How to Cancel My EIN Number: A Step-by-Step Guide
Canceling your Employer Identification Number (EIN) is an important step to take if you no longer need it for your business. Whether your business has closed or you’ve changed your business structure, it’s crucial to cancel your EIN to avoid any potential legal or financial issues. In this article, we’ll provide you with a step-by-step guide on how to cancel your EIN number.
1. Gather necessary information
Before you begin the process of canceling your EIN, make sure you have all the necessary information on hand. This includes your business name, the EIN number itself, and any other relevant details about your business, such as its address and contact information.
2. Determine the reason for canceling your EIN
The IRS requires you to provide a reason for canceling your EIN. Common reasons include business closure, change in business structure, or merging with another business. Make sure you have a clear reason for canceling your EIN before proceeding.
3. Complete Form 8822-B
To cancel your EIN, you’ll need to complete Form 8822-B, “Change of Address or Responsible Party – Business.” This form allows you to notify the IRS of any changes to your business, including the cancellation of your EIN. Be sure to fill out the form accurately and provide all the required information.
4. File the form with the IRS
Once you’ve completed Form 8822-B, you can file it with the IRS in one of two ways: online or by mail. If you choose to file online, you’ll need to use the IRS online services. If you prefer to file by mail, you can send the form to the appropriate IRS office. Be sure to follow the instructions provided on the form to ensure your submission is processed correctly.
5. Keep a copy of your completed form
After you’ve filed Form 8822-B, keep a copy of the completed form for your records. This will serve as proof that you’ve canceled your EIN and can be useful for future reference.
6. Verify the cancellation
After you’ve submitted Form 8822-B, it’s a good idea to verify that your EIN has been canceled. You can do this by checking the IRS website or contacting the IRS directly. This step ensures that your EIN is no longer active and that you’re no longer responsible for any tax obligations associated with it.
7. Update your business records
Finally, make sure to update your business records to reflect the cancellation of your EIN. This includes updating any legal documents, contracts, or other business records that reference your EIN.
By following these steps, you can successfully cancel your EIN number and avoid any potential legal or financial issues. Remember to keep all relevant documentation and follow the IRS guidelines to ensure a smooth process.
