We had a problem changing the signature cards at our bank a few years ago - the bank told us we had an invalid EIN (turned out it was the City's) and wouldn't allow us to change our officers until we got one of our own. An little reading up at www.irs.gov
told me all we needed to do. It took about 15 mins on the phone.
At the next meeting, we discussed what happened and decided to go for 501c3, which was successfully accomplished.
The IRS website is www.irs.gov. Look for the Forms button and copy SS-4. You could maybe even get this done today. They gave us our phone number over the phone (but fill out the form before you call).
The EIN (employer identification number) is a what you use for you tax ID# (even if you have no employees). It's sort of like an organization's social security number.
Getting one is quick and easy. No fee. You just fill out a one page form (SS4) with the IRS. You can file by mail, online, by phone. Note - they ask for - but do not require - a SS# of an officer. If you file by mail (and maybe by phone) you can omit this. I'm not sure if you can skip it online.
One thing to remember, is that the PTO is a of type business - hopefully a non-profit one, but still a business. As such it does have rules and responsibilities to face.
As far as a dollar threshhold, the general rule of thumb is that any organization bringing in more than $5000 (gross, not net) per year should formalize and be set up properly under the IRS. For a PTO, this generally means becoming a 501(c)(3) charitable organization.
However, back to your main question - you want to get the EIN regardless. You really don't want to open a PTO bank account with an individual's SS#, and lot of banks won't let you anyway.
hey guys looking for some help. we are trying to change a bank account to a different bank. we are being told that we need an ein#. i was under the impression that because we are non-profit that we don't need one. our budget is less than $10,000. we don't even come close to it. my question is how do we get the number and is it needed?
