If you recently started or plan to start a business in Socorro NM or have another taxable entity one of the first things you will want to do is obtain your Tax ID in Socorro NM.
Obtaining a Tax ID Number (EIN)
When starting a business in Socorro NM, 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.
New Mexico State Tax ID
Outside of obtaining your Federal Tax ID (EIN) in Socorro NM you will also likely need a New Mexico 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 New Mexico State Website at http://www.tax.newmexico.gov/Businesses/register-your-business.aspx
Cities in New Mexico
- Campus, NM
- Escondida, NM
- Luis Lopez, NM
- Florida, NM
- Bingham, NM
- San Antonio, NM
- Polvadera, NM
- Lemitar, NM
- San Acacia, NM
- Alamillo, NM
- La Joya, NM
- Contreras, NM
- Claunch, NM
- Las Nutrias, NM
- Veguita, NM
- Mountainair, NM
- Alamo, NM
- Magdalena, NM
- Abeytas, NM
- Bernardo, NM
- Sabinal, NM
- San Francisco, NM
- Bosque, NM
- Carrizozo, NM
- Ancho, NM
- Duran, NM
- Jicarilla, NM
- Oscuro, NM
- White Oaks, NM
- Belen, NM
- Los Chavez, NM
- Los Trujillos, NM
- Rio Comm, NM
- Rio Communities, NM
- Pueblitos, NM
- Progresso, NM
- Lucy, NM
- Willard, NM
- Tome, NM
- Torreon, NM
- Los Lunas, NM
- Truth Consq, NM
- Truth Or Consequences, NM
- Cuchillo, NM
- T Or C, NM
- Nogal, NM
- Tajique, NM
- Estancia, NM