Legal Question in Business Law in California

Re: Ein

The EIN belongs to the corporation and not the shareholders. No new EIN would be necessary.

If you sell the corporation, you should inform the IRS and the Franchise Tax Board of the change of ownership. If the new owners fail to pay taxes, the IRS and FTB won't come looking for you down the road if you are no longer listed an an officer, director or sharholder.

Re: Ein

Of course the EIN 'goes with it'. That is how the corp is registered with IRS. Sounds like you need some decent legal advice and help in this to avoid problems and expensive disputes later over the terms and conditions of sale, and with the proper notices and registrations. Feel free to contact me if serious about doing so.

Re: Ein

The EIN is inseparable from the corporation, and whether you sell 1%, 50% or 100% of the corporation's stock to someone else the corporation keeps its EIN.

This is not to say there aren't some types of sale transaction in which the EIN will become obsolete and cannot be used any more; for example, if the new owner is another corporation that merges your corporation into itself and your corp. disappears as an entity. If something like that happens, it's like the holder of a Social Security Number passing away. The number is retired after final tax returns are filed by the disappearing corporation.

In no case, however, does the EIN remain with the seller in any way, shape or form.