Getting an Employer Identification Number (EIN) is one of the most crucial steps in launching a business. The Internal Revenue Service (IRS) issues this particular nine-digit number that is used to identify your firm for tax purposes. If you’re launching a business in Ohio, you might be curious about the cost of an EIN.
Thankfully, getting an EIN is cost-free. A free EIN application is available online, via mail, or by fax. However, some businesses charge a fee for their EIN application services. These organizations are not connected to the IRS and are not required to obtain an EIN.
You might ask if you can backdate the business name if you have already been conducting business under a specific name and want to make it official. An organization name cannot be backdated in Ohio. Your business name change will go into effect on the day the Ohio Secretary of State approves it.
You must activate your business name once you have registered it with the Ohio Secretary of State. This entails informing the relevant organizations, such as the IRS, of your new company name. This can be accomplished by amending your company name on any relevant tax documents, licenses, and permits.
You must renew your Ohio Department of Taxation (DTI) account if it has expired if you want to keep conducting business in the state. Your account can be renewed by mail or online through the Ohio Business Gateway. To prevent penalties and costs, make sure to renew your account prior to the expiration date.
You might need to submit a “doing business as” (DBA) certificate to the Ohio Secretary of State if you are conducting business under a name other than your legal name. This certificate enables you to choose an alternative name for your company and aids in preventing unauthorized use of your company name. You must submit an application and pay a fee to get a DBA certificate.
Finally, even though getting an EIN is free, there are crucial measures you need to do to make sure your company is operating lawfully in Ohio. Don’t forget to register your business name, make sure the appropriate organizations are aware of it, and renew your DTI account as necessary. Make sure you submit the required papers to safeguard your company name if you are utilizing a DBA.
Follow these steps to establish a sole proprietorship in Ohio:
1. Select a business name and confirm that it is available
2. Register your company with the Ohio Secretary of State
3. Acquire any necessary permissions and licenses
4. submit an IRS application for an employer identification number (EIN)
5. open a business bank account
6. Monitor your company’s accounts and file your taxes on time. An EIN is not expensive to obtain in Ohio; it is free. The IRS website offers online, postal, and fax applications for EINs. Additionally, there are third-party businesses that might help you get an EIN; however, they can charge a fee for their assistance.