Comparison Guide
EIN vs ABN Compared
Understand the difference between a US EIN and an Australian ABN. Both are business identifiers, but they serve different countries, issuers, and purposes.
An EIN is a 9-digit US federal tax ID issued by the IRS. An ABN is an 11-digit Australian Business Number issued by the Australian Business Register (ABR). They serve different purposes in different countries. US entities need an EIN. Australian businesses need an ABN. An Australian who forms a US LLC needs both: the ABN at home and a US EIN, which ein.so files for $49.
Australian entrepreneurs expanding into the US market meet both the EIN and the ABN. Understanding the difference matters for operating legally in both jurisdictions. This guide compares the two identifiers side by side, explains when you need each one, and shows how Australian owners get a US EIN without an SSN. The core distinction is jurisdiction. An EIN comes from the US Internal Revenue Service for US federal tax. An ABN comes from the Australian Business Register for Australian business and GST purposes. Neither number is valid in the other country.
| Factor | EIN (United States) | ABN (Australia) |
|---|---|---|
| Full name | Employer Identification Number | Australian Business Number |
| Issuing authority | IRS (Internal Revenue Service) | Australian Business Register (ABR) |
| Format | XX-XXXXXXX (9 digits) | 11 digits (e.g., 51 824 753 556) |
| Cost from the source | $0 from the IRS | $0 from the ABR |
| Validity | United States only | Australia only |
| Required for | US tax filing, US banking, US payroll | Australian tax, GST, invoicing |
| Application | Form SS-4 to the IRS | Online at abr.gov.au |
Definition
What Is an EIN?
An EIN (Employer Identification Number) is a 9-digit federal tax ID issued by the US Internal Revenue Service to entities operating in the United States. The format is XX-XXXXXXX, for example 12-3456789. The IRS assigns it once and keeps it permanently.
Every US business entity uses an EIN for federal tax filing, opening a US bank account, hiring employees, and accepting payments. The IRS charges $0 for an EIN. A non-resident applies with Form SS-4 by fax, because the online tool requires an SSN. For the full definition, see what is an EIN.
Key EIN Facts
- Issued by: Internal Revenue Service (IRS)
- Format: XX-XXXXXXX (9 digits)
- Cost: $0 from the IRS / $49 through ein.so
- Purpose: US federal tax identification
- Application: Form SS-4 by fax to 855-215-1627
- Processing: 4-7 business days by fax for a clean form
- Non-resident ID: Passport number on Line 7b, no SSN needed
See how to get an EIN for the complete application walkthrough.
ABN
What Is an ABN?
An ABN (Australian Business Number) is an 11-digit identifier issued by the Australian Business Register (ABR), which the Australian Taxation Office (ATO) operates. The format is written as 11 digits, such as 51 824 753 556. The ABN is the primary business identifier in Australia.
The ABN began on July 1, 2000, under Australia's New Tax System. Australian businesses use the ABN for GST registration, invoicing, business-to-business transactions, and ATO reporting. The ABR charges $0 for an ABN, and applicants apply online at abr.gov.au. The ABN identifies the business inside Australia only.
Key ABN Facts
- Issued by: Australian Business Register (ABR)
- Operated through: Australian Taxation Office (ATO)
- Format: 11 digits (e.g., 51 824 753 556)
- Cost: $0 from the ABR
- Purpose: Australian business identification and GST registration
- Validity: Australia only
- Introduced: July 1, 2000
The ABN has no standing in the United States. A US business needs a separate EIN regardless of any ABN the owner holds.
Comparison
EIN vs ABN: Side-by-Side
An EIN identifies your business to the US government. An ABN identifies your business to the Australian government. The table below compares issuer, format, cost, and use cases so you can see exactly where each number applies.
| Factor | EIN (United States) | ABN (Australia) |
|---|---|---|
| Full name | Employer Identification Number | Australian Business Number |
| Issuing authority | IRS | Australian Business Register (ABR) |
| Country | United States | Australia |
| Format | XX-XXXXXXX (9 digits) | 11 digits (e.g., 51 824 753 556) |
| Digits | 9 | 11 |
| Cost from source | $0 | $0 |
| Who needs it | US LLCs and corporations | Australian businesses and sole traders |
| Primary use | Federal tax, banking, payroll | GST, invoicing, B2B trade |
| Application method | Form SS-4 by fax | Online at abr.gov.au |
| Non-resident ID accepted | Passport number on Line 7b | Australian identity documents |
| Valid outside home country | No | No |
The Core Difference
An EIN and an ABN never substitute for each other. The IRS does not accept an ABN, and Australian systems do not accept an EIN. An Australian who forms a US LLC keeps the ABN for the Australian business and adds a US EIN for the US entity. Both numbers stay active at the same time.
For Australian Entrepreneurs
How Do Australian Entrepreneurs Get a US EIN?
Australian entrepreneurs get a US EIN by submitting Form SS-4 to the IRS by fax to 855-215-1627, using an Australian passport number on Line 7b. No SSN or ITIN is required. The IRS online tool is blocked without an SSN, so fax is the path. Most clean forms return an EIN in 4-7 business days.
Form Your US Entity
Complete Form SS-4
Submit by Fax
Receive Your EIN
Your existing ABN has no bearing on the EIN application. The IRS does not ask for or verify any foreign tax ID. Your Australian passport is sufficient identification on Line 7b. For deeper detail, see EIN without an SSN and EIN for non-residents.
SS-4 Field Guide
What Goes on Form SS-4 for an Australian Applicant?
An Australian applicant enters the US entity name, the Australian address, the responsible party's name, and the Australian passport number on Form SS-4. The passport number on Line 7b replaces the SSN that the IRS online tool demands. Correct field entry is the difference between approval in days and silent rejection.
| SS-4 Field | Australian Entry |
|---|---|
| Line 1 (Legal name) | Your US LLC or corporation name |
| Line 4 (Address) | Your Australian address (street, suburb, state, postcode) |
| Line 7a (Responsible party) | Your full name as on your passport |
| Line 7b (SSN/ITIN/EIN) | Your Australian passport number |
| Line 9a (Entity type) | LLC or corporation, as formed |
| Line 10 (Reason) | Started new business |
| Line 16 (Principal activity) | E.g., "software," "e-commerce," "consulting" |
Common rejection causes for Australian applicants
- Address formatting: the Australian state plus 4-digit postcode does not map cleanly to US-style fields, and the IRS rejects malformed addresses.
- Leaving Line 7b blank or entering an ABN instead of a passport number.
- Mismatched responsible-party name that does not match the passport exactly.
ein.so reformats your Australian address to an IRS-accepted style and verifies every line before faxing. See the full SS-4 form guide and EIN processing time for timelines.
Use Cases
When Does an Australian Need an EIN vs an ABN?
An Australian needs an EIN for any US entity and an ABN for any Australian business. The two numbers answer different questions: the EIN answers "who is this business to the IRS," and the ABN answers "who is this business to the ATO." The cards below map common situations to the right identifier.
US LLC for SaaS or E-commerce
Local Australian Trading
US Bank Account and Payments
Operating in Both Countries
You Need an EIN If
- You formed a US LLC or corporation
- You sell on US platforms such as Amazon.com or a US Shopify store
- You need a US business bank account
- You hire US-based employees or contractors
- You file US federal tax returns
You Need an ABN If
- You operate a business inside Australia
- You register for GST in Australia
- You invoice Australian customers
- You report to the Australian Taxation Office
Cost & Tax
What Does an EIN Cost, and What Are the US Tax Duties?
The IRS charges $0 for an EIN, and ein.so files Form SS-4 for $49 Standard (4-7 business days) or $97 Express (2-3 business days). After the EIN, a foreign-owned single-member US LLC carries an annual US information-return duty. The ABN itself costs $0 from the ABR.
EIN Cost
Form 5472 + 1120
BOI Report to FinCEN
ITIN If You Need a Personal ID
ein.so handles the EIN filing and does not provide tax advice. Confirm your specific US position with a US CPA familiar with non-resident matters, and confirm your Australian duties with an Australian accountant. The EIN is the starting point for US tax compliance, not the whole picture.
Summary
Summary: EIN vs ABN
The EIN and the ABN are separate identifiers for separate countries. The quick-reference table answers the questions Australians ask most before forming a US entity.
| Question | Answer |
|---|---|
| Are they the same? | No. Different countries, different issuers |
| Can one replace the other? | No. Each is valid only in its own country |
| Do I need both? | Only if you operate in both the US and Australia |
| Which do I get first? | The one for the country where you start operating |
| EIN cost? | $0 from the IRS, or $49 through ein.so |
| ABN cost? | $0 from the ABR |
| EIN ID for Australians? | Passport number on Form SS-4 Line 7b |
For related comparisons, see EIN vs ITIN, EIN vs SSN, and EIN vs Tax ID.
Next Steps
After Getting Your US EIN From Australia
- Open a US bank account — Mercury and Relay accept Australian LLC owners remotely
- File your BOI report — required for most US LLCs at fincen.gov/boi
- File Form 5472 — annually for foreign-owned LLCs ($25,000 penalty for non-filing)
- Check the EIN processing time — plan around 4-7 business days Standard
- Review the EIN cost — $0 IRS fee, $49 Standard or $97 Express through ein.so
Start with how to get an EIN and EIN without an SSN if you are new to the process.
Frequently Asked Questions
Is an EIN the same as an ABN?
No. An EIN is a 9-digit US federal tax ID issued by the IRS. An ABN is an 11-digit Australian Business Number issued by the Australian Business Register (ABR). They come from different authorities in different countries and serve different purposes. An EIN identifies a US entity for federal tax. An ABN identifies an Australian business.
Do I need both an EIN and an ABN?
You need both only if you operate businesses in both the United States and Australia. Your EIN identifies your US LLC or corporation to the IRS. Your ABN identifies your Australian business to the Australian Taxation Office. Each number is valid only in its own country, so one cannot replace the other. The two coexist without conflict.
Can I use my ABN instead of an EIN in the US?
No. The IRS does not accept an ABN or any foreign tax ID for US federal tax reporting. If you form a US LLC or corporation, you must obtain a separate EIN from the IRS using Form SS-4. Your existing ABN has no standing with the IRS and is never requested on the EIN application.
How do Australian entrepreneurs get a US EIN without an SSN?
Australian entrepreneurs submit Form SS-4 to the IRS by fax to 855-215-1627. No SSN or ITIN is needed. You enter your Australian passport number on Line 7b as identification. The IRS online tool is blocked without an SSN, so fax is the path. ein.so files it for $49 Standard (4-7 business days) or $97 Express (2-3 business days).
What format is an ABN versus an EIN?
An ABN uses 11 digits, often written as 51 824 753 556. An EIN uses the XX-XXXXXXX format: 9 digits with a hyphen after the second digit, such as 12-3456789. The two formats differ and are never interchangeable. Software and government systems validate each format separately, so you must use the correct one in each country.
Is an EIN valid in Australia?
No. An EIN is valid only for US federal tax purposes and has no legal standing in Australia. An ABN, likewise, has no standing with the IRS in the United States. Each country issues and recognizes its own business identifiers. An Australian operating in both markets carries both numbers and uses each only in its home jurisdiction.
How much does an EIN cost for an Australian applicant?
The IRS charges $0 for an EIN. An Australian can file Form SS-4 directly by fax for free. ein.so prepares and faxes the SS-4 and delivers your EIN by email for $49 Standard (4-7 business days) or $97 Express (2-3 business days). See the EIN cost breakdown for the full pricing detail and what is included.
Does a foreign-owned US LLC owned by an Australian have US filing duties?
Yes. A foreign-owned single-member US LLC files Form 5472 plus a pro-forma Form 1120 with the IRS each year. The penalty for not filing is $25,000. This is an information return that reports transactions between the LLC and its foreign owner. Confirm your specific filing position with a US CPA, because ein.so does not give tax advice.
Can I open a US bank account with an EIN if I only have an ABN today?
Yes. Once you form a US LLC and obtain an EIN, banks such as Mercury and Relay accept Australian owners remotely with the EIN, formation documents, and a passport. Your ABN is not used for US banking. The EIN is the identifier US banks require to open a business account for a non-resident-owned entity.
Which number should an Australian get first?
Get the identifier for the country where you start operating. An Australian running a local business gets the ABN first from the Australian Business Register. When that founder forms a US LLC to reach US customers or payment rails, they add a US EIN. The order follows where the business activity and tax obligations begin.
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