If you recently started or plan to start a business in Woodrow AR or have another taxable entity one of the first things you will want to do is obtain your Tax ID in Woodrow AR.
Obtaining a Tax ID Number (EIN)
When starting a business in Woodrow AR, serving as the administrator or executor of an estate, creator of a Trust or operating a Non Profit Organization obtaining a Tax ID (EIN) is a key responsibility. A Tax ID also known as an Employer ID Number (EIN) is a unique nine digit number that identifies your business or entity with the IRS for tax purposes, essentially like a Social Security Number for the entity. A Tax ID (EIN) is used for opening a business bank account, filing business tax returns and in many cases is required when applying for business licenses. In most cases it is helpful to apply for a Tax ID (EIN) as soon as your start planning a business to ensure that there are no delays in obtaining the correct licenses, financing and opening a business bank account that would be needed to operate.
Information to Consider Prior to Applying
Before applying for your Tax ID (EIN) you may want to consider a few things before starting the application including:
- Determine which structure your business or organization will operate as
- Determine the individual or organization that will serve as the responsible party
- Determine the physical address the business/entity will use – A physical address is required for all Tax ID (EIN)’s and a separate mailing address can be specified
Definition of Entities
- Sole Proprietor – An individual who owns a company that is not incorporated or registered with the state as a limited liability company (LLC).
- Limited Liability Company (LLC) – A LLC is a structure formed by filing articles of organization which allows members limited liability protection and pass through taxation.
- Corporation – A person or group of people who establish a legal entity by filing articles of incorporation with the state’s secretary of state.
- Estate of Deceased – An estate (or decedent estate) or succession is a legal entity created as a result of a person’s death.
- Trusts – All types of trusts including conservatorships, custodianships, guardianships, irrevocable trusts, revocable trusts, and receiverships.
- Partnership – An unincorporated organization in which two or more individuals share the profits and liabilities of a business venture.
- Church – For tax purposes, a “church” refers to any organization claiming to be a church including temples, mosques, and other houses of worship.
- Non-Profit Organization – Includes public charities, educational organizations, PTA/PTO Organizations, Community Sports Teams, Homeowners/Condo Associates, etc.
Arkansas State Tax ID
Outside of obtaining your Federal Tax ID (EIN) in Woodrow AR you will also likely need a Arkansas State Tax ID. This ID is needed to pay business taxes, state income tax and/or sales tax on items you sell. Generally the State Tax ID is used for the follow:
- Sales and Use Tax
- Employee Income Tax Witholding
- Sales Tax Exemption Permits
- Excise Taxes for items like Alcohol, Tobacco, Firearms, Oil & Gas, heavy machinery, etc.
For specific detail refer to the Arkansas State Website at http://www.sos.arkansas.gov/BCS/Pages/businessServicesFAQ.aspx
Cities in Arkansas
- Prim, AR
- Drasco, AR
- Wolf Bayou, AR
- Brewer, AR
- Parma, AR
- Edgemont, AR
- Greers Ferry, AR
- Higden, AR
- Ida, AR
- Marcella, AR
- Tumbling Shls, AR
- Tumbling Shoals, AR
- Mays Mission, AR
- Concord, AR
- Fairfield Bay, AR
- Shirley, AR
- Pleasant Grove, AR
- Pleasant Grv, AR
- Heber Springs, AR
- Eden Isle, AR
- Locust Grove, AR
- Wilburn, AR
- Hiram, AR
- Hanover, AR
- Mozart, AR
- Fox, AR
- Lexington, AR
- Rushing, AR
- Eglantine, AR
- Floral, AR
- Pearson, AR
- Quitman, AR
- Enders, AR
- Fairbanks, AR
- Alco, AR
- Timbo, AR
- Desha, AR
- Guion, AR
- Hickory Flat, AR
- Pangburn, AR
- Davenport, AR
- Dewey, AR
- Little Red, AR
- Mcjester, AR
- Cushman, AR
- Rose Bud, AR
- Sidon, AR
- Choctaw, AR