Most Radio Frequency Identification (RFID) tag anti-collision protocols have the problem that too many bits are transmitted by tag during the identification. To solve this issue, an Enhanced Multi-Bit Identification (EnMBI) algorithm was proposed. On the premise of guaranteeing the identification efficiency, a frame-slotted structure was adopted to avoid the repeated transmitting of common prefixes. Meanwhile, through locating the collision bits, only the collision bits were recovered so as to further decrease the communication overhead. The simulation results show that the EnMBI algorithm has less tag overhead and total overhead than the multi-bit identification anti-collision algorithm. Its total overhead is at most 20% lower than the multi-bit identification algorithm.