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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 for businesses, similar to a social security number for individuals, and is necessary whether the business is a sole proprietorship, LLC, or corporation. When closing a business, it’s essential to address the EIN to ensure no future tax filings, payments, or obligations arise, even after the business ceases to exist. Closing the EIN also helps prevent potential fraud that may occur if accounts remain open.