Can you transfer an EIN?

Can You Transfer an EIN?

The simple answer is no; most of the time, a new Employer Identification Number (EIN) will need to be assigned when there is a change of ownership. There are certain circumstances, however, where you can transfer an EIN.

When Do You Need a New EIN?

Generally, businesses need a new EIN when their ownership or structure has changed. Although changing the name of your business does not require you to obtain a new EIN, you will need to update your records with the Internal Revenue Service (IRS) to reflect the change.

Circumstances Requiring a New EIN

  • If you change the type of business entity (e.g., from a sole proprietorship to a corporation)
  • If you change your form of business within the same entity type (e.g., from a C corporation to an S corporation)
  • If you purchase an existing business

Can You Transfer an EIN?

Generally, yes. If you change your business structure, a new EIN is usually needed. If you purchase an existing business, however, you may be able to transfer the EIN. Depending on the type of business and requirements as specified by the IRS, you can transfer the EIN or apply for a new employer identification number.

You can file a change of EIN Responsible Party. For the transfer of the LLC, there should be a Sale of LLC Membership Interest, and amended Articles of Organization, and a new EIN.

Conclusion

As a general rule, a Tax ID or Employer Identification Number (EIN) cannot be transferred when there has been a change of business structure or ownership. In some cases, however, transferring an EIN may be possible.

If you have any questions about transferring an EIN or selling a business, Atlantabusinesses.com is a great resource. Their experienced business brokers can provide expert advice and help you navigate the process of selling a business.

Is it possible to use the same Employer Identification Number for a different business?

Generally, a new EIN is necessary when a business’s ownership or structure has altered. Even though modifying the name of the business does not require the need for a new EIN, it is recommended to check the Business Name Change page for any additional steps that should be taken if the name is changed.

Is it possible to utilize the same Employer Identification Number if I relocate to another state?

Your EIN is used by the IRS for federal tax purposes, so if you are a sole proprietor who moves their business to another state within the US, it will not generally be impacted by the relocation. You may need to pay certain taxes specific to the new state you are in, however.

Do I require a new Employer Identification Number if I relocate?

You won’t have to get a fresh EIN if any of these apply to you: switching up your business name, altering your place of business and/or adding extra locations, or if you’re operating multiple businesses.