The simple answer is no. When ownership of a business changes hands, the new owner must apply for a different business EIN number or tax ID number. Any dramatic changes to ownership, organizational structure or business status – such as converting a sole proprietorship to a partnership – require a new EIN application.
If you sell your business, the new owner will need a unique EIN number. The same thing applies to changing a sole proprietorship to a partnership, corporation or LLC. The IRS lists several additional situations where companies would need a new EIN:
There are several complex situations with corporations and partnerships where a new EIN may or may not be required depending on the way the company handles termination or leadership changes. As a general rule, however, you don’t require a new EIN application if:
Keep in mind that if you start a new company – even if you use the same name as your old business – you will need to fill out a new tax ID application.
If a business owner, corporation or partnership decides to apply for EIN, they must:
Don’t be afraid to turn awesome investment ideas or startup dreams into reality. With virtual office services, small businesses, fledgling partnerships and experienced corporations all maximize profit by practically eliminating overhead.