Does One Need a New EIN if Their Entity Changes?

New business name

Business, when done right, spurs growth. As your business grows and evolves, you may find it necessary to change its entity type. This could be based on adding additional partners, or because your profits outweigh the tax advantages of your current structure. When this happens, you may wonder whether or not you need a new EIN based on that change. Read below to find out.


You’ll need a new EIN if any of the following are true:

  • Your business is going to be incorporated
  • You begin a new partnership
  • You take over and operate your company (independently) as a sole proprietorship


You’ll need a new EIN if any of the following are true:

  • You change from a corporation to a sole proprietorship or partnership
  • If after a statutory merger you create a new corporation
  • You become a subsidiary of a different corporation
  • You are currently a subsidiary of a corporation but have been using the parent company’s EIN for tax purposes
  • Your get a new charter from the secretary of state

Sole Proprietorships

You’ll need a new EIN if any of the following are true:

  • You decide to incorporate
  • You take additional partners and decide to operate as a partnership
  • You buy or are given another business that you decide to operate as a sole proprietorship
  • You have to file for bankruptcy

Essentially, if your business entity changes, then you likely will need to apply for a new EIN number. With the right tools, this is a straightforward process. This can easily be done from the IRS-EIN-Tax-ID website.

How to Apply for a New EIN Number

If your business is undergoing a change of entity and you need to either verify EIN number or need help with an IRS EIN lookup, visit the professionals at IRS EIN Tax ID Filing Service. They can help make sure you are following proper procedures for updating your EIN number based on your current business entity.