Every American should have a social-security number. This number signifies that the individual has been registered within the population count of the country. On the other hand, highest social-security can be ensured by means of this number. This number has now become one of the most integral aspects of American society.
Your Social Rights
You can now enjoy all your social rights independently with the social-security number.
You can seek for immediate help from the social-security administration in case you face any issues as a social-being.
• If you want to get yourself enrolled for Medicare, then you can conveniently do the same by means of using this security-number.
• As a retired or disabled fellow, you can now enjoy unlimited benefits or facilities from the government if you have this number.
You can get a higher protection against identity theft and this is one of the greatest advantages for which US citizens prefer having social-security number. This number is as precious as any asset. If you want to exercise your social rights for the sake of preserving self-protection, then in that case your social-security card plays a big role.
Did you know that taxes are inevitable in the world of business?
Actually, most startups require more than one tax identification numbers such as the federal employer identification number, State taxpayer identification number, and State unemployment insurance employment account number or others.
You must obtain a new tax identification number every time for of your business.
Furthermore, when purchasing an established business, you will need to apply for new tax identification numbers.
What is tax identification number (TIN)?
Just as you require an identifier to differentiate you from other people; your business requires an identifier to separate it from the others. However, most business owners do not understand the need for a separate tax identification number (TIN) in their business operation. The need highly vary depending on the type of company and the purported business activities.
The tax identification number is primarily a nine digit ID, which government authorities use to identify individuals and businesses. The other name for individual tax identification number is the Social Security Number. And the other name for business entity tax identification number is the (EIN) or simply Tax Identification Number (TIN). What do I mean with that? SSN is a form of tax identification number, but tax identification numbers are not always social security numbers.
The main purpose of a TIN
Government authorities introduced the TIN with one main goal: to permit business owners to file tax returns on behalf of their businesses. When filing taxes on behalf of your business, you must include the number on your tax forms. Mostly, banks will demand theTIN when opening an account in your business name.
Customers and suppliers might also ask for the tax TIN when establishing an account with your business or cutting a check – they do that for taxation reasons.
If you are running a sole proprietorship form of business, the SSN is same as theTIN for the sole proprietorship. If you are starting a sole proprietorship type of business, your personal Social Security number will cover your business activities automatically – you and your business are the same thing. But when setting up any other type of business such as a partnership or corporation, you should remember to apply for separate tax identification number. Partnerships involve two or more owners and therefore the business cannot use the Social Security Number of one owner. Corporations are unique entities separate from their owners.
Up to this point, you already know that you do not require a tax identification number to run a sole proprietorship. However, you will require it if you are planning to hire employees. Without EIN, you will not be able to pay your workers’ employment taxes. The EIN shows on every yearly W-2 of your employees. Businesses that associate with particular types of organizations such as farmer’s cooperatives, some types of trusts and nonprofit organizations will require EIN.
In some states, small businesses must apply for separate state-issued identification numbers. For example, if you are planning to set up a “pool remodeling business in Thousand Oaks, California, you will have to apply for California Taxpayers ID number. It will be of assistance when filing for California Franchise Tax. When hiring individuals, you should use the state-issued business ID number. You will also need to use it when paying state employment taxes on your workers behalf.
Applying for a federal employer identification number
If you are a sole proprietor not intending to higher workers, to file information returns, you have no retirement plan for yourself, or not intending to pay federal excise taxes associated with your business, you do not need a separate tax identification number. You can generally use your social security number, known as the Federal Tax Identification Number (FTIN). A single member limited liability company desiring to file taxes as a sole proprietorship form of business, may also follow the rule.
Any other form of business have afederal employer identification number. To do that, you should file Form SS-4 with Internal Revenue Service. Independent contractors doing residential or commercial building improvement or constructions in private or public sector, including pool plastering and remodeling businesses, require tax identification number for employees’ compensation purposes.
You can obtain the Form SS-4 from IRS. To get it, you need to contact the IRS through the phone number they have listed on the Resource Directory. You can also print the form and the instructions directly from the IRS website at Forms and Publications.
Most people apply for the federal employer identification number by fax, online or by the United States mail. You can complete the application and get the number for immediate usage. Use the IRS website. On the website’s homepage, navigate to the Apply for an (EIN) online. To apply through fax, dial 859-669-5760. Mail applications will take around 4-5 weeks.
The (IRS) uses Tax identification Numbers (TIN) in tax laws administration. You can only get the number through the IRS or through the Social Security Administration (SSR). The SSA issues the Social Security Number while the IRS offers all the other TINs.
Taxpayer Identification Numbers you might need to consider when setting up any type of business such as a pool contractor:
The numbers that the IRS assigned previously are not valid anymore.
Why you need the Tax identification number in your business
You must furnish a TIN on statements, returns, and any other tax related document. A quick example: you must furnish the number when claiming treaty benefits and filing tax returns. The TIN should be on withholding certificates if the beneficial owners are claiming tax treaty benefits other than income form a marketable security, exemption a particular annuity or exemption for an effectively connected income.
When do people use the Social Security Number (SSN)?
Generally, you will need to list the SSN of all people for whom you are claiming an exemption on your personal income tax return. If your spouse or dependent does not have the number or are not eligible to have one, yu have to list the ITIN – not the SSN. If a child was born and died on the same year, the SSN or the ITIN is not important.…
Social-security number is a great security especially for disabled or retired seniors of the country. These seniors can now lead an independent life without facing any financial crisis. This facility can be only provided by social-security number. Different facilities can be now availed by these seniors from their social-security card.
Medical facilities are one of the most important facilities that are being offered to both disabled and retired seniors of the society. These facilities keep them healthy all the time. Moreover, the facility of medical-claims can also be availed as a result of which the cost of medical emergencies can be either waived or reduced to a great extent.
Financial support on every month can be catered by the government. This support is quite valuable and can enable the seniors to lead a stress-free life. All necessary requirements of daily life can be now easily fulfilled with this support.
Health counseling and drug-purchase facilities are also being catered to these seniors. Sometimes, housing facilities are also being enjoyed by these seniors for holding the social-security cards.
The seniors also receive healthy foods as a part of social-security facilities. This facility is really quite appreciable.
Noncitizens find a great difficulty in acquiring social-security number in the United States, but the natives can easily acquire the same. You have to determine first that whether you are eligible for getting this number or not. You should check out the eligibility criteria and if the criteria suit you then only you can apply for this number.
US citizens who have got roots in the country can automatically get the eligibility of having the card of social-security from the Federal government. By birth, they have got the right to have this security-number and thus they do not require fulfilling any eligibility criteria.
F-1 students can also get this card, but only under certain conditions like on-campus employment, study under scholarship, CPT and other related ones.
F-2 and H-4 dependants are not at all eligible for a social-security number and thus they cannot apply for the same.
H-1B employees are fully eligible and they do not require making any efforts rather they receive the eligibility automatically by law.
If you have got your employment-authorization documents with yourself, then also you can apply for this security number. These documents prove that you have got work-authorization and this makes you eligible for getting this number.
If you want to know more about the eligibility criteria for social-security number then you got to visit to the official site. You can even have consultation with any expert SSN officer who has got intricate knowledge about the same. The officer can guide you in a better direction.