2006-11-13 17:19:31 · 3 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
speaking of a sole propietorship
2006-11-13 17:20:07 · update #1
Of course you can have a EIN# without having employees, but why? That is a question that the IRS asks. They advise that, unless you have a specific reason or requirement to have the number, you should not apply for one. As far as them "canceling" one for lack of use: in sixteen years as a tax professional, dealing almost exclusively with small business, I have never saw or even heard of such a thing. I have been presented letters received by clients from the IRS that related to EIN# that have not been in use for 20 years. A little information to chew on: The odds of having your tax return audited GREATLY increase when you have a Schedule C included in the package. If you have a viable business, Incorporating makes sense in many ways.
2006-11-14 02:40:34 · answer #1 · answered by Great Tax Info 2 · 0⤊ 0⤋
It is always good to find out info of this this nature directly
from the IRS!
See the link below for details.
2006-11-13 17:47:57 · answer #2 · answered by ye 4 · 0⤊ 0⤋
Yes, there is nothing stopping you. If you use on a schedule C that tyou file with your tax return it will stay active. If you don't use it for any purpose the IRS will eventually cancel it.
2006-11-13 22:26:13 · answer #3 · answered by waggy_33 6 · 1⤊ 1⤋