Does a Block/Tenant Association need a Tax ID (EIN)?

block/tenant association will usually need an EIN, though it’s not strictly a requirement. An EIN is something that is optional that a block/tenant association can acquire after formation, but without an EIN it would be impossible for the association to: create business bank accounts, hire employees, get permits and licenses, acquire lines of credit and loans, and more. Thus, though a tax ID is optional, it’s very difficult to operate without one.

Luckily for a block/tenant association, the process of getting an EIN is simple. An EIN can be acquired via a short form, which can be set in online, through mail, through fax, or discussed over phone. When the form is sent online, an EIN can be acquired within an hour. Usually, the association should request an EIN at the same time they create their legal formation documents and file it with the state.

It’s possible that a block association be informally organized, and that it never raise funds, require a bank account, or require hiring. If that’s true, the block association may not need an EIN.


Written by Maurice Mallory