Has anyone had trouble with IRS issuing Single Member LLC EIN's in the single members name only? Now these Single Member LLC want to elect S-Corp Status. It seems in the past when there was a Sole Prop that requested and EIN for employment purposes the EIN was issued in the Company name. Will I have to request a new EIN before I send in 2553? Is this something new or have I just missed it?
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LLCs and EINs
Janey / I'm not certain I understand the question exactly, but here's a few notes that may help:
When you apply for an EIN for an LLC now, they send you a number for that LLC and list
the names on the number assignment form like this:
DOES WIDGETS LLC
JOHN DOE SOLE MBR
333 BULLMOOSE BLVD
DOGPATCH AR 72648
That's the number IRS wants you to use for the LLC and I assume that it would be the number they'd expect you to put on 2553.
If you don't have an individual number, then they will assign two numbers: one for you and one for the LLC. But they tell you to use only the LLC number and not to use the individual one.
If you do already have an individual number, then they don't assign you a new individual one. They send you an LLC number only and tell you to use that on your tax forms.
Anyhow, they assign numbers for LLCs to use and it seems logical that if you're going to make an S corporation out of that LLC, that you would use the LLC number.
Any other opinions? -
This is the third one I've come across. It appears the LLC number has never been assigned only the individual number.with no reference to the DBA FTD coupons are in the members name only. So I guess we will have to apply again for the LLC number before submitting the 2553. Thanks for the insight.Comment
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Did you fill out the applications or
did the clients do it? If they did it, then they may not have listed the letters "LLC" following the name of the business at the top of the SS-4 form or told them anywhere else that it was an LLC. In block 8a of the app (type of entity) there's no LLC box to check unless you check "other" and write out "LLC" beside that.
In the ones that I've done; on line 8a I checked "sole proprietor" and then on line 9 of the app which asks "reason for applying;" I checked the box for "changed type of organization" and on the line beside that which states "specify new type," I wrote in "LLC." Doing that, the name and number came back as listed in the above post.Comment
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