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The system can not validate an Employer ID number on a W2 and K1. I know that the employers ID number is correct, how do I fix the diagnostic?

alexlevincpa1
Level 2
Prior to 2021 the entity was a single member LLC (reporting as a Sch C) which elected to be treated as an S-Corp, and continued using the same EIN.
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3 Comments 3
qbteachmt
Level 15

From the IRS:

Sole Proprietors

You will be required to obtain a new EIN if any of the following statements are true.

  • You are subject to a bankruptcy proceeding.
  • You incorporate.
  • You take in partners and operate as a partnership.
  • You purchase or inherit an existing business that you operate as a sole proprietorship.
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PhoebeRoberts
Level 11
Level 11

From that same page:

You will not be required to obtain a new EIN if any of the following statements are true.

  • An LLC that already has an EIN chooses to be taxed as a corporation or as an S corporation.
George4Tacks
Level 15

Call IRS Entity Control 

https://www.irs.gov/businesses/telephone-assistance-contacts-for-business-customers


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