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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 serves as a tax identification number for businesses, similar to a social security number for individuals. It's crucial to close your EIN to avoid ongoing filings, payments, or taxes associated with a non-existent business. Additionally, closing your EIN helps prevent potential fraud by reducing the chances of someone misusing an inactive account. Taking these steps is part of responsibly shutting down your business.
