running a dba under a incorporated name ein tax id

[BigTownSigns]

hey guys, ive been checking out the forum off and off for about 2 months now, while trying to get my ducks in a row for my new business venture. sorry for the long post. :(

Basically i have an incorporated business..that was opened in 3/2012 for a franchise marketing firm....

I have since decided not to go with that marketing firm franchise and open my own sign/graphics shop.

lets say i have advanced marketing inc, and i will be getting a dba as big town signs.

I have the franchise sales tax cert in the book that i was given from the cpa that set everything up...but i am curious what i will need to do if anything as far as a new ein tax id etc.

i want to run the dba under the inc. because of liability and since i have the inc already..why not put it to use right?!?!

also im sure i will need to update the minuets in the book...does anyone have any general form or guidelines i could use to do that?

any help would be greatly appreciated i tried to search the forum but couldnt find any similar situations..

Oh by the way, im in Houston tx. Harris County.

thanks a bunch
david

[vangogh]

Welcome to the forum David. If you've been reading awhile, you probably know this isn't my area of expertise, but like I sometimes do I wanted to reply to keep your thread active.

I did some searching and came across this information on the IRS.gov site about when you need a new EIN (http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Do-You-Need-a-New-EIN%3F).

I'm not sure if I'm entirely following the change you're making. Is the corporate name you plan on operating under different from the one for which you acquired the EIN? If that's the case it doesn't look like you need a new EIN, though I may be misunderstanding your issue or the information on the site. I don't think this would be a an issue with where you live, since EIN is federal.

Hope the information helps in some way and better that someone who can give you a better answer than me sees this.

[BigTownSigns]

Vangogh, Thanks for the reply. I was fixing to bump my own thread to get some replies lol.

the corporate name will be the same...
I have advanced media marketing, inc... i was dba advanced media marketing inc.
Now i will be advanced media marketing inc dba big town signs. Im sure i need to cancel the franchise tax cert since im not using it. A friend of mine does taxes but not business taxes...i asked for advice and he paused before giving an answer...( a pause that scared me, im in sales and it was a baaaadd pause)

so thats why im here looking for advice..

[BigTownSigns]

anyone out there?

[jamesray50]

Hi - Good luck with your new business. Your corporate name is what is associated with your EIN. The IRS doesn't care what your dba is, all correspondence will be to the corporate name. As for Texas, I'm not sure how they handle dba. Here in Kentucky you register your dba with the Secretary of State. The website for Texas should have a section on what the requirements for a business are. It would probably be a good idea to read it so you will know what your responsibilities are. You should also check your city and county or whatever other localites there are to register with them. Here in KY we have city and county or school board.

Legally, I don't know what would be required in changing your corporate documents. It would probably be a good idea to check with an attorney. If your CPA was unable to answer your questions then it's probably time to look for another CPA. I'm sure your friend will understand, and you can still use him for tax preparation.

Hope this helps and Good Luck!

[BigTownSigns]

Jamesray,
Thanks for your input...I got the dba today under the incorporated business...(its a c corp)....Basically i will not need to use the franchise tax certificate since im not in the franchise any longer...and I dont have to get anything else for that...just discontinue using it ..

thanks everyone for the help...the service that set up my c corp for me actually filled out all the proper paperwork to make it an s corp..so now my next learning adventure is to figure out if i want to leave it a c or change it to an s corp :P

[vangogh]

Fun times.

If the name is staying the same I don't think you need a new EIN. Again, not my area of expertise, but that's how I understood the information at the IRS. In my case I'm a sole proprietor and the EIN is assigned to me so I can change business names all I want and keep the same EIN. I would think that extends to the corporation int he sense that the EIN is assigned to the corporation and even of the business changes as long as the same entity exists with the same name the EIN doesn't need to be changed.


a pause that scared me, im in sales and it was a baaaadd pause

I'm even scared hearing the pause second hand.:)