Should I Put My EIN on Business Invoices?

An Employer Identification Number (EIN) is a unique nine-digit tax identification number assigned by the Internal Revenue Service (IRS) to businesses. It serves as a primary identifier for federal tax administration and is often necessary for various business operations.

What an EIN Is

An Employer Identification Number (EIN), also known as a Federal Tax Identification Number (FTIN) or Federal Employer Identification Number (FEIN), is a distinct nine-digit number the IRS provides to identify a business entity. This number functions similarly to a Social Security Number (SSN) for individuals, serving as a primary identifier for tax purposes. Businesses generally need an EIN if they have employees, operate as a corporation or partnership, or file certain tax returns such as employment, excise, or alcohol, tobacco, and firearms taxes. Additionally, an EIN is commonly required to open business bank accounts, apply for business licenses, and establish vendor relationships.

Typical Invoice Information

A standard business invoice serves as a formal request for payment and a detailed record of a transaction. Key components typically found on an invoice include:
A unique invoice number and the date of issue.
The seller’s business name, address, and contact information, along with the customer’s name and address.
Detailed descriptions of the goods or services provided, including quantities and unit prices.
The total amount due, any applicable taxes or discounts, and specified payment terms and the due date.

When an EIN Appears on Invoices

For most routine business-to-business or business-to-consumer transactions, displaying an EIN directly on an invoice is not a requirement or common practice. However, there are specific circumstances where an EIN may be relevant for disclosure. For instance, if a client requests a Form W-9 from your business, your EIN would be provided on that form, not necessarily on every invoice. This occurs when the payer needs your Taxpayer Identification Number (TIN) to fulfill their IRS reporting obligations, such as for payments exceeding $600 that might require a Form 1099-NEC.

Government contractors often need to provide their EIN for identification and tax compliance purposes when engaging with federal agencies. While not always printed on every invoice, the EIN is a fundamental piece of information for these contractual relationships. In such cases, the invoice might be directly tied to a contract where the EIN is mandated for identification. The inclusion of an EIN on an invoice is generally limited to situations where it serves a direct tax reporting or regulatory function, rather than being a standard element for commercial billing.

Protecting Your EIN

Safeguarding your EIN is important because it serves as your business’s federal tax identification, similar to how an SSN identifies an individual. While an EIN is not considered as sensitive as an SSN and is sometimes publicly available, it should still be protected to prevent business identity theft. Businesses should generally provide their EIN to the IRS, banks for opening business accounts, payroll providers, and clients who specifically request a Form W-9 for tax reporting purposes.

When sharing your EIN, use secure methods and verify the legitimacy of the request. Avoid sending it over unsecured networks or public Wi-Fi. Regularly monitoring business credit reports can help detect unauthorized use of your EIN. The IRS will never initiate contact via email, text, or social media to request personal or financial information, so be wary of such requests.