Applying for a Tax ID (EIN) Number in Arkansas? Learn how to use the online application with this simplified Arkansas Tax ID Application Guide. You will need to provide some personal information about each owner, even if you’re a Non-Profit, Corporation, Estate of Deceased, Trust, Partnership or multi-member LLC. Get professional guidance in applying for an official Tax ID (EIN) Number in Arkansas.
Apply Online by Choosing Your Entity Type
Steps to Obtain your Tax ID (EIN) Number in Arkansas:
- Prepare Required Information
- Apply for an Arkansas Tax ID Online
- Apply for an Arkansas Tax ID by Phone, Mail or Fax
- Do I Need a Business License in Arkansas?
- What’s the Difference Between a Federal Tax ID and an Arkansas Tax ID?
- How Do I Get an Arkansas State Tax ID Number?
In the interest of completing the tax ID application as quickly and efficiently as possible, the best first step to take is to gather up all the details you’ll need when answering the prompts on the application. That way, you won’t get stuck on a question, and you won’t need to waste time consulting with other people when you’re in the middle of the process.
First, gather the legal names and legal addresses of all your founding members. That includes you and any partners you might have for your partnership, LLC, or corporation. You’ll also need to get their social security numbers (SSNs). Get your business name ready as well, if you haven’t yet chosen one.
When you’re ready to fill out the application for your tax ID, your best option is going to be applying online. While it’s possible to apply through one of several different traditional methods, nothing is as fast, as convenient, or as efficient as applying online.
The online application is readily accessible with any device you have with an internet connection. You’ll see a digital form that’s easy to understand and interact with, prompting you with specific questions about you and your business. You should be able to answer them quickly if you’ve gathered all the requisite information in advance; in fact, most people can complete the application in 5 minutes.
Once you’re done with the online application, you’ll be emailed your tax ID number in less than an hour, making it far and away the fastest application method to get your business running.Apply for an Arkansas Tax ID Number
That said, applying online isn’t the only method available to you. If you want, you can apply through one of several traditional methods. If you fill out a paper application, which takes more time, you can mail or fax that application in. If you want to have a phone conversation, you can answer most of the application questions over the phone. However, if you use any of these methods, you’ll be stuck waiting up to 4 to 6 weeks to receive your tax ID via mail. There are no real advantages to these methods either, so you’ll always be better off applying online.
There’s no single business license that covers all enterprises in Arkansas, but you may need a license, permit, or alternative form of certification. There are many types of business licenses and permits to consider, at multiple levels, most of which apply at the city or county level.
For example, you’ll probably need a business license or permit if you’re involved in a high-risk industry, or one that has something to do with public safety. Most construction and healthcare businesses will need a license to operate legally. However, the exact rules for licensing and permits are determined by each individual city and county. You’ll need to check with your local Chamber of Commerce to see if your business needs a special license; in many cases, it will.
No matter what type of business license or permit you might need, you’re going to need a tax ID before you apply for one. Your tax ID is an initial prerequisite before your business can be approved for any of those licenses and permits, so it’s a good idea to get it before you begin those application processes.
There are two types of tax IDs you’ll need to consider, both of which go by different names, so it’s easy to get confused.
First, there’s the federal tax ID, sometimes simply referred to as a tax ID, and sometimes called an employer identification number (EIN). Applying for this number will register your business with the federal government. It’s a requirement if your business has more than one member, like you’re in a partnership, LLC with multiple members, or corporation. You’ll also need one if you’re hiring employees (as its name suggests). You’ll also need an EIN if you need a business license or permit, or if you’re going to apply for a business bank account.
By contract, your Arkansas state tax ID (occasionally called a sales tax ID) will register your business with the state of Arkansas. You’ll need this number if you’re hiring employees in the state of Arkansas, if you’re selling taxable goods and services in the state, or if you’re going to owe excise taxes (which apply to regulated goods like gasoline, alcohol, or tobacco.
So if you need an Arkansas state tax ID number, how can you get one?
First, you’ll need to have a federal tax ID in place. Once you have that, you’ll follow a similar application process to the one you used to get that federal tax ID- so it should be familiar to you. You’ll have the option of applying online, or applying through one of several traditional methods. Applying online is universally better, since it’s much faster and more convenient. You’ll answer several questions about your business, which should only take a few minutes, then you’ll need to wait for your Arkansas state tax ID to be sent to you. Unfortunately, even if you apply online, this can take up to 4 to 6 weeks.