Starting a business in Missouri, your first step should be selecting the right business structure and registering your business as a legal entity with the state authority. Afterwards, you should check whether you will need the federal tax ID number or not.
The business needs to be registered with the state to run it smoothly and comply with all state and federal rules. If you are looking to register your business and obtain the EIN, you can learn everything here.
Register Your Business in Missouri
If you have a Social Security number or an ITIN, you can start a business in the US, or if you are a foreigner, you would need to make someone a responsible party who has one of these. In every state in the US, individuals with an SSN/ ITIN can register their business as a legal entity.
If the business is a sole proprietor, it can operate without registering the business; however, if it meets the tax liability, they have to pay federal or state taxes. A tax ID is essential since firms in Missouri and the majority of states must pay state taxes on their income.
You can register your business in Missouri online on the Secretary of State’s official portal for registration. Before you begin the registration process, you should know what you will need, such as:
- Determine your business structure (LLC, partnerships, corporations, etc.)
- Name your business as per the rules
- Gather all your documents related to business, including your SSN/ ITIN.
- Prepare the registration fee, which would be based on the type of business structure and value of authorized shares.
How to register your business in Missouri online?
The Missouri Secretary of State has an online business registartion portal to make it easy for entrepreneurs to start their business journey. You can follow the steps below to register your business on the Missouri portal:
- Visit the Missouri Business Registration portal of the Secretary of State.
- You should first create your account on the portal by selecting a User ID and entering a strong password with a security question.
- Once you ensure your business name is unique and not copyrighted on the Business Search tab.
- Click the “Other Business Entities” option on the left side of the page after logging in to the portal.
- Afterwards, click the “Create a Business Entity” option and select the business type and Domestic/ foreign.
- Now, file the article for your business name with all the details, business name, location, shares, etc.
- Next, you would have to make the payment for the registration fee, and once it is completed, you can check the certificate of your business registartion and get the legal entity status.
Know if you would need an EIN
We suggest that every entrepreneur obtain the Employer Identification Number if they wish to separate their business taxes. The single-member LLCs or sole proprietorships, or businesses where the owner pays the taxes under their tax returns, may not need an EIN.
An EIN is important for many purposes and mandatory in certain situations, such as:
- You will need an EIN for hiring employees, managing their retirement plan, withholding taxes from their wages, etc.
- To pay taxes, including excise duty, you would require an EIN.
- You would need it to obtain a state tax ID number and file tax returns, both state and federal.
- You would need to change ownership or manage your business operations.
- An EIN will be needed to maintain a bank account separately for your business and perform other operations.
So, if you have any of the above requirements, our suggestion would be to get a federal tax ID number to make your work easy and hasten the legal procedures.
What’s the process to obtain a Tax ID (EIN) number?
The IRS issues the federal tax ID (EIN) to businesses through various methods, but the fastest and most convenient is the online process, which is available on weekdays between 7 AM to 10 PM.
To apply for the tax ID (EIN) number online, you would need the SSN/ ITIN as a responsible party or a signed authorization (if you are applying on someone’s behalf) with all the business details. Now, follow the steps below and complete your EIN application for your business in Missouri:
- Visit the IRS online portal for EIN application and move to the application section.
- Enter your company’s information, including name, address, and other details, after choosing your business entity type from the available options.
- Then, enter your SSN/ ITIN and other details based on who is filing for the EIN.
- Next, review the details and ensure every business information is correct before clicking the Submit button.
If the IRS found all the information valid, they will issue the EIN online in just a few hours or within 24 hours, so you can move to other steps to run your business legally, meeting all the rules.
