Getting an EIN for a Virginia Limited Partnership

The IRS issues each business a nine-digit federal tax identifier called an Employer Identification Number. Think of it as a Social Security number for your business — the identifier the federal government and financial institutions use to recognize the partnership.

Why a limited partnership always needs one

Unlike a single-member LLC, which can sometimes get by on the owner's Social Security number, a limited partnership always needs its own EIN. The reason is structural: an LP has at least two partners, so for federal tax purposes it's a partnership, and partnerships must file an informational return (Form 1065) and issue Schedule K-1s to the partners. That filing requires an EIN. There's no version of a properly run LP that skips this.

What you'll use the EIN for

• Filing the partnership's federal tax return (Form 1065) and issuing K-1s
• Opening a business bank account — banks require the EIN for an LP
• Hiring employees and handling payroll tax reporting
• Applying for business licenses and permits that ask for a federal tax ID
• Establishing business credit and dealing with vendors who need your tax ID

In short, the EIN is the partnership's key to operating in the financial and tax systems. You'll want it early.

The sequence matters a little. It's generally cleanest to form the limited partnership first — file the Certificate of Limited Partnership with the State Corporation Commission — and then apply for the EIN, because the IRS application asks for the entity's legal name and formation details.

The usual order

1. Confirm your LP name is available and file the Certificate of Limited Partnership with the SCC.
2. Once the LP exists, apply for the EIN using the partnership's exact legal name as filed.
3. Use the EIN to open the business bank account and set up tax and payroll.

Applying after formation avoids a mismatch between the name on your EIN and the name on the state record — a small alignment issue that can otherwise cause friction with banks and the IRS down the line. If you apply before the state has accepted the certificate, you risk the entity name not matching what ultimately gets recorded.

The best part: getting an EIN is free directly from the IRS. Be wary of third-party sites that charge a fee just to obtain the number — the IRS doesn't charge for it, and you can do it yourself in minutes.

Applying online

The fastest route is the IRS EIN Assistant at IRS.gov. The online application:

• Takes roughly ten to fifteen minutes to complete
• Issues the EIN immediately at the end of the session
• Lets you download and print the confirmation right away, so you can use the number the same day
• Is available during the IRS's posted hours

What the application asks

• The partnership's legal name and any trade name
• The type of entity (partnership)
• The reason you're applying (started a new business)
• The responsible party's name and Social Security number or ITIN — typically a general partner
• The partnership's mailing address and general information about the business

The responsible party

The IRS requires a "responsible party" — a real person who controls or manages the entity, usually a general partner. The online application needs that person to have a U.S. Social Security number or ITIN. If the responsible party doesn't have either, the online tool won't work.

Foreign general partners without a U.S. SSN or ITIN can still get an EIN — the online tool just isn't the path. This comes up regularly with limited partnerships that have international principals.

The alternative routes

• Form SS-4 by fax or mail: Complete IRS Form SS-4, the Application for Employer Identification Number, and submit it by fax or mail. Fax turnaround is typically faster than mail. This is the standard route when the responsible party lacks an SSN or ITIN.
• By phone (for international applicants): The IRS offers a phone option for certain international applicants to obtain an EIN, following the instructions on Form SS-4.

Practical tips

Fill out Form SS-4 carefully — errors slow things down. If you're using a formation or filing service, ask whether they can help coordinate the EIN application, especially in the international case where the process is less automated. The number itself is still free; what you'd be paying for is help navigating a slightly more manual process.

Once the IRS issues the EIN, keep the confirmation letter (the CP 575 notice, if issued) somewhere safe — banks and agencies sometimes ask for it, and it's the cleanest proof of the number.

Put it to work

• Open the business bank account in the partnership's name using the EIN, and keep partnership funds strictly separate from personal money.
• Set up your accounting so each partner's capital account is tracked from day one — you'll need clean records for the Form 1065 and the K-1s.
• Register for state and payroll taxes if applicable, using the EIN, with the Virginia Department of Taxation and for any employment taxes.

One EIN per entity

The EIN stays with the partnership for its life. You generally don't need a new one unless the entity's structure fundamentally changes. If the LP later dissolves, the EIN isn't reused — you close out the account with the IRS by filing final returns rather than cancelling the number itself. Treat the EIN as a permanent identifier for this specific partnership.