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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 serves as a tax identification number, akin to a social security number for individuals, and is necessary for various business structures, including sole proprietorships, LLCs, and corporations. It's crucial to address your EIN to avoid any future filings, payments, or taxes due after the business ceases operations. Additionally, closing your EIN helps prevent potential fraud that could occur if accounts remain open and accessible.
