Who Needs To Apply For Ohio Business Tax ID


One of the initial responsibilities of new business is to obtain a Tax ID number from IRS. Businesses in the process of restructuring also require obtaining a fresh EIN numbers. An EIN is similar to a Social Security Number. It is a nine digit number that helps in the identification of business organizations for tax purposes.

New business owners should apply for an Ohio business Tax ID as soon as they start planning for the business. This helps them to avoid unnecessary delays in getting other licenses and permits required for operating the business and also arrange for the required financing from banks.

Business which need EIN

All the business organizations, which hire employees in Ohio, are required to obtain an Ohio business Tax ID. Some businesses need EIN even if they do not have any employees as it is a compulsory legal requirement.

Some of the businesses which require Ohio business Tax ID are

  • Sole proprietorship – A business owned by an individual and is not registered as an LLC.
  • Limited Liability Company – A LLC is a company registered by filing articles of organization. This type of company provides protection to the promoters of the company from the liabilities of the company.
  • Corporation – A business organization that is separate from its promoters and is incorporated by filing the articles of incorporation.
  • Estate of deceased – a legal entity formed to take care of the estate of a deceased person.
  • Trusts – there are different types of trusts and all of them require obtaining an EIN.
  • Partnership – A business organization which is not incorporated and involves two or more persons running a business and sharing profits as determined in the partnership contract.
  • Church – Any organization which claims to be a church or place of worship like temples, mosques and others.
  • Non-profit organizations – organizations which do not operate for profit and indulge in charitable acts such as public charities, educational organizations , home owners associations and so on.

The IRS website has a list of organizations that require an Ohio business Tax ID number. Business owners can visit the website to determine whether their business requires an EIN or not. The process of getting an EIN is also simple and can be easily done through the IRS website.