Websites Asking for Payment for Your Employer Identification Number Are Deceptive, Avoid Them
Wanna save a buck? Skip those EIN scams and grab 'em for free, right from the IRS. Those sly scammers are earning a pretty penny by peddling government services you don't need to pay for – like help filing for an Employer Identification Number (EIN). The Federal Trade Commission is sounding the alarm over fraudulent sites masquerading as the Internal Revenue Service (IRS), charging as much as $300 for paperwork.
Get this: You can snag yourself an EIN in a jiffy on the legit IRS website, no strings attached. An EIN – a tax identification number for corporations, estates, and nonprofits, or anyone hiring household workers like a family nanny – is a must-have if you're starting a business.
Spotting the EIN Swindle
So, how's the con work, you ask? These shady operators are attempting to dupe you in all sorts of ways:
- Coating their sites in IRS seals, logos, formatting, and images
- Sticking "IRS" in their domain names or websites
- Branding themselves as "EIN Assistants"
- Neglecting to acknowledge any lack of IRS affiliation
- Refusing to clue you into the fact that their fees are purely service charges, since EINs are comp'd
It ain't just EINs, either. Scammers are slithering around, hawking help with government enrollment for DHS's Trusted Traveler Programs, like TSA PreCheck and Global Entry. While these programs do require a fee, you shouldn't be dishing out dough for the application itself. (Psst: TSA PreCheck teams up with several third-party enrollment providers, with fees varying slightly from $67 to $78.)
Score a Free EIN
If you actually need an EIN, check out the IRS' very own EIN Assistant tool. You'll need deets about your business' legal structure, plus personal info like your name, address, contacts, and tax ID. Boom – in no time flat, your EIN will be popping up on the screen, ready for action. The overall process takes about 15 minutes if you have your facts straight.
What's the skinny on avoiding EIN scams and waltzing away with a free EIN?
- Smell a Rat: Be wary of shifty sites posing as the IRS. Always ensure you're on www.irs.gov before you start doling out cash.
- Never Pay for Nuthin': The IRS provides EINs without any cost. If a site is billing you, it's a scam.
- Scout for Phishing Emails: Keep an eye out for emails claiming to be from the IRS. These emails might request personal info or lead you down treacherous links.
- Navigate to the Application Page: On the IRS website, find "Apply for an Employer Identification Number" and get rollin' with the app.
- Use the Online Application: The IRS offers an electronic form (Form SS-4) – this is the speediest way to secure an EIN.
- Check Your Info: Verify all deets are accurate and complete before submitting the application.
Once you've got your EIN, make it yours and yours alone. Treat it like your Social Security number, keeping it as secure as possible, and report any changes to the IRS using Form 8822-B. If you ever spot any fishy EIN scams, tell the IRS promptly. Now, go get your free EIN like the savvy business-owner you are!
- The Federal Trade Commission warns against fraudulent websites claiming to offer help in filing for an Employer Identification Number (EIN) for a fee, with some charging as much as $300.
- To avoid these scams, you should always apply for a free EIN directly from the IRS website, which provides this service without any cost.
