A partnership is any incorporated business where two or more owners contribute their time, labor, property or money before sharing in the company’s profits and losses.
It’s one of the most common legal structures in the country — largely due to the ease with which one can launch and register a business.
Before you can register your partnership, however, you will need an Employer Identification Number (EIN). Easily file for an EIN with GovDocFiling.
In addition to their setup ease, partnerships are relatively affordable to maintain. Instead of having to file both personal and corporate taxes, every partner in the business reports profits and losses as individuals.
This means you can avoid the “double taxation” that most corporate owners have to pay. It also simplifies tax prep since you only need to report profits and losses once.
In fact, there are no additional federal filing requirements when forming a partnership — except for the Employer Identification Number (EIN).
Also known as a Tax ID, an EIN allows you to do everything from opening a new bank account to taking out loans to hiring employees.
In addition, many suppliers, vendors and clients will need your partnership EIN to reconcile their own taxes and filings.
Although it’s technically possible to use your Social Security number instead, this exposes you to a much higher risk of identity theft. Providing this type of personal information can also make your business look less professional.
Of all the corporate structures out there, partnerships are some of the easiest to form.
That said, the process isn’t necessarily “easy.”
Many entrepreneurs struggle with the first step — applying for a partnership Tax ID number. That’s because dealing with the IRS often involves lots of paperwork, hassles and delays.
That’s where we can help.
At GovDocFiling, we’ve simplified the partnership filing process to help get your business up and running as quickly as possible.
Rather than fill out tons of paperwork and wait for lengthy approvals, you can apply for an EIN using our intuitive one-page application.
That’s only the beginning.
Once your partnership Tax ID has been approved, you’ll still have access to a range of resources and customer support options to help take your new business to the next level. Our goal isn’t simply to help you get started, we also want to help grow your partnership.
Running a successful business requires overcoming any number of challenges. However, registering your partnership EIN shouldn’t be one of them.
Discover how easy and intuitive launching a business can be with our simplified filing process.
To get started, apply for your Partnership Tax ID with us today.