Q: I am volunteering for a local organization and we need to open a checking account. Can I just open an account with my information and put the organization on the checks?
A: No. Organizations should always obtain the correct taxpayer ID number for organizational funds. Since the money in the account will belong to the organization, the taxpayer ID number required to open the account cannot be a Social Security Number – it needs to be an Employer ID Number (EIN) applied for in the name of organization.
The IRS allows a fundraising event, memorial fund, bowling league, or other non-business purpose entity to open an account and request an EIN for banking purposes. Visit www.IRS.gov for more information.