You’ve got the mission. Maybe it’s a food pantry or a coding camp for kids. But before you can open a bank account or hire your first employee, you hit a bureaucratic wall. You need that nine-digit number. When you apply for ein nonprofit organization status, it feels like just another box to check, but it’s actually the moment the IRS officially recognizes your entity exists.
Honestly, it’s a bit of a rush. Getting that EIN (Employer Identification Number) is the "it's official" moment. It is basically a Social Security number for your business. Without it, you’re just a group of people with a good idea. With it, you can actually start the heavy lifting of tax exemption.
The Massive Mistake Everyone Makes With Their EIN
Don't jump the gun. I see founders try to get their EIN before they've even filed their Articles of Incorporation with the state. That's a mess waiting to happen. If the state rejects your name or you have to change your legal structure, your EIN is tied to the "wrong" entity. You’ll spend hours on hold with the IRS trying to fix a mistake that takes five minutes to avoid.
Incorporate first. Get the stamp from your Secretary of State. Then, and only then, do you go to the IRS website.
The IRS doesn't charge for this. If you find yourself on a website asking for $75 or $200 to "process" your EIN, close the tab. You're being scammed by a middleman. The official IRS.gov portal is free, and the process is usually instantaneous.
How the Process Actually Works
You'll head to the IRS EIN Assistant. It’s only open during specific hours—usually 6:00 a.m. to 10:00 p.m. Eastern Time. Why a website has "business hours" in 2026 is anyone's guess, but that’s the government for you.
When you start the application, you have to select the "type" of organization. This is where people trip up. You aren't just a "business." You must select "View Additional Types" and then specifically choose "Nonprofit Organization."
The Responsible Party Problem
The IRS requires a "Responsible Party." This must be an individual, not another entity. This person has to provide their Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
I get it. People get nervous about linking their personal SSN to a nonprofit. But listen: this doesn't make you personally liable for the nonprofit's debts. It just tells the IRS who is the point of contact for the entity's tax matters. If that person leaves the board later, you just file Form 8822-B to change the responsible party. It’s a standard administrative swap.
What Purpose Do You List?
The IRS asks why you’re applying. For a nonprofit, you’re usually selecting "Started a new business" or "Banking purposes." Even though you're a charity, the IRS system treats the "start" of any entity under these broad categories.
Why Your EIN is Not the Same as Tax-Exempt Status
This is the biggest point of confusion I see. Having an EIN does not mean you are a 501(c)(3) nonprofit.
Think of it like this:
- The EIN is your ID card.
- 501(c)(3) status is a special "club membership" that gives you perks.
You use the EIN to apply for the tax-exempt status using Form 1023 or 1023-EZ. If you get the EIN and then never file your 1023, the IRS expects you to file regular corporate income tax returns (Form 1120). You'll be taxed like a "for-profit" until you prove otherwise.
Specific Documents You'll Need Ready
Don't start the session without these, or the website will time you out after 15 minutes of inactivity. It's ruthless.
- Legal Name: Exactly as it appears on your state incorporation papers.
- Mailing Address: Where you want tax notices sent.
- Responsible Party Info: Name and SSN/ITIN.
- Formation Date: The date the state approved your articles.
- Closing Month of Accounting Year: Most nonprofits choose December, but if your mission follows a school year, you might choose June.
Banking and the "Catch-22"
Most banks won't let you breathe near a teller window without an EIN. They need it to comply with "Know Your Customer" (KYC) laws. Once you apply for ein nonprofit organization status and get your confirmation (Form CP 575), print it immediately. Save a PDF. Save three. Banks are notorious for losing these or asking for the "original" digital copy.
If you lose your CP 575, getting a replacement "Letter 147C" is a giant pain. You’ll be on hold with the IRS specialty tax line for a long time.
The International Founder Loophole
What if you aren't a U.S. citizen and don't have an SSN? You can still start a U.S. nonprofit. You just can't use the online application. You have to fill out Form SS-4 and fax or mail it to the IRS. Yes, fax. It takes about 4–6 weeks this way, but it's the only path if you don't have a U.S. tax ID.
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Next Steps for Success
Once the PDF pops up on your screen with that new number, your work is just beginning.
- Download the CP 575 Notice: Do not close the browser until you have saved this file. The IRS does not email it to you.
- Open a Dedicated Bank Account: Take your EIN and your filed Articles of Incorporation to a bank. Keep nonprofit funds completely separate from personal ones.
- Prepare Form 1023: Now that you have an EIN, you have 27 months from the date of formation to file for 501(c)(3) status if you want it to be retroactive to day one.
- Register for State Taxes: Your EIN is federal. Check if your state requires a separate state tax ID or a "Charitable Solicitation" permit before you start asking for donations.
Getting an EIN is the easiest part of the legal journey, but doing it in the right order saves you a mountain of paperwork later. Wait for the state to approve your name, have your "responsible party" ready, and keep that confirmation letter in a very safe place.