New Square terminal and new Square account. Small non profit with no IRS registration. How to complete account setup with no EIN?
Hi @MindyMSmith. Can you be more specific about how your non-profit is organized? I ask because in order for you to use Square or any other card processor, as well as in order for you to get a bank account, etc, your non-profit is required to have an EIN -- even if you don't have employees. That's the law. You'd first need to organize the non-profit by forming an LLC or something like that. Then after that is done, you'd need to apply with the IRS for an EIN. Then you can use that to set up your Square account and use your Terminal. Also, if you truly want tax-exempt status, you'd have to have the EIN in order to apply for that through the IRS, as well.
@MindyMSmith.. Another thing. Clubs, neighborhood, school and other informal groups can get around this by having what is known as a fiscal sponsor. This is usually a registered non-profit that acts as an umbrella organization for such groups. The fiscal sponsor usually provides financial services and most require certain things from the groups they sponson in order to help them be sure everyone is following the law and reporting as they should.
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