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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 your business. An EIN functions as a tax identification number for businesses, similar to a social security number for individuals, and can be obtained by sole proprietorships, LLCs, or corporations. It's essential to close your EIN to avoid future filings, payments, or taxes on a non-existent business, and to reduce the risk of fraud. Leaving accounts open could allow someone to exploit them, so it's crucial to complete this step during business dissolution.
