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In this video, attorney Elizabeth Potts Weinstein explains the process of closing or canceling your Employer Identification Number (EIN) with the IRS when shutting down a business. An EIN serves as a tax identification number, akin to a social security number for individuals, and can be obtained by sole proprietorships, LLCs, or corporations. It's important to properly close your EIN to avoid future filings, payments, or potential taxes after the business ceases to exist. Additionally, closing the EIN helps prevent potential fraud, as leaving accounts active could allow others to exploit the situation.
