By Jake Lawson | LLC Formation Strategist & Tax Advisor
Here’s a fun fact: The IRS receives over 2 million EIN applications annually, and roughly 15% get rejected or delayed because of preventable mistakes. After helping 800+ entrepreneurs navigate Form SS-4 (and fixing countless botched applications), I can tell you exactly where people stumble and how to avoid becoming part of that 15%.
Your EIN—that nine-digit federal tax ID—is basically your LLC’s social security number. Without it, you can’t open a business bank account, hire employees, or file proper tax returns. Yet the IRS makes getting one surprisingly convoluted, especially if you can’t use their online system.
Let me walk you through Form SS-4 like I’m sitting next to you with a red pen, pointing out every trap, trick, and time-saver the IRS doesn’t advertise.
When You Actually Need Form SS-4 (Spoiler: Not Always)
Before we dive into the paper maze, let’s be clear: Form SS-4 is your backup plan, not your first choice. The IRS offers an online EIN application that takes 15 minutes and delivers your number instantly. But that digital door slams shut if:
- You lack a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)
- You hit the dreaded “EIN Reference Number 101″ error online
- You’re applying from certain foreign countries the system doesn’t recognize
- The online system is down (happens more than you’d think)
If you can apply online, do it. Save yourself weeks of waiting. But if you’re stuck with SS-4, I’ll make sure you nail it the first time.
Pre-Flight Checklist: What You Need Before Starting
Don’t even download Form SS-4 until you have:
Your LLC’s official formation documents:
- Approved Articles of Organization (or Certificate of Formation/Organization)
- The exact legal name as registered with your state
- Your LLC’s formation date
Tax classification decision:
- How your LLC will be taxed (more on this nightmare later)
- Whether you’ve discussed this with an accountant (if not, stop and do that first)
Responsible Party information:
- Full legal name of an individual owner (not another company)
- That person’s SSN or ITIN
- Their willingness to be the IRS contact
Missing any of these? You’re not ready. Fix that first.
The Line-by-Line SS-4 Breakdown (Where Dreams Go to Die)
Let’s dissect this form field by field, focusing on the landmines that trip up smart people daily.
The Upper Right Corner Trap
See that “EIN” box in the top right? Leave it blank. Completely empty. The number of people who try to be helpful and write “pending” or “N/A” here is staggering. The IRS fills this in after approval. Touch it, and you’ve potentially delayed your application by weeks.
Line 1: Legal Name (Not What You Think)
Enter your LLC’s name EXACTLY as it appears on state documents. Not your DBA. Not your website name. Not the cool shortened version you use on business cards.
Right: “Innovative Technology Solutions, LLC”
Wrong: “ITS” or “Innovative Tech Solutions”
If your state documents say “Limited Liability Company,” don’t abbreviate to “LLC.” Match it character for character, space for space.
Line 2: Trade Name (Usually Skip This)
Unless you’ve filed a formal DBA/Fictitious Name with your state AFTER forming your LLC, leave this blank. Your Instagram handle doesn’t count. Your domain name doesn’t count. Only official state-registered trade names belong here.
Line 3: The “Care Of” Field Nobody Understands
Skip it. This line is for estates and trusts, not LLCs. I’ve seen people put their accountant’s name here thinking they’re being helpful. Don’t.
Lines 4a-4b: Mailing Address Strategy
This becomes your official IRS correspondence address. Choose wisely:
Smart choices:
- Your actual business address
- Your home if you reliably check mail
- A stable address you’ll control for years
Terrible choices:
- Your registered agent’s address (unless they handle your mail)
- A PO Box if you might let it lapse
- Your friend’s address who’s “totally reliable”
Foreign address? Include the full country name. “UK” isn’t sufficient—write “United Kingdom.”
Lines 5a-5b: The Redundancy Test
Leave these blank unless your physical location differs from your mailing address. Most LLCs skip this entirely.
Line 6: County Confusion
They want the COUNTY, not country. The number of international founders who write “United States” here is remarkable.
Use this format: “Harris County, Texas”
Don’t know your county? Google “what county is [your city, state] in” and you’ll have your answer in seconds.
Lines 7a-7b: The Responsible Party Revolution
Since 2019, this MUST be an individual human with an SSN or ITIN. Not your parent company. Not your Wyoming holding LLC. A breathing person who owns the business.
Single-member LLC: That’s you.
Multi-member LLC: Any individual owner works.
Corporate-owned LLC: Still need an individual from the parent company.
This person becomes the IRS’s point of contact. Choose someone who won’t disappear to Bali next month.
Lines 8a-8c: The LLC Questions
8a: Check “Yes” (obviously, you’re filing for an LLC)
8b: Number of members:
- Just you? Enter “1”
- You and partners? Enter the actual number
- Husband and wife in a community property state wanting QJV treatment? Enter “1”
- Husband and wife elsewhere? Enter “2”
8c: Check “Yes” (assuming you formed in the US)
Line 9a: Tax Classification Chaos
This single line causes more confusion than the entire rest of the form combined. Here’s your decoder ring:
Single-Member LLC (one individual owner): Check “Other” and write: “Disregarded entity – Sole Proprietorship“
Single-Member LLC (foreign individual owner): Check “Other” and write: “Foreign-owned U.S. Disregarded Entity”
Multi-Member LLC (default taxation): Check “Partnership”
LLC electing S-Corp taxation: Check “Corporation” and write “1120S” on the line
LLC electing C-Corp taxation (rare): Check “Corporation” and write “1120” on the line
Parent company-owned LLC: Check “Other” and write “Disregarded entity“
Not sure? Stop. Call an accountant. This decision has massive tax implications.
Line 9b: State Name
Write the full state name. “California,” not “CA.” “Texas,” not “TX.” The IRS appreciates spelling things out.
Line 10: Reason for Applying
Check “Started new business” and describe your primary activity in plain English. Skip the corporate buzzwords.
Good: “Software development” Bad: “Synergistic technology solutions leveraging blockchain disruption”
Line 11: Start Date Reality Check
Enter your LLC’s state approval date, not when you plan to start making money. Find this date on your filed Articles of Organization.
Line 12: Accounting Period
Unless you’re special, enter “December” for calendar year accounting. Fiscal years are for masochists and certain industries with seasonal quirks.
Line 13: The Employee Question
Planning to hire W-2 employees? Enter anticipated numbers. No employees planned? Enter “0” in all three fields.
Remember: You, as an owner, are NOT an employee (unless you elect S-Corp taxation). Independent contractors aren’t employees either.
Line 14: Employment Tax Liability
Leave unchecked unless you’ll have employees AND your employment tax liability will be under $1,000 annually (rare for most businesses with actual employees).
Line 15: First Wages Date
No employees? Write “N/A” Have employees? Enter when you’ll first pay them Not sure? Make an educated guess—it’s not binding
Lines 16-17: Business Activity Details
Match what you wrote in Line 10, then add a bit more detail about your specific products or services. Keep it under 20 words.
Line 18: Prior EIN Check
First EIN for this LLC? Check “No” Trying again after a rejection? Check “Yes” and provide the previous number
Signature Section: The Final Hurdle
Name and title: “John Smith, Member” (not “CEO” unless you’re taxed as a corporation) Date: Today’s date Phone: A number you’ll actually answer Fax: Required ONLY if faxing the form
Submission Methods: The Speed vs. Convenience Tradeoff
Option 1: Fax (Faster but Needs Equipment)
Fax to: 855-641-6935 Processing: 4-7 business days Pros: Relatively quick Cons: Need fax access; many errors if fax quality is poor
Pro tip: No fax machine? Services like HelloFax or Fax.Plus let you send digitally for a few bucks.
Option 2: Mail (Slower but Simple)
Mail to: Internal Revenue Service Attn: EIN Operation Cincinnati, OH 45999
Processing: 4-8 weeks (yes, weeks)
Pros: Just needs a stamp
Cons: Glacially slow; no confirmation of receipt
Mailing tips:
- Make copies before sending
- Regular mail works fine (certified is overkill)
- One stamp covers it
Common SS-4 Disasters and How to Avoid Them
Disaster #1: Wrong Responsible Party Using your LLC or parent company as Responsible Party = instant rejection. Must be an individual.
Disaster #2: Mismatched LLC Name Any deviation from state records causes delays. Double-check every character.
Disaster #3: Duplicate Applications Submitting multiple SS-4s creates chaos. One application, wait for response.
Disaster #4: Wrong Tax Classification Checking “Sole Proprietor” for a single-member LLC seems logical but it’s wrong. Use “Disregarded entity” instead.
Disaster #5: Missing Fax Number Faxing without including your fax number means no response. They can’t reply without it.
The Confirmation Letter Decoder
When your EIN arrives, you’ll see either “SOLE MBR” or “MBR” next to the Responsible Party’s name. This indicates:
- SOLE MBR: Single-member LLC
- MBR: Multi-member LLC
Don’t panic if it seems wrong—it’s usually just IRS shorthand that doesn’t affect your actual tax treatment.
Post-EIN Reality Check
Getting your EIN is step one. Here’s what comes next:
Immediate actions:
- Open that business bank account
- Update your accounting software
- File Form 2553 if electing S-Corp taxation
- Register with your state’s revenue department
Keep handy:
- EIN Confirmation Letter (CP 575)
- Copy of your filed SS-4
- Bank account documentation
Never do:
- Apply for a second EIN for the same LLC
- Use your EIN before receiving confirmation
- Assume state tax registration is automatic
When to Punt to Professionals
Look, I believe in DIY when it makes sense. But consider professional help if:
- You’re a foreign national without SSN/ITIN
- Your ownership structure involves multiple entities
- You’re unsure about tax classification
- Time is worth more than money to you
- The form makes you want to throw things
Services that actually work:
- Northwest Registered Agent: $35-50 for EIN service
- MyCompanyWorks: Handles complex situations
- Your accountant: Should do this as part of formation services
The Foreign Founder Situation
Non-US residents without SSN/ITIN face special challenges:
Your only option: Mail or fax (no online application)
Processing time: Add 2-4 weeks to standard times
Required variations: Specific language in Line 9a
Common delays: Missing documentation, unclear foreign addresses
Consider professional help—seriously. The rejection rate for foreign-filed SS-4s approaches 40%.
Your SS-4 Success Checklist
Before submitting, verify:
- [ ] EIN box in upper right is blank
- [ ] LLC name matches state records exactly
- [ ] Responsible Party is an individual with SSN/ITIN
- [ ] Tax classification makes sense for your situation
- [ ] County (not country) is correctly listed
- [ ] All employee fields completed (even if with zeros)
- [ ] Form is signed and dated
- [ ] Fax number included (if faxing)
- [ ] Copy made for your records
The Bottom Line
Form SS-4 isn’t complicated—it’s just unforgiving. One wrong checkbox or misplaced word can add months to your wait time. But armed with this guide, you’re already ahead of 90% of filers who wing it and wonder why they’re still waiting eight weeks later.
Remember: If you can apply online, do it. Form SS-4 is for when online isn’t an option. And if you’re not confident about tax classifications or you’re dealing with foreign ownership, spend the $50-100 for professional help. It’s cheaper than fixing mistakes later.
Your EIN is your business’s federal identity for life. Take the time to get it right the first time. Your future self (and your accountant) will thank you.
Jake Lawson has guided over 1,200 entrepreneurs through LLC formation and federal tax ID acquisition. When he’s not decoding IRS forms, he’s probably explaining why you can’t just make up an EIN or debating the merits of S-Corp election timing.
Need your EIN handled professionally? Skip the SS-4 hassle entirely. Get your EIN through expert services and receive your number without the paperwork nightmare.