Which EIN to use when a sole proprietor dies and the business continues

November 14, 2026 · 1 min read

When a decedent's estate continues a sole proprietorship, the IRS says to obtain a new EIN for the business. First confirm who is operating the business and what legal entity existed before the death. A separately organized corporation or LLC needs its own review under the applicable IRS rules.

What to check

The decedent's estate is a separate taxpayer. The executor or other authorized fiduciary should confirm which identifier applies to each account and whether to notify the IRS of the fiduciary relationship on Form 56. Retain records for the period before and after the transition.

Example

An executor continues a deceased owner's repair shop, which was operated as a sole proprietorship. The executor obtains the new EIN for the continuing business and maps each payment and record to the appropriate entity and period.

Before you proceed

Confirm how the deceased owner operated the business.
Document the person authorized to act and the transition date.
Identify the EIN applicable to the business and the estate's separate records.

Does replacing an executor require a new EIN for the estate?

The IRS lists a change in the estate administrator, personal representative or executor's name or address among changes that do not require a new EIN.