Get an EIN For a Texas LLC

If your business will have employees OR a bank account you will need an EIN. According to the IRS, a single-member LLC that (1) is taxed like a sole proprietorship (i.e. not taxed like an S- or C-Corp) and (2) does not have employees nor excise tax liability does NOT need an EIN.

NOTE: A single-member LLC may request an EIN for banking purposes, but an EIN is not required for federal tax purposes. Read more on the IRS website.

There are a few scenarios where the online application is not available:

• Outside of business hours (M-F: 7AM – 10PM EST);
• If the responsible party is a business that received an EIN via the online process;
• If you do NOT have a legal residence or principal place of business in the US; or
• If none of the business owners have an SSN or ITIN.

Federal Tax ID:

• 9 digit number (XX-XXXXXXX)
• Must be applied for
• Assigned by the IRS
• Used for Federal taxes & bank accounts

Texas Tax ID:

• 11 digit number
• Given automatically
• Assigned by the TX Comptroller
• Used for TX Franchise, Sales and Use Taxes

Per the IRS, a sole proprietor is not required to obtain a new EIN if he/she files papers to become an LLC. However, if the LLC will (1) have employees or (2) be taxed like a partnership (multi-owner LLCs), then it must obtain a new EIN.

Read more about LLC taxation options and elections.
Read more about this on the IRS Website.

The IRS does not cancel or void EINs. Once an EIN has been assigned to a business entity, it becomes the permanent Federal taxpayer identification number for that entity.

Since you can’t cancel an EIN, the only option is close the business account. To achieve this, you’ll have to send the IRS a letter that includes the name of your company, the EIN, the business address, and why you wish to close the account.