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EIN for Corporation: Form 1120 and the 21% Rate (2026)

A corporation must have an EIN. The IRS assigns the 9-digit number for $0 and issues it in 15 minutes on the online route. A C corporation then files Form 1120 and pays the 21% flat corporate rate.

The EIN is the corporation’s permanent federal ID, separate from any owner’s SSN. It is entered on Form SS-4 line 9a as a Corporation filing Form 1120, and it stays with the company from incorporation through dissolution, across every name change and every address change in between.

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$0
IRS fee for a corporate EIN, on all 4 routes
21%
flat corporate rate on Form 1120, IRC section 11
9
digits in the permanent federal number

Does a corporation need an EIN?

Yes, in every case. A corporation must have an EIN from the day it is formed, because Form 1120 has no valid entry without the 9-digit number. The requirement holds with 0 employees and 0 revenue, and the IRS fee is $0.

When a corporation must hold an EIN, and the return that forces it.
SituationEIN requiredThe return that forces itIRS fee
Every C corporation, from day oneYes, IRS ruleForm 1120$0
Corporation with one or more employeesYes, IRS ruleForm 941 and Form 940$0
Corporation electing S statusYes, IRS ruleForm 1120-S$0
Corporation with an excise dutyYes, IRS ruleForm 720$0
Corporation issuing 1099 formsYes, IRS ruleForm 1099 series$0
Opening a US business bank accountYes, bank ruleAccount application$0

Sources: IRS, Do You Need an EIN and the Instructions for Form SS-4. Verified July 2026.

One of the 6 rows is not an IRS rule. A bank sets its own requirement, and every major US bank asks for the EIN and the CP-575 before it opens a corporate account. A fuller map of the entities that must register sits on the who needs an ein page.

How does a corporation get an EIN?

A corporation files Form SS-4 through 1 of 4 routes: the IRS online tool in 15 minutes, fax in 4 business days to 855-641-6935, mail in 4 weeks, or phone for international applicants at 267-941-1099. Every route costs $0.

RouteTime to the numberOpen without an SSNIRS fee
Online, irs.gov EIN Assistant15 minutes, same sessionNo, an SSN or ITIN is required$0
Fax, 855-641-6935 (US-state entities)4 business daysYes$0
Fax, 855-215-1627 (international)4 business daysYes$0
Mail, Form SS-4 to the IRS4 weeksYes$0
Phone, 267-941-10991 callYes, international applicants only$0

Source: IRS Instructions for Form SS-4, verified July 2026.

The online tool runs Monday to Friday, 7 a.m. to 10 p.m. Eastern, and it closes the session the moment a validation fails. A responsible party with an SSN receives the 9-digit EIN in the same 15-minute session. A corporation whose principal officer holds no SSN files by fax instead, and a return fax number brings the number back in 4 business days. The full route-by-route procedure sits on the how to apply for an ein page.

The honest route for your corporation

Have an SSN? irs.gov is free, the online application takes 15 minutes, and the tool issues the EIN in the same session. No SSN? The fax route works at $0, or we file it from $69.

What does a corporation put on Form SS-4?

A corporation checks the Corporation box on line 9a and writes 1120 beside it. Line 1 takes the legal name character for character, line 7a names a principal officer, and line 7b takes that officer’s SSN, ITIN, or the entry Foreign.

Form SS-4 runs 18 numbered lines, and a corporation completes 10 of them. The 3 that decide everything are line 7a, line 7b, and line 9a: the officer, the officer’s number, and the entity type. A wrong entry on any of those 3 is the reason most corporate applications come back.

LineWhat the IRS asksWhat a corporation enters
Line 1Legal name of the entityThe corporate name character for character from the articles of incorporation, suffix included.
Line 2Trade name or DBALeft blank when the corporation trades under its legal name. A DBA carries no EIN of its own.
Line 4a and 4bMailing addressA non-US address is accepted. The IRS mails the CP-575 to this address.
Line 7aName of the responsible partyA principal officer, a natural person. A corporate name is rejected on line 7a.
Line 7bSSN, ITIN or EIN of that officerThe entry Foreign when the principal officer holds no SSN and no ITIN.
Line 9aType of entityThe Corporation box, with the form number 1120 entered beside it.
Line 10Reason for applyingStarted a new business, hired employees, or banking. The reason does not change the number issued.
Line 11Date business started or acquiredThe incorporation date on the state filing, not the date the application is signed.
Line 16Principal activityOne activity box plus a plain description of the goods or services sold.
Line 18Has the applicant ever received an EINYes plus the prior number when the corporation held one before, which blocks a duplicate.

Source: IRS Instructions for Form SS-4. Verified July 2026.

Fill each line against your incorporation document, then check it once more before filing. A guided walk-through of all 18 lines sits on the form ss-4 page, and the interactive ss-4 form helper builds line 9a and line 7b for you.

How does a corporation file Form 1120?

A C corporation files Form 1120 once a year, with the 9-digit EIN printed in the identification block on page 1. A calendar-year corporation files by the 15th day of the 4th month, April 15, and pays the 21% rate on taxable income.

Form 1120 is the corporate income tax return, and the EIN is what ties it to the entity. The return reports gross income, subtracts deductions, and applies the 21% rate under Internal Revenue Code section 11 to the taxable income that remains. A corporation with a fiscal year files by the 15th day of the 4th month after its year ends, and a 6-month extension to Form 7004 pushes a calendar-year deadline to October 15.

Payroll, excise, and information returns run alongside the 1120 on the same EIN. A corporation with employees files Form 941 each quarter and Form 940 each year, and a corporation that pays a contractor issues a 1099 form. Every one of those forms carries the same 9-digit number the IRS assigned on the CP-575.

Sources: IRS, About Form 1120 and IRS Publication 542, Corporations. Verified July 2026.

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How does the 21% corporate rate work?

A C corporation pays a 21% flat rate on taxable income under Internal Revenue Code section 11. It is one bracket, not a schedule, so a corporation with $50,000 of taxable income and one with $5,000,000 apply the same 21% on Form 1120.

The 21% figure replaced the old graduated schedule and applies to the whole of taxable income, with no lower tier and no upper tier. That is the number a corporation multiplies its taxable income by on Form 1120, and it is why the corporate return is arithmetically simpler than a personal one: 1 rate, applied once, on 1 line. The EIN identifies the filer on every year’s 1120.

The rate says nothing about the shareholder. The 21% lands at the entity level, and a second tax lands on the owner only when profit leaves the corporation as a dividend. That 2-layer structure is the subject of the next section, and it is the single fact that pushes many owners toward an S election on Form 2553.

Source: Internal Revenue Code section 11, which sets the 21% corporate rate, and IRS Publication 542. Verified July 2026.

What is corporate double taxation?

Profit is taxed twice. A C corporation pays the 21% rate on Form 1120, then a shareholder pays income tax again on any dividend, reported on the shareholder’s Form 1040. The 2 layers are the defining feature of a C corporation.

Layer 1 falls on the corporation. It earns income, files Form 1120, and pays the 21% rate on what remains after deductions. Layer 2 falls on the owner. When the corporation distributes after-tax profit as a dividend, the shareholder reports it on Form 1040 and pays a second income tax on the same dollars. The EIN sits on layer 1, the SSN on layer 2, and the 2 numbers never merge.

An S corporation election on Form 2553 removes layer 1. The entity keeps the same EIN, files Form 1120-S instead of Form 1120, and passes income straight to shareholders, so the profit is taxed 1 time rather than 2. The trade-offs between the 2 elections are laid out on the ein for s-corp page.

Should you be a C corporation or an S corporation?

A C corporation files Form 1120 and pays the 21% rate, with profit taxed a second time as a dividend. An S corporation files Form 1120-S and passes income through, capped at 100 shareholders and 1 class of stock under Internal Revenue Code section 1361.

FeatureC corporationS corporation
Annual returnForm 1120Form 1120-S
Entity-level tax21% flat rateNone, income passes through
Layers of tax2, corporate then dividend1, at the shareholder
Election formNone, the defaultForm 2553
Shareholder capNo limit100 shareholders
Classes of stockMore than 1 allowed1 class only
Non-resident ownersAllowedBarred by IRC 1361
Same EIN after electionn/aYes, the number carries over

Source: Internal Revenue Code section 1361, which caps an S corporation at 100 shareholders and 1 class of stock and bars a non-resident alien shareholder. Verified July 2026.

The EIN is identical either way. A corporation applies once on Form SS-4, receives 1 permanent number, and keeps it whether it stays a C corporation or elects S status on Form 2553 within 2 months and 15 days of the tax year. Filing structures for related entities sit on the ein for llc and ein for partnership pages.

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Who is the responsible party for a corporation?

The responsible party is a principal officer, a natural person who controls the corporation, such as the president or the chief executive. Line 7a takes that person’s name and line 7b takes their SSN, ITIN, or the entry Foreign.

The IRS requires 1 responsible party per EIN, and it must be a human being with control over the entity. A board of directors, a parent corporation, and a law firm are all barred from line 7a, because the field rejects any entity name. The number on line 7b is the officer’s own, never the corporation’s, and it exists only to identify the person who signs for the entity.

A principal officer without an SSN or ITIN enters Foreign on line 7b, and the application moves to the fax route at 855-641-6935. No identity document is filed with Form SS-4, and no passport upload is asked for. The EIN that results belongs to the corporation, not to the officer, which is the whole point of the separation set out on the federal tax id number page.

Is the EIN the corporation’s permanent ID?

Yes. The 9-digit EIN is the corporation’s permanent federal ID, distinct from any owner’s SSN. It survives a name change, an address change, and an S election on Form 2553, and it is printed once on the CP-575.

A corporation is a separate taxpayer, so its EIN outlives the people who run it. The number stays fixed while officers change, while the registered address moves, and while the entity elects or revokes S status. An address change is filed on Form 8822-B within 60 days, and the 9-digit number does not change. The only event that forces a new EIN is a new corporate charter from a state, or a conversion to a different entity type.

The CP-575 is the 1 letter the IRS issues when it assigns the number, and a bank verifies the corporation against it before opening an account. Its anatomy is broken down on the cp 575 page, and the broader business context sits on the ein for business page.

Source: IRS, Do You Need a New EIN. Verified July 2026.

What does an EIN for a corporation cost?

The IRS charges $0 for a corporate EIN on all 4 routes, and the number never renews, so year 2 costs $0. ein-number.com charges $69 or $99, and other filing services run from $59.99 to $200, verified 2026.

Filed byPriceAccuracy guaranteeYear 2+
Yourself, direct to the IRS$0Not stated$0
ein-number.com, Standard$69Accuracy guaranteed · filed by fax in 8 business days$0
ein-number.com, Fast$99Accuracy guaranteed · filed within 24 hours, 7 business days total$0
Northwest$200Not stated$0
Rocket Lawyer$59.99Not stated$0

Competitor prices verified July 2026. The IRS fee is $0 on every route, in all 50 states.

The EIN itself carries no price on any row. What differs is who absorbs the risk of a rejection. The $69 Standard tier covers Form SS-4 double-checked against your articles of incorporation by a senior reviewer, fax filing within 8 business days, and 4 tracked stages. The $99 Fast tier files within 24 hours with the IRS call included, 7 business days total. Both refund in full if we make an error. A corporation with an SSN and 15 minutes pays $0 at irs.gov instead, and we say so on every page.

A cost-by-route breakdown for every entity type sits on the ein cost page, and the new-EIN rules for a corporation are on the do i need an ein page. To file for your corporation now, get started.

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What else do people ask about an EIN for a corporation?

The 10 questions below cover the $0 IRS fee, Form 1120, the 21% corporate rate, line 9a on Form SS-4, the 855-641-6935 fax route, and the 100-shareholder cap that separates a C corporation from an S corporation.

+Does a corporation need an EIN?

Yes. Every corporation must have an EIN from the day it is formed, because a corporation files Form 1120 and the return has no valid entry without the 9-digit number. The rule holds even with 0 employees and 0 revenue. The IRS charges $0 for the number, and no bank opens a corporate account without it.

+How much does an EIN for a corporation cost?

The IRS charges $0 for a corporate EIN on all 4 application routes, and the number never renews, so year 2 costs $0 as well. ein-number.com charges $69 to prepare and file Form SS-4, or $99 to file within 24 hours, 7 business days total. Both tiers carry the written accuracy guarantee, verified 2026.

+What tax rate does a C corporation pay?

A C corporation pays a 21% flat rate on its taxable income under Internal Revenue Code section 11, reported on Form 1120. The rate is a single bracket, not a schedule, so a corporation with $50,000 of taxable income and one with $5,000,000 apply the same 21%. The EIN identifies the filer on every 1120.

+What is corporate double taxation?

Profit is taxed twice. A C corporation pays the 21% corporate rate on Form 1120, then a shareholder pays income tax again on any dividend, reported on the shareholder's Form 1040. The 2 layers are the defining feature of a C corporation, and an S corporation election on Form 2553 removes the first layer.

+What does a corporation enter on Form SS-4 line 9a?

A corporation checks the Corporation box on line 9a and writes the form number 1120 beside it, which tells the IRS the entity files Form 1120. Line 7a names a principal officer and line 7b takes that officer's SSN, ITIN, or the entry Foreign. Line 10 states the reason for applying, and none of it changes the $0 fee.

+Is the EIN separate from the owner's SSN?

Yes. The EIN is the corporation's own 9-digit federal ID, permanent and distinct from any shareholder or officer SSN. A C corporation is a separate taxpayer, so its Form 1120, its Form 941 payroll returns, and its bank account all carry the EIN, never a personal number. The SSN appears only on line 7b to identify the responsible party.

+How is a C corporation different from an S corporation?

A C corporation files Form 1120 and pays the 21% corporate rate, with profit taxed a second time as a dividend. An S corporation files Form 1120-S, passes income through to shareholders, and pays no entity-level income tax. An S corporation is capped at 100 shareholders and 1 class of stock under Internal Revenue Code section 1361.

+Who is the responsible party for a corporation?

The responsible party is a principal officer, a natural person who controls the corporation, such as the president or the chief executive. Line 7a takes that person's name and line 7b takes their SSN, ITIN, or Foreign. A board, a parent company, or a law firm cannot be the responsible party, because line 7a rejects any entity name.

+How long does an EIN for a corporation take?

The IRS online tool issues the EIN immediately at the end of a 15-minute session, open only to a responsible party with an SSN or ITIN. Fax returns the number in 4 business days to 855-641-6935. Mail takes 4 weeks, and international applicants call 267-941-1099. ein-number.com files within 24 hours at $99, 7 business days total.

+Does a corporation ever need a new EIN?

A corporation keeps its 9-digit EIN through a name change, an address change, and an S election on Form 2553. It needs a new EIN when it receives a new corporate charter from a state, or when a corporation converts to a different entity type. An address change is reported on Form 8822-B within 60 days, and the number stays.

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Ready to get your corporation’s EIN?

Every corporation must have an EIN to file Form 1120 and pay the 21% rate. The IRS charges $0. We prepare Form SS-4 against your articles of incorporation, set line 9a to Corporation with 1120, double-check it, and deliver the CP-575 at $69 Standard or $99 Fast.

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