JANESVILLE, WISCONSIN—Congressman Bryan Steil (WI-01) called on the Internal Revenue Service (IRS) to immediately fix delays in Employer Identification Number (EIN) applications. EINs are required to hire employees and are an essential step for starting a new business. Steil has been made aware of this issue through constituent services assistance when EIN delays of up to 90 days were noted.
“With all the changes in our economy over the past year, many people are deciding now is the time to create jobs and start their own small or micro business. These small businesses can support local families and workers if they are given a chance to get off the ground. In assisting constituents with obtaining an EIN, it has come to my attention that delays and long hold times are becoming commonplace. These delays harm job creators’ ability to hire workers. I am calling on the IRS to immediately fix these delays and help people get back to work, drive investment to Southeast Wisconsin, and continue on our road to recovery. With high unemployment and economic uncertainty, we need to do everything we can to support workers and families,” said Steil.
Dear Commissioner Rettig:
Thank you for your service to our country in your role as IRS Commissioner. As you are aware, the coronavirus pandemic and related economic shutdowns have had a harmful impact on small businesses and workers across America. As our economy recovers, we must support the entrepreneurship and investment that will revitalize our communities and bring people back to work. With that in mind, I write to raise concerns about the IRS’s handling of Employer Identification Number (EIN) applications.
As you know, obtaining an EIN is an essential step for starting a new business. An EIN is necessary for opening a bank account, obtaining business licenses, and filing taxes. Given its importance as American families work to build new small businesses and create jobs, I was dismayed to learn through constituent casework that some small businesses are facing extended delays in obtaining an EIN. In some cases, constituents have been told that the IRS could take as long as 90 days to process an EIN request.
These delays hurt the ability of small businesses to open their doors and hire workers just as our economy is beginning to recover. Failing to address this issue will dampen new business formation and slow investment and hiring.
I ask that you work expeditiously to address these extended EIN processing times. Please do not hesitate to contact me if I can be of assistance.