Keeping the Same EIN
If you change your business name, you can inform the IRS of the EIN number change name through a signed notification, similar to a sole proprietorship. EINs do not expire and once issued, it will not be reissued. The IRS will only issue a single EIN per business entity; hence, it’s not necessary to have multiple tax ID numbers for a single company. You may not need a new EIN if you are changing the business name but keeping the same business structure and owner. However, a new EIN is needed if a new LLC with more than one owner (Multi-member LLC) is formed.
Starting a Business and DBAs
You don’t need to register with city or county governments to start a business, but certain types of businesses like LLCs, partnerships, or nonprofit corporations need to file for licenses and permits. You can check name availability in your state’s register and use an online trademark search tool. Business owners can submit a name change for their business, and if the EIN was recently assigned, send Business Name Change requests to the IRS address where you file your return. Whether using a formal business name or a DBA, the process to obtain a Federal Employer Identification Number remains the same.
Operating with Multiple Names
A company can use a single EIN across multiple units with multiple fictitious names, provided those units aren’t set up as legally separate businesses. Changing your business name does not typically require a new EIN, but it’s important to check with the IRS Business Name Change page for any necessary actions. S corporations that convert to a C corporation or corporations that declare bankruptcy might need to change accounting methods or use the existing EIN after a merger.
How to Submit a Name Change Request
To change the name of your LLC or corporation and keep your existing EIN, you will need to submit an application to the IRS. This includes an application form, the original articles of incorporation or organization, the federal income tax return, and a statement confirming that the entity is still in good standing from the state of its creation. Business name change applications are normally mailed to the IRS branch where you send your tax returns.
Additional Considerations
When you change your business name, you also need to consider updating:
- Bank records: Find out if the existing business bank account’s name can be changed to the new DBA, or if a new account is necessary.
- Licenses and permits: Inquire with local authorities if updates or new permits are required for the new DBA.
Sole Proprietorships and Partnerships
The name of a general partnership or proprietorship matches the business owner, and they can file for a fictitious DBA for marketing. For LLCs or Corporations, there’s the option to either adopt a new name or keep the existing one and add another for marketing.
EIN and Business Name Consistency
The name on the EIN should match the approved name with the Secretary of State. Make sure the EIN name fully reflects the official corporate name. When filing a tax return, the EIN only has to match the name control, usually the first four characters. Partnerships only need one EIN, not separate ones for each partner.
Updating Records after Name Change
Inform the IRS of EIN name changes through signed notification after updating your company name. Write to the IRS address where you filed your return. Call the IRS to update your records after submitting a name change. An authorized representative or business owner must sign the name change document.