Business owners can submit a name change for their business. The process depends on your entity type. Sole proprietors send signed notification to the IRS.
Who Can Make the Change?
Authorized Representatives
An authorized representative or the business owner must sign the name change document. To determine who is authorized for your business type, please follow the steps below:
- Sole Proprietors: Send signed notification to the IRS.
- Otherwise: Visit the IRS Business Name Change page to find out required actions.
You generally do not need a new EIN when changing your business name. Instead, submit an EIN name change to the IRS.
Contacting the IRS
Call 800-829-4933 and select EIN to update your records immediately.
EIN Specifics
For Sole Proprietors, only one EIN can be issued. The same applies to all entities, where no limits on the number of EINs exist for new businesses. Sole proprietors don’t need an EIN and can use their Social Security numbers instead, but obtaining an EIN might still be beneficial.
Situations Necessitating a New EIN
- New LLC with more than one owner forms
- The type of organization changes (e.g., from sole proprietorship to LLC)
- Changing ownership in a single-member LLC
Changing Your Business Name
Here are the important aspects:
Steps to Change the Name
- Inform the IRS through a signed notification.
- Call the IRS if immediate update of records is needed.
- The new name on the EIN should accurately reflect the approved name with the Secretary of State.
Considerations
- A name change can lead to costs in supplies and updating legal documents.
- You need to update business licenses and notify your secretary of state.
- Ensure the name on the EIN exactly matches the official corporate name including punctuation.
Updating the IRS
When you file your annual tax return, you can inform the IRS of the EIN number change name through a signed notification.
Miscellaneous Information
- EINs do not expire once issued, and only one EIN is issued per business entity.
- DBAs do not need separate EINs or tax returns.
- Changing your business name doesn’t typically necessitate a new EIN; however, refer to the IRS guidelines and use Form SS-4 if eligible.
- Most state laws require business registration with the Secretary of State.
Processing Times and Updates
The IRS typically takes about two months to register a business name change. It’s crucial because federal taxes could create issues if there is a mismatch in names at different levels.
Remember to match the EIN name with the name control on your tax return, and only one EIN is required for partnerships, not separate ones for each partner. If you need acknowledgment of the name change from the IRS, you must request it.
When starting the filing process or application for EIN, select the correct business entity classification. If you have an EIN for a sole proprietorship and need to submit a name change, write to the IRS at the address where you filed your return. An authorized representative or business owner must sign the document for a name change. Call the IRS to update your records right after submitting a name change.