If you recently started or plan to start a business in Potomac VA or have another taxable entity one of the first things you will want to do is obtain your Tax ID in Potomac VA.
Obtaining a Tax ID Number (EIN)
When starting a business in Potomac VA, 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.
Virginia State Tax ID
Outside of obtaining your Federal Tax ID (EIN) in Potomac VA you will also likely need a Virginia 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 Virginia State Website at https://www.ireg.tax.virginia.gov/VTOL/Login.seam
Cities in Virginia
- George Mason, VA
- Sun Trust Bank, VA
- George Washington, VA
- Dept Of Defense, VA
- Dod, VA
- Naval Research Laboratory, DC
- Jefferson Manor, VA
- Jefferson Mnr, VA
- Bolling AFB, DC
- Bolling Air Force Bas, DC
- Wash, DC
- Washing, DC
- Washingtn, DC
- Crystal City, VA
- Belleview, VA
- Forest Heights, MD
- Forest Hts, MD
- Oxon Hill, MD
- National Harbor, MD
- Dept Of The Navy, VA
- Theological Seminary, VA
- Trade Center, VA
- Cameron Station, VA
- South, VA
- Pentagon, DC
- Fort Lesley J Mcnair, DC
- Fort Mcnair, DC
- Ft L J Mcnair, DC
- Fort Myer, VA
- Ft Myer, VA
- Navy Mutual Aid Assoc, VA
- Franconia, VA
- Office Of Naval Research, VA
- Community, VA
- Bur Medicine Surgery, DC
- Lincolnia, VA
- Fdic, VA
- Baileys Crossroads, VA
- Baileys Xrds, VA
- Rosslyn, VA
- Assistant Secretary Of Navy, VA
- National Science Foundation, VA
- Naval Air System Command, VA
- Naval Supply System Command, VA
- Navy Sea Systems Command, VA
- Space & Naval Warfare System, VA
- State Department, DC
- Army Criminal Invest, DC