Understanding EIN Changes and Business Name Updates
When You Need a New EIN
Generally, businesses need a new EIN when their ownership or structure has changed. EINs do not expire, once an EIN has been issued to an entity, it will not be reissued. You can keep the same EIN when you change your business name. You do not need a separate EIN for each DBA as there is no legal distinction between the DBA and the underlying entity to which it is attached.
- A new LLC with more than one owner (Multi-member LLC) is formed under state law.
- A Sole Proprietorship changes to an LLC.
Business Name and Address Changes
If the EIN was recently assigned, and filing liability has yet to be determined, send Business Name Change requests to the IRS address where you file your return. Name and address can also be updated by completing Form 8822.
To change what the IRS has on file, submit a letter including:
- The responsible party’s information
- How the name or address changed
- Effective date of change
You can submit a name change for your business to the IRS by checking the name change box on the entity’s form when filing a tax return. Report any name change to the Social Security Administration (SSA).
Miscellaneous FAQs About EIN and Business Name Changes
Does each business need its own EIN? Businesses require a new EIN when their ownership or structure has changed.
Does changing business name affect EIN? It typically does not require a new EIN but requires an EIN name change.
How many EIN can one person have? Sole Proprietors can only have one EIN, although there are no limits for other entities.
Do self-employed need an EIN? Most sole proprietors do not need an EIN and can use their Social Security numbers instead.
Can I use the same EIN for a different business name? If you are changing the business name but keeping the same business structure and owner, you may not need a new EIN.
Do I have to notify the IRS of a business name change? Usually, changing your business name does not require a new EIN.
Does EIN have to match name? Banks require EIN information for opening an account for your service, often investors and vendors may also request it.
Can I change my name on my EIN number? The process typically takes up to several weeks, including multiple steps and approval by the IRS.
How do I know if my EIN is still active? Call the IRS at 800-829-4933.
Every limited liability company in California must pay an annual tax of $800.