Detailed Answer
Why an Estate Needs an EIN
As soon as a North Carolina executor (also called a personal representative) receives Letters Testamentary from the clerk of superior court, the estate becomes a separate legal entity. To open an estate bank account, report income, and withhold taxes, the executor must secure a federal Employer Identification Number (EIN). Think of the EIN as the estate’s Social Security number.
Step-by-Step Guide to Getting an EIN
- Gather required information. You will need:
- Decedent’s full legal name, last address, and Social Security number.
- Date of death.
- Name, address, and phone number of the executor.
- North Carolina county where probate is filed and the estate file number (from the Letters Testamentary).
- Choose an application method.
- Online (fastest): Visit the IRS EIN Assistant at irs.gov. The system is available Monday–Friday, 7 a.m.–10 p.m. Eastern. Complete the interview-style form and download the EIN confirmation letter immediately.
- Fax: Send Form SS-4 to the fax number in the instructions. Write “ESTATE OF [Decedent]” on line 1 and “Executor – Your Name” on line 3. The IRS usually faxes back the EIN within four business days.
- Mail: Mail Form SS-4 to the address in the instructions. Processing takes four to six weeks.
- Telephone (international applicants only): Not common for North Carolina estates.
- Provide responsible party information. The executor is the responsible party. Use your own Social Security number and indicate your title as “Executor.” Under IRS rules you must be an individual, not the law firm.
- Describe the estate. When the online assistant asks for the estate’s reason for applying, select “Estate (deceased individual).” Estimated employees: “0” unless the estate will hire workers.
- Retain the EIN confirmation notice. Download, print, or save the CP 575 notice. You will need it to:
- Open estate bank and brokerage accounts.
- File Form 1041 (U.S. Income Tax Return for Estates and Trusts).
- Communicate with the IRS.
North Carolina Probate Duties that Follow
After obtaining the EIN, N.C. law requires the executor to safeguard and inventory estate property. See N.C.G.S. § 28A-13-3 for a complete list of powers and duties, including paying valid claims and filing tax returns. Use the EIN on all estate tax filings and Form AOC-E-505 Inventory filed with the clerk.
Helpful Hints
- Apply for the EIN before moving or closing any estate funds. Banks will not open an estate account under the decedent’s Social Security number.
- Use the estate’s EIN—not your own SSN—on Form 1041 and any 1099s issued for estate income.
- If you misplace the EIN, call the IRS Business & Specialty Tax Line at 800-829-4933.
- The EIN application is free. Ignore third-party websites that charge processing fees.
- Confirm that the estate will end in less than two years before checking “final return” on Form 1041.
Ready to settle the estate confidently? Our North Carolina probate attorneys guide executors through every step—from securing the EIN to final distributions. Call us today at (919) 341-7055 for a consultation.
