Federal Regulations

Tax Registration

You will need an EIN, which can be obtained through the IRS by filling out Form SS-4. Experts recommend that you secure an EIN even if you are a sole proprietor who does not intend to hire employees. Using an EIN will help protect the privacy of your Social Security number as well as help separate your business life from your personal life.

Also, if you choose to elect status as a Subchapter S Corporation, you will use IRS Form 2553.

Licenses and Permits

It might surprise you to find out that the U.S. government does not license many types of businesses. However, if your business is overseen by a specific federal agency, there is a good chance that you will need a federal license or permit.

TIP: Some businesses that do need a federal license or permit:

  • public transportation and trucking
  • investment advisors who provide investment advice for a fee
  • alcohol, tobacco and firearms
  • drugs
  • meat products