Why Should You Apply For A North Carolina Tax ID?

When you live in North Carolina and want to start or operate a business, you need to apply for a North Carolina tax ID number. This number is provided by the IRS for tax purposes. And once this tax ID number is given to the business, this will be the way how the federal government will recognize the business type through the tax documents they submit.

In short, just as the social security number identifies an individual, the tax ID number will do the same for one’s business. As you live in any state of the United States like North Carolina, you will need to apply for a North Carolina tax ID as your identification. So let’s try to find out how you can have this EIN number:

  • A change within your business may require you an application for a new EIN. If the business is restructured, a new tax ID number must be obtained. Like for example, changing from a sole proprietorship to a corporation or partnership. The old EIN is issued to the individual owner himself; hence, there is a need for a new tax ID number.


  • The amount of tasks associated with opening a new small or big business. It can be daunting if you are not familiar with the process on how to apply for a North Carolina tax ID for your business. If you need help, you can hire an accountant to do this task for you. You may need to spend a little more money, but it pays off if you’ve done it right.


  • To get the tax ID number, you may need to access the IRS website for information. You just have to download the form SS-4 and fill it out with your information. If you send it by fax or email, you will get results instantly. It will only take ten to twenty minutes of your time to accomplish it and send to the IRS.

If you are a true citizen of the United States, specifically in North Carolina, and have your own business to operate, you will need to apply for a North Carolina tax ID to file your tax returns. Even if you’re a not-for-profit organization, you are still obliged to report how much you earn for this business.