A state ID number is a unique identifier assigned by a state government, and the phrase means one of two things depending on who’s asking. For an individual, it’s the number printed on a state-issued identification card or driver’s license and used to confirm your identity. For a business, it’s a tax identification number assigned by the state’s revenue agency to track what the business owes in income tax withholding, employment taxes, or sales tax. Both are the state’s way of keeping tabs on who you are and what you owe.
The Number on Your State ID Card
Every state issues identification cards through its motor vehicles agency, including non-driver ID cards for people who don’t drive but still need government-issued photo identification. Each card carries a unique number, usually printed on the front near the top and labeled “ID” or “ID No.”
In many states the ID card and driver’s license are issued from the same numbering system and follow the same format, so the number functions the same way whether you drive or not. There’s no minimum age for a non-driver card in most states, so a parent can get one for a child who needs photo identification.
You’ll be asked for this number anytime someone needs to confirm who you are on paper. Banks ask for it when you open an account because federal rules require them to collect four pieces of identifying information from every customer: name, date of birth, address, and a government-issued identification number.1Internal Revenue Service. Employer Identification Number A state ID card satisfies that last requirement. Law enforcement uses the number during routine interactions to verify your identity and your age. Employers, landlords, and government offices rely on it for the same reason.
Digital Versions of the Card
More than 20 states now issue mobile driver’s licenses or digital ID cards that live in a phone’s wallet app, and TSA accepts them at over 250 airport checkpoints.2Transportation Security Administration. Participating States and Eligible Digital IDs The ID number on the digital card is the same one on your physical card. Acceptance outside of airports is still limited, so most banks, bars, and government offices expect the physical card.
State ID Numbers for Businesses
The business version of a state ID number is a tax identification number assigned by your state’s revenue or taxation department. The state uses it to track what your business owes in income tax withholding, employment taxes, and sales tax.3U.S. Small Business Administration. Get Federal and State Tax ID Numbers Whether your business needs one depends on whether your state imposes these taxes and whether you have employees or sell taxable goods.
This is a separate number from your federal Employer Identification Number, although some states skip the extra step and simply use your federal EIN for state tax purposes. The terminology shifts from state to state. You may see the same number called a State Employer Identification Number, a state tax registration number, or a state withholding account number. Sole proprietors sometimes get one even without employees because it can stand in for a Social Security number on business paperwork and reduce exposure to identity theft.
Not the Same as a Secretary of State Entity Number
Business owners often confuse the state tax ID with the entity number issued by the Secretary of State’s office. They’re separate numbers from separate agencies. The Secretary of State entity number is a registration identifier assigned when you form the business (an LLC or corporation, for example) and shows that your business legally exists in the state. The state tax ID is issued by the revenue department and governs tax obligations. You generally need to register the entity before you can apply for a state tax ID.
Where to Find Your State ID Number
For a personal ID card, look on the front of the card near the top, usually labeled “ID” or “ID No.” If you don’t have the card in hand, the number also appears on any correspondence from the motor vehicles agency and on prior renewal paperwork.
For a business state tax ID, check the confirmation letter you received from the state revenue agency when you registered. The number also prints on quarterly tax filings, withholding account statements, and any formal correspondence from the department of revenue. Most states run an online portal where you can log in and view your tax account numbers. If none of that turns it up, call the state revenue department with your federal EIN and business name on hand; that’s usually the fastest route.
Who Asks for It and Why
For individuals, the state ID number is a shorthand for identity verification. Banks collect it to comply with federal customer identification rules.1Internal Revenue Service. Employer Identification Number Law enforcement uses it to pull up your record during a stop. Employers use it to verify your identity when you’re hired. Any time a form asks for a driver’s license or state ID number, this is what it means.
For businesses, the state tax ID is how the state ties payments, filings, and liabilities back to your company. You’ll put it on payroll tax deposits, sales tax returns, state income tax filings, and any registration or licensing paperwork that touches the revenue department. Vendors sometimes ask for it to confirm you’re a registered business when they’re setting up a resale or wholesale account.
One boundary worth drawing: your personal state ID card number isn’t a tax number and won’t satisfy requests for a business tax ID, and the business state tax ID isn’t an identity document and won’t get you through airport security or let you open a personal bank account. They share a label but do different jobs for different holders.