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Level 2
posted Dec 27, 2020 10:55:06 AM

Should I use my EIN on my tax return if I'm a sole proprietor?

I applied for an EIN because my SEP IRA required it.  Should I use that EIN anywhere on my personal tax return?

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1 Best answer
Level 15
Dec 27, 2020 11:40:44 AM

Schedule C:

 

Line D

Enter on line D the employer identification number (EIN) that was issued to you on Form SS-4. Do not enter your SSN on this line. Do not enter another taxpayer's EIN (for example, from any Forms 1099-MISC that you received). If you do not have an EIN, leave line D blank.

 

You need an EIN only if you have a qualified retirement plan or are required to file employment, excise, alcohol, tobacco, or firearms returns, or are a payer of gambling winnings. If you need an EIN, see the Instructions for Form SS-4.

 

See https://www.irs.gov/instructions/i1040sc#idm140229423597072

6 Replies
Level 15
Dec 27, 2020 11:40:44 AM

Schedule C:

 

Line D

Enter on line D the employer identification number (EIN) that was issued to you on Form SS-4. Do not enter your SSN on this line. Do not enter another taxpayer's EIN (for example, from any Forms 1099-MISC that you received). If you do not have an EIN, leave line D blank.

 

You need an EIN only if you have a qualified retirement plan or are required to file employment, excise, alcohol, tobacco, or firearms returns, or are a payer of gambling winnings. If you need an EIN, see the Instructions for Form SS-4.

 

See https://www.irs.gov/instructions/i1040sc#idm140229423597072

Level 15
Dec 27, 2020 12:26:14 PM

If you have one for the business  then entering it on the Sch C is a good idea.  

Level 2
Dec 27, 2020 1:16:00 PM

@Critter-3 , thanks.  Where exactly do I enter it in TurboTax?  I didn't see a place to do that.

 

Also, last year I didn't enter it in.  Would that be a problem?

Level 15
Dec 27, 2020 3:17:18 PM

You'll use the EIN ***ONLY*** on the SCH C. That's it.

 

Level 15
Dec 27, 2020 3:31:37 PM

Edit the business info section ...

 

Level 15
Dec 27, 2020 3:36:33 PM

Go to Business tab- then Continue
Choose Explore on my own or I'll choose what to work on (if it comes up)

Then…..

Business Income and Expenses - Click the Start or Update button

 

You should see the Business Summary page that lists your businesses, (right below the list you can Add Another Business)

 

Then click EDIT by the business name and the next screen should be a list of topics,
Business Profile, Income, Inventory/Cost of Goods Sold, Expenses, Assets, and Final Details last.

Click Start or Update by Business Profile
Then click Edit by the item you need to change