What an EIN is and why you need one

The EIN (Employer Identification Number) is the federal tax ID the IRS issues to your LLC. Think of it as your company's tax ID in the United States — the LLC equivalent of an SSN, but for the business itself.

What the EIN is for

• Open a US bank account (Mercury, Relay, etc.)
• File federal taxes with the IRS (annual tax filing)
• Get paid through Stripe and other payment processors
• Sign contracts in the LLC's name
• Tax compliance: without an EIN you cannot operate the LLC officially

How to get one

The process depends on whether you have an SSN or ITIN:

With an SSN or ITIN

You can apply online at irs.gov and receive the EIN immediately. The whole process takes about 10 minutes.

Without SSN or ITIN (non-residents)

You have to submit Form SS-4 by fax or mail to the IRS. The IRS processes the form and mails you the CP 575 letter with your EIN.

• By fax: response in 5-20 business days
• By mail: response in 6-12 weeks

At Devil Club we fax your SS-4 to the IRS the same day your LLC is formed. Current average IRS turnaround is around 21 days.

How much does the EIN cost?

The EIN is free: it costs $0. The IRS charges no fee to issue one, whether you apply online (with an SSN/ITIN) or by fax or mail (non-residents). The IRS says so directly: "Beware of websites that charge for an EIN. You never have to pay a fee for an EIN." (official IRS page).

So why do providers charge? What you pay for is not the number — it's the work: filling out the SS-4 without the errors that trigger rejections (lines 7b, 8a-8c, 10 and 18, covered below), faxing it the same day, and handling the follow-up — including the call to request a 147C if the IRS misplaces your form. If you have an SSN or ITIN, getting it yourself online is free and takes 10 minutes. If you're a non-resident, the value is in having someone manage the fax and follow-up for you — not in the EIN itself, which is still free.

The CP 575 letter

When the IRS approves your application, it issues the CP 575 letter. This document is the "birth certificate" of your LLC for tax purposes. You will need it to:

• Open the bank account
• Sign up with Stripe, PayPal, etc.
• Any future tax filing or compliance task

Keep it safe. If you lose it, you can request a 147C letter as a replacement, but it takes weeks.

EIN vs. ITIN vs. SSN

Common confusion:

• EIN: tax ID for the COMPANY (LLC)
• ITIN: tax ID for a non-resident INDIVIDUAL
• SSN: Social Security Number for US citizens/residents

To operate your LLC you only need the EIN. You do not need an ITIN or SSN unless you also have to file personal US taxes. If you're unsure when that kicks in, we break it down in the guide to the ITIN for non-residents. And when a US platform or client asks you for a foreign-status form, the one you sign is your LLC's W-8BEN — the individual's form, not the entity one.

With the EIN in hand, the first two operational steps are to open your Mercury account and start to invoice with your LLC properly. And while the EIN hasn't arrived yet? Not everything is on hold: we go over what you can do with your LLC without the EIN yet.

What happens if the IRS loses your SS-4?

It happens more often than it should. The IRS receives thousands of forms by fax and mail and occasionally an SS-4 fails to be processed or the records get misplaced. If 30 business days pass with no news, the next step is to call the IRS international entities line directly (267-941-1099) and request a 147C letter.

The 147C letter is the equivalent of the CP 575 but issued on request. It carries the exact same legal weight with banks, Stripe or any other party. The process:

• Call the IRS and verify identity as the responsible party for the LLC
• Request the 147C by fax (sent in real time during the call) or by mail (4-8 weeks)
• Use that letter exactly the same way as the CP 575

Typical wait time to receive the 147C by fax during the call is minutes. By mail it can take 4 to 8 weeks. The IRS also publishes the full instructions for Form SS-4 if you need to review the exact application requirements.

Before calling, also review the common mistakes when running your LLC to make sure the rest of your structure is in order.

What the SS-4 asks for (and what trips up non-residents)

Most EIN rejections aren't technical errors — they come from filling in fields that don't apply to non-residents. The 4 things that matter:

Line 7b: SSN/ITIN

If you have neither an SSN nor an ITIN, leave this box blank and write "Foreign" on line 7a (responsible party name). If you write "N/A" or "none" the IRS rejects the form. "Foreign" is the magic word.

Lines 8a-8c: Type of entity

For a single-member non-resident LLC: check "LLC" and put 1 in "Number of Members". If you check "Corporation", you'll be assigned a corporate filing (full 1120 instead of pro-forma) — fixing this later is a months-long headache.

Line 10: Reason for applying

Check "Started new business" and specify the type ("Consulting", "Software development", "E-commerce"). Don't pick "Other" without a description — it triggers automatic manual review and adds 3-6 weeks.

Line 18: Applicable jurisdiction

Even if you are a non-resident, the LLC's jurisdiction is New Mexico (or whichever state you formed it in), NOT your country of residence. This confuses many applicants because they assume "their" jurisdiction matters. What matters is the LLC's.

Realistic timeline

• Day 0: you fax SS-4 to the IRS (international territory: 267-941-1040)
• Day 10-21: the IRS processes the form and assigns the EIN
• Day 21-35: you receive the CP 575 by international postal mail (the IRS does not respond by email or fax)
• Day 35+: if it didn't arrive, call for the 147C

With Devil Club we cut the "submit + follow-up" time to an average of 21 days vs. the 6-12 weeks of the DIY mail process.