The UEI and EIN serve distinct purposes in federal contracting. A UEI is a 12-character alphanumeric identifier from SAM.gov that tracks entity participation in federal awards and remains valid indefinitely. An EIN is a 9-digit IRS-issued tax identification number used for tax reporting and banking. While both are required for federal contracting, UEI relates specifically to procurement eligibility, whereas EIN guarantees tax compliance. Further examination reveals how these identifiers function complementarily in the federal procurement ecosystem.
Understanding UEI Vs EIN: Key Definitions and Purposes
Maneuvering federal contracting requires a clear understanding of identification codes essential for government transactions. The UEI (Unique Entity Identifier) and EIN (Employer Identification Number) serve distinct purposes in the federal procurement ecosystem.
The UEI is a 12-character alphanumeric code automatically generated through SAM.gov registration, replacing the former DUNS number system in 2022. This identifier tracks entity participation in federal awards and requires no fee to obtain. The transition to UEI aimed to eliminate third-party involvement that was previously required with DUNS numbers. The UEI has become the primary identification method for all entities doing business with the federal government.
Conversely, the EIN is a 9-digit number issued by the IRS specifically for tax compliance purposes. Unlike the UEI’s focus on federal contract eligibility, the EIN facilitates tax reporting, payroll administration, and banking relationships.
Organizations typically need both unique identifiers when engaging with federal agencies, though they operate under different regulatory frameworks. All entities pursuing federal financial assistance must maintain an active SAM.gov registration with a valid UEI.
Registration Requirements and Processes for UEI and EIN
While traversing the federal registration landscape, businesses must understand the distinct processes for obtaining and managing their UEI and EIN credentials. Both identifiers serve different purposes and have unique registration processes.
UEI registration occurs through SAM.gov and requires entity validation but doesn’t necessitate full SAM registration. Entities create a user account, request a UEI, and validate basic information like name and address.
Meanwhile, EIN assignment happens through the IRS for tax purposes, entirely separate from the SAM system.
The compliance differences are significant. SAM registration requires annual renewal to maintain eligibility for federal awards, while UEI itself doesn’t expire.
Annual SAM renewal is essential for federal award eligibility, though your UEI remains permanently valid.
Entities seeking federal contracts must complete full SAM registration, not just obtain a UEI, ensuring continued compliance with federal regulations.
The UEI is an alphanumeric code that replaced the previously used DUNS number to simplify the registration process for entities seeking federal opportunities.
How UEI and EIN Function in Federal Contracting Systems
Understanding how UEI and EIN operate within federal contracting systems reveals their distinct yet complementary roles in the procurement ecosystem.
The UEI appears on all federal solicitations and contracts, linking to an entity’s complete SAM.gov profile including past performance data and certifications. It enables eligibility verification for federal awards and set-aside contracts through integration with the Federal Procurement Data System.
Meanwhile, the EIN serves as the foundation for tax compliance verification when processing federal payments. Contractors must provide their EIN on W-9 forms submitted to agencies, confirming their business structure and tax obligations. The UEI replaced DUNS numbers in April 2022, streamlining the entity identification process across federal systems.
While the UEI connects procurement systems like Grants.gov and beta.SAM.gov, the EIN interfaces with IRS systems for validation through TIN Matching services, ensuring proper payment reporting and compliance. Any federal funding recipients must maintain accurate and current information within the SAM system to prevent potential disruptions in contracting opportunities.
Frequently Asked Questions
Can International Entities Obtain Both UEI and EIN?
Yes, international entities can obtain both UEI and EIN.
Foreign entities conducting business with the U.S. government must register in SAM.gov to receive a UEI, which is free and required for federal contracts.
Additionally, international organizations with U.S. business activities, such as employing U.S. workers or earning U.S.-sourced income, must apply for an EIN through the IRS.
The international registration process for both identifiers follows similar requirements as for domestic businesses.
How Quickly Can I Receive My UEI Versus My EIN?
UEI processing time is nearly immediate, as it’s automatically generated upon completing SAM.gov registration with no third-party validation required.
EIN processing time varies greatly by application method:
- Online applications through IRS EIN Assistant: 1-2 business weeks (instant for eligible entities)
- Mail/fax applications: 4-6 weeks with possible verification delays
While UEIs are issued without processing delays as part of the SAM.gov entity validation phase, EINs follow IRS timelines based on application method.
What Happens if My UEI or EIN Information Changes?
When information changes, entities must update both UEI and EIN records through their respective systems.
UEI updates require logging into SAM.gov and submitting changes for validation. EIN updates must be reported to the IRS, especially for business structure or name changes.
Both processes are essential for maintaining proper registration status and ensuring compliance implications don’t affect federal funding opportunities.
Failure to update either identifier may result in rejected applications or delayed payments.
Do State and Local Government Contracts Require UEI?
State contracts and local contracts typically require UEI only when they involve federal funding.
While purely state or locally funded projects may not mandate UEI, many government entities are adopting UEI requirements to streamline vendor management and reporting processes.
Contracts that receive any federal funds, operate as subawards under federal grants, or participate in federally aligned programs will generally require contractors to obtain and maintain a valid UEI through SAM.gov.
Can One Entity Have Multiple UEIS or EINS?
An entity can have multiple UEIs if it maintains multiple registrations in SAM.gov for different business divisions or locations. Each registration receives its own unique identification number.
For EINs, however, entities typically have only one, though exceptions exist for separate legal structures within a larger organization.
Multiple UEIs may be appropriate for organizations with distinct operational units, while multiple EINs generally require significant business structure changes or separate legal entities.