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Updated over 5 years ago,

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Parent/Holding Company needs EIN/TIN?

Posted

Hi, I have a general tax/llc related question.

Does a holding/parent company (LLC) need an EIN and have to file taxes if the subsidiary/operating company will file for it's own taxes?

I am inheriting/buying a family business (operating LLC) which has been in operation for 10 years and filed it's own taxes. For purposes of transferring the operating company from my parent to myself I am forming a holding company llc. The holding company will not have any employees, operations, financial transactions, etc. Should I apply for an EIN for the parent/holding company as well? The holding company's only function is to own the operating company. I'm taking the approach for privacy reasons.

The operating company is based in New Jersey, USA.

The holding company will be based in Wyoming, USA.

Any insight would be helpful.

Thanks in advance.

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