New Federal Requirement: Starting January 1, 2024, most business entities in the US will need to report Beneficial Ownership Information.

Answers

Existing DBA

Asked by: Rob Javins  — 28 November, 2013

I have an existing DBA with a EIN and state tax id. I want to form an LLC and have the existing DBA operate under the new LLC. Is this possible?

Answered by: admin  — 28 November, 2013

Rob,

The answer to this question depends on the state of registration and whether the LLC will have only one member and will be taxed as disregarded entity. If it is then there might be a way to transfer the EIN to this new LLC, and if not then you will need to obtain new EIN.

With DBA the situation is a bit more complex, since it is registered as an alias of a specific entity (in your case sole proprietorship), and most jurisdictions have to procedures to transfer it between entities. In other words, chances are you would need to cancel the old DBA and register a new one, for the LLC.

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