IRS Change of Business Name: Everything You Need to Know

Corporations and LLCs can check the identify change box while filing their annual tax return key with the IRS.3 minute read1. Updating Your Business Name
2. Steps Involved in Changing Your Business Name
3. Updating Your Business Name Change With the IRS
4. Contents of the Name Change Letter

IRS variety of occupation name can be done in two ways. Corporations and LLCs can check the name transfer box while filing their annual tax render with the IRS. alternatively, you can notify the IRS through a name-change letter .

Updating Your Business Name

sometimes, you may need to change your business name. In rate to change the name of a legal business entity like a pot or an LLC, you must amend the formation document of your business and file it with the express where your business is registered. Doing this would update the records of the secretary of state of matter or early state of matter agency responsible for regulating the corporate affairs. however, your business name linked to your Employer Identification Number ( EIN ) would still remain the same in the records of the Internal Revenue Service ( IRS ) .

Steps Involved in Changing Your Business Name

  • Find and research a new name.
  • Notify your secretary of state regarding the name change.
  • Get the name changed in your licenses and permits.
  • Inform the IRS about the name change. In some cases, you may be required to obtain a new EIN.
  • Update the new name in your business documents.
  • Communicate the name change to your bankers, vendors, customers, and all other concerned parties.

Updating Your Business Name Change With the IRS

If you happen to change your company ‘s name, you must make certain that the IRS and other refer parties know about it. normally, changing your business appoint does not require you to obtain a new EIN. however, you must get the name updated in your EIN.

There is an easy way to update your business name in the IRS records. You good need to use your new identify while filing your annual tax restitution with the IRS and check the box in the form to indicate that the name of your business has changed. You need not mention the old name in the restitution .
sometimes, you may need to change your business appoint immediately after receiving your EIN. If you need to make a identify change before having filed any tax tax return with the IRS, you should forward your request to the Cincinnati, Ohio, office of the IRS .
C-corporations, S-corporations, and multi-member LLCs that have filed at least one tax refund for the business can notify the IRS of the name change by merely checking the name deepen box while filing your tax rejoinder for the current year. note that this option is not available to single-member LLCs.

however, if you ‘ve already filed your tax return for the current class, you need not wait until next year to update your business name in the IRS records. In order to legally impression a name switch, LLCs and corporations are required to file a Certificate of Amendment with the state where they were in the first place formed. You can submit a imitate of this document along with a name-change letter to the IRS to update your newfangled name in the IRS records .
once your new commercial enterprise diagnose is updated with the IRS, you should inform everyone else about your caller ‘s name change. You may want to prepare a tilt of your vendors, bankers, creditors, and early agencies that should be notified about the name change .

Contents of the Name Change Letter

The IRS web site does not specify the particulars you should include in the name-change letter, but the omission of essential details can result in the IRS reject to update its records. normally, you should include the following details in the letter :

  • Your EIN
  • The old name of the business as mentioned in the IRS records
  • Complete address of the business as it exists in the IRS records
  • The new name of your business
  • Date from which the name has been changed

The owner or an authoritative military officer of the business as per IRS records must sign the letter. It should be accompanied by a state document approving the list change of your business. The name-change letter should intelligibly state that your clientele name has changed. besides, do n’t forget to request for a confirmation from the IRS regarding the update of the new name in its record .
The IRS typically takes about six weeks to process a name-change letter. If you fail to provide the necessary details in your letter, the IRS may request for extra data, which may further delay the work .
If you need help with the IRS exchange of business name, you can post your legal indigence on UpCounsel ‘s marketplace. UpCounsel accepts alone the top 5 percentage of lawyers to its site. Lawyers on UpCounsel come from police schools such as Harvard Law and Yale Law and average 14 years of legal have, including work with or on behalf of companies like Google, Menlo Ventures, and Airbnb .

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Category : Finance

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