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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 similar to a social security number for individuals, applicable for various business structures like sole proprietorships, LLCs, or corporations. It's crucial to close your EIN to avoid upcoming filings, payments, or taxes after the business ceases operations. Additionally, closing your EIN helps prevent potential fraud that could occur if accounts remain open and accessible.