Detailed Answer
Overview: When a person dies, the estate may generate income—such as interest, dividends or rental receipts—after the date of death. To report this income, the estate needs its own Employer Identification Number (EIN) from the IRS. Idaho does not impose a separate estate or inheritance tax, so the federal EIN serves all Idaho filing needs.
Step 1: Confirm Your Authority as Executor. Under Idaho law, an executor (known in Idaho as a personal representative) must be formally appointed by the probate court. See Idaho Code § 14-503 (link) for duties of the personal representative.
Step 2: Gather Required Information. You will need:
- Decedent’s full name, Social Security number (SSN) and date of death.
- Executor’s name, address and SSN or Individual Taxpayer Identification Number (ITIN).
- Estate’s mailing address and county of administration.
- Type of entity: “Estate of [Decedent’s Name],” and date of death.
Step 3: Complete IRS Form SS-4. Form SS-4 is the Application for Employer Identification Number. You can:
- Apply online (recommended) at the IRS website: Apply for an EIN Online.
- Mail or fax the completed Form SS-4 to the address or fax number listed in the form’s instructions.
- Call the IRS at 800-829-4933 (for international applicants, 267-941-1099) to apply by phone.
Online applications typically issue the EIN immediately. Fax requests take about four business days; mail takes about four weeks.
Step 4: Use the EIN for Tax Filings and Bank Accounts. Once you receive the EIN, use it to:
- File the decedent’s final individual income tax return (Form 1040).
- File the estate’s income tax return (Form 1041) if the estate earns over $600 in a tax year.
- Open an estate bank account to separate estate assets from personal funds.
Disclaimer: This article is for informational purposes only and does not constitute legal or tax advice. Consult a qualified attorney or tax professional for guidance tailored to your situation.
Helpful Hints
- Apply online during regular IRS hours (7 a.m. to 10 p.m. Eastern) for fastest processing.
- Keep a certified copy of the Letters Testamentary or Letters of Administration handy; the IRS may request proof of appointment.
- Use the estate’s EIN—not the decedent’s SSN—once you file the first estate return.
- Notify banks and financial institutions of the new EIN before distributing funds.
- Review Idaho Code Title 14, Chapter 5 for executor duties: Idaho Probate Code.