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In this tutorial, attorney Elizabeth Potts Weinstein discusses the process of closing or canceling your Employer Identification Number (EIN) with the IRS when shutting down a business. An EIN, often referred to as a tax identification number, functions similarly to a social security number for individuals and is essential for various business structures like sole proprietorships, LLCs, and corporations. Closing your EIN is crucial to avoid future tax filings, payments, or liabilities related to a non-existent business. Additionally, canceling the EIN helps prevent potential fraud that could arise from leaving accounts open.
