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Can Another Business or Person use my EIN number?
Anonymous6 views5 answers
I had an EIN number assigned to me for my LLC back in 2005. My LLC has expired in 2007. If someone took my business name and used it for their business, would they be using my EIN number since EIN numbers are attached to the business? or is the EIN number attached to my social security number and I am the only one allowed to use it?
Was the EIN assigned to you, or to the LLC? Generally speaking, an EIN would be assigned to the LLC itself, not to a member of the LLC.
That being said, if somebody else is able to form a new LLC using the name of your now defunct LLC, that LLC would have to get its own EIN and could not start using the EIN that was assigned to your old LLC. If that person somehow knew what that EIN was and started using it, then they would be committing tax fraud (and identity theft).
If the LLC is sold or transferred as an entity, the EIN number stays with it. You will need agreements that show you sold or transferred the business and that you are no longer associated with it to protect yourself. When you applied for the EIN you used your Social Security number, and you are probably the tax matters member for the entity. This carries liability with it if you do not properly transfer the entity. You should hire an attorney to make sure you do this right.
The EIN is attached to the LLC, not to your personal SSN. The reason the IRS asks for a SSN/TIN on form SS-4 (when you apply for the EIN) is to have a responsible party they can contact about tax matters. Another business, even using the same name in the same state would not be able to use the old EIN. They would need a new one. If they did use the old EIN, that would be fraud and you should contact the IRS to inform them.
I'd like to ask for a point of clarity. Did someone misappropriate your business name? Did they steal the name of your business? Or did they buy or acquire the business in some way? Only your LLC should be able to use that EIN. If your business expired as you say, no one else should be using that EIN, even if they can set up a new entity with the same (or similar) name. You usually have to submit a SSN to obtain the EIN, but if someone is using your business name under a separate legal entity, and also using the EIN from your expired business to file taxes, I think that may be a big problem for you. Hire counsel to review this situation.
