BobKamman
Level 15
11-03-2023
12:21 PM
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What am I missing here? When a sole proprietorship becomes a partnership, there is a new business and a new filing requirement (Form 1065) and a new EIN required. It's not a change in classification, it's one business being closed and a new one being opened. In your question, how is the single-member LLC being taxed? If it has elected to be taxed as a corporation, then that election would continue.