topbar.jpg (20727 bytes)
I. Pre Start-up/Assessing Your Business Idea II. Starting Your Business/Keeping Records III. Guidance for Special Types of Businesses IV. Hiring Employees V. Preparing Your Tax Return(s) and Information Returns VI. Filing Your Returns and Paying Taxes - Including Electronic Options VII. Post-Filing Issues VIII. Other Tax Issues of Interest IX. Index of Business Forms and Publications Including: Highlights of the New Tax Law Changes X. Changing Your Business or Getting Out of Business XI. Alerts and Tutorials XII. Directory of Internet and Other Resources
fadeout.jpg (6262 bytes)

Changing Your Business or Getting Out of Business
Changing Your Business Structure

Changes in Organization or Ownership. If youalready have an Employer Identification Number (EIN), you may need to get a new one ifeither the organization or ownership of your business changes. If you incorporate a soleproprietorship or form a partnership, you must get a new EIN. However, do not apply for anew EIN if:

  • You change only the name of your business.
  • You elected on Form 8832, Entity Classification Election, to change the way the entity is taxed, or
  • A partnership terminates because at least 50% of the total interests in partnership capital and profits were sold or exchanged within a 12-month period. (See Regulations section 301.6109-1(d)(2)(iii).) The EIN for the terminated partnership should continue to be used. This rule applies to terminations occurring after May 8, 1997. If the termination took place after May 8, 1996, and before May 9, 1997, a new EIN must be obtained for the new partnership unless the partnership and its partners are consistent in using the old EIN.

    Note: If you are electing to be an S corporation,be sure to file Form 2553, Election by a Small BusinessCorporation.

Important References

Form SS-4   Application for Employer Identification Number
Form2553    Election by a Small Business Corporation
Form8832    Entity Classification Election

Publication 911, Direct S | Publication 225, Farmer's | Publication 225, Farmer's | Publication 535, Business | Publication 535, Business | Small Business Learning B | Publication 590, Individu | Estate Tax | Publication 334, Tax Guid | Publication 225, Farmer's | Publication 542, Corporat | Publication 225, Farmer's | Publication 378, Fuel Tax | Publication 225, Farmer's | Publication 946, How To D | Publication 570, Tax Guid | PR: Another Secret Weapon | Important Tax Changes for | Publication 535, Business | How to Write a Marketing | Biographies And Memoirs - Solution To Debt Problem - Glass Presenation Awards - Boost Sales - Debt Consolidation Online