal tax filing and reporting issues that your business has.
Business Identification Number (BIN)
Certain types of Oregon businesses are required to also get a BIN for state tax purposes. The electronic Central Business Registry serves as a guide through this process. A number is issued within a few days of submitting paperwork.