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Attorney Elizabeth Potts Weinstein discusses the process of closing or canceling an Employer Identification Number (EIN) with the IRS when shutting down a business. An EIN serves as a tax identification number, similar to a social security number, applicable to sole proprietorships, LLCs, and corporations. When closing a business, it's important to take care of the EIN to avoid future filings, payments, or taxes, even after the business ceases operations. Additionally, closing the EIN helps prevent potential fraud, as leaving accounts open could expose the business to unauthorized use or identity theft.