What Is an IRS Form CP 575?

Request a tax identification number.

An IRS Form CP 575 is the notification form the Internal Revenue Service uses to send a unique entity employer identification number (EIN), also known as a federal tax identification number. Form CP 575 is useful for identifying your business in transactions, when needed. If you need to, you can photocopy the original form, but you cannot get a duplicate from the IRS.

Identification

Several different types of business models that can be formed in the United States, including sole proprietorships, partnerships, corporations and limited liability corporations. Most businesses are required to have an EIN to file and pay taxes as a business and to conduct other business transactions. A business entity does not have to be an employer to get a tax number.

Once you or your business entity applies for an EIN, the IRS processes the request and assigns a unique number. The IRS Form CP 575 is then issued as a record of your EIN and business identity.

Function

Form CP 575 is important because it can be used as verification of the EIN for banking purposes. It also can be used for other business transactions that require formal business identification. Business entities should use their EINs for business transactions rather than deferring to owners' personal Social Security numbers.

Significance

You only get one Form CP 575, and it cannot be re-issued by the government. For many transactions that require this form, it may be possible for you to provide a photocopy of your original IRS Form CP 575. If you should lose it, you will need to find out what can be used in lieu of this document.

Does Your Business Need an EIN?

If you are unsure whether your business entity needs to apply for a tax identification number, a good rule of thumb is: When in doubt, get one. Only certain sole proprietorship models have the option of using either the owner's Social Security number or obtaining an EIN. The IRS can help you determine which identification number you need.

Warning

There is no cost to obtain an EIN, so do not use a site that requests a fee. It's a good practice to go directly to the IRS for business setup help to avoid any errors or oversights.

References

• Internal Revenue Service: Internet Employer Identification Number
• Internal Revenue Service: Topic 755 - Employer Identification Number (EIN) -- How to Apply

Resources

• Internal Revenue Service