Many times a bank will tell a new business they need a Tax ID. What the new business doesn’t know is there are different types of Tax ID‘s. Do they mean an Employer Identification Number (EIN #) or a Wyoming Sales Tax Number? What are the differences?
An Employer Identification Number (EIN) is also known as a Federal Tax Identification Number and is used to identify a business entity. This is normally what the bank means when they say “Tax ID”.
Do you have employees?
Do you operate your business as a corporation or a partnership?
Do you file any of these tax returns: Employment, Excise, or Alcohol, Tobacco and Firearms?
Do you withhold taxes on income, other than wages, paid to a non-resident alien?
Do you have a Keogh plan?
Are you involved with any of the following types of organizations?
• Trusts, except certain grantor-owned revocable trusts, IRAs, Exempt Organization Business Income Tax Returns
• Real estate mortgage investment conduits
• Non-profit organizations
• Farmers' cooperatives
• Plan administrators
Wyoming Sales/Use Tax License Number – This also can be referred to as a Tax ID #. This is normally not what the banker is referring to when he/she says you need a Tax ID . This ID# is needed for any person who meets the following definition of vendor and must license to collect and remit sales tax. Wyoming Statute (W.S.) 39-15-101(a)(xv) states:
"Vendor" means any person engaged in the business of selling at retail or wholesale tangible personal property, admissions, or services, which are subject to taxation under this article. "Vendor" includes a vehicle dealer as defined by W.S. 31-16-101(a)(xviii).
If there is any doubt who must have a Wyoming Sales Tax Identification Number you can call Education & Taxability Services with the Wyoming Department of Revenue:
Terri Lucero – Education/Taxability Manager
(307) 777-5293 (307) 777-5293
The Education & Taxability section provides services to all taxpayers with written taxability determinations, seminar request, and educational information. Please direct any questions or concerns related to the above to firstname.lastname@example.org or by telephone at (307)777-2459 (307)777-2459
If you are still confused about Tax ID’s, please go to our website at www. WyomingEntrepreneur.biz and set up a free and confidential meeting with one of our professionals.