Once the corporation has been formed and is ready to do business, it is the time to apply for a federal employer identification number (EIN). Generally, any corporation doing business within the U.S. is required to have an EIN. In fact, the EIN is necessary when filing tax returns and for establishing bank accounts.
A corporation can receive an EIN by completing and submitting IRS Form SS-4. However, you can have IncMyLLC save you this tedious and time consuming paperwork by completing and submitting the necessary EIN form on your behalf.
Incorporate - Need To Know
- A corporation's life is not dependent upon its members. A corporation possesses the feature of unlimited life. If an owner dies or wishes to sell their interest the corporation will continue to exist and do business.
- Retirement funds and qualified retirement plans (like 401k) may be set up more easily with a corporation.
- Ownership of a corporation is easily transferable.
- Capital can be raised more easily through the sale of stock.
LLC - Need To Know
- Owners have limited liability from business debts and obligations.
- Owners can report their share of profit and loss on their individual tax returns without filing a separate corporate tax return.
- LLCs can be owned by individuals or other companies.
- LLCs do not have the same corporate formailities as a corporation.