- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Do I need a new EIN and name change for converting Sole Proprietor to Single Member LLC?
I am in CA, just formed a single member LLC from a sole proprietorship. I have an existing EIN apart my social when I was a sole proprietor. The only name change was having "LLC" at the end of the company name. Do I need to obtain a new EIN? or can I use the existing? I do not have any employees. Do I need to do some type of name change to reflect the "LLC" or if there is no change in the body of the company name does that make a name change not necessary.
May 31, 2019
6:30 PM
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Business & farm
You don't need to do anything. When it comes to taxes, the only difference between a single member LLC and a sole proprietorship, is the spelling. Literally!
May 31, 2019
6:30 PM
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Business & farm
Just make sure which ever schedule you use in your 1040 reflects you correct business name.
As a single member LLC you generally do not need a separate EIN. See the attached discussion from the IRS:
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
Also keep in mind the date of replies, as tax law changes.
May 31, 2019
6:30 PM
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Business & farm
If your LLC issues, or will even "potentially" issue a 1099-MISC or W-2 in the future, then I highly recommend an EIN. Otherwise, you will be putting your social security number on tax reporting documents you provide to employees and/or vendors that you may have never actually met and therefore do not know there. For me, I use an EIN in my single member LLC, because there is no way on this green earth that I will EVER give my SSN to one of my vendors. They get the EIN, or I don't do business with them.
May 31, 2019
6:30 PM
2,440 Views