I am in the process of purchasing a tiny neighborhood market that also sells beer & lottery. It'll be a sole proprietorship under my name. Me and my wife will be the only ones working(no employees). I don't know which one to use. Are TAX-ID, EIN & Federal Id same thing or different? I am in Los angeles if that matters.
Thanks alot in advance.
Hi there. I used to wonder the same thing. It used to be called a TIN now it's called an EIN. They are both considered a Federal Tax ID number. No, you will not need to have an EIN as long as you don't have any employees. If you do hire someone, then you will need to file with the IRS.
wrote
You may need to obtain a FEIN for use in your sales tax and alcohol sales applications at a minimum.
Consult with a local CPA or EA for specific state and local advice.
Have something to add? Share your thoughts — no account required.
Ask the community — no account required