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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, likened to a social security number for businesses, is a tax identification number necessary for various business structures like sole proprietorships, LLCs, or corporations. It's important to close your EIN to avoid future tax filings, payments, or other obligations, even after the business ceases to operate. Additionally, closing the EIN helps prevent potential fraud by ensuring that no accounts are left open, which could be exploited by unauthorized individuals.
