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#1331163 - 01/26/10 07:28 PM Two corporations - one EIN?
AuditorK Offline
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Joined: Feb 2003
Posts: 962
PA
We have an American Legion Post that wants to open accounts at our bank. They gave us State certified articles of incorporation to show that they have been granted two non-profit corporations - one for the Post and one for the Post's Home Association. They have given us one EIN to use for both entity's accounts - despite being two seperate corporations. The letter from the IRS that assigns the EIN lists the Post's Home Association as the name assigned to that number. Shouldn't we have another EIN that is assigned to the Post? The customer has been heatedly insisting they can and will be using one EIN. Help!

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#1331532 - 01/26/10 11:11 PM Re: Two corporations - one EIN? AuditorK
SARempress Offline
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Joined: Jul 2006
Posts: 37
Deep in the Heart of Texas
Is the Post considered a disregarded entity for tax purposes? If so, they are able to use the Home Association's EIN.

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#1331612 - 01/27/10 01:08 PM Re: Two corporations - one EIN? SARempress
AuditorK Offline
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Joined: Feb 2003
Posts: 962
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Originally Posted By: SARempress
Is the Post considered a disregarded entity for tax purposes?


Can you explain what you mean by this?

Edited to add, I just googled it and I don't think one of these entities wants to be considered a disregarded entity. From my understanding, the whole point of having a Home Association is to seperate liability from the Legion and its members.
Last edited by AuditorK; 01/27/10 01:14 PM.
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#1332040 - 01/27/10 05:31 PM Re: Two corporations - one EIN? AuditorK
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John Burnett
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Liability is one issue. IRS reporting is another.
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