The responsible party is the person who is authorized to sign the documents on behalf of the company and act as the company's representative at the IRS.
In order to be the responsible party, an individual does not need to have any membership interest in an LLC or hold shares in a Corporation. If you are a manager, CEO, a director then you can act as the responsible party.
Can I change the responsible party later on?
Yes, you can change the responsible party for your company. However, two points need to be considered:
- If the EIN is ready assigned or in progress, you will need to notify the IRS of this change through the 8822b form. Please find further instructions on the IRS website.
- The Post-formation documents for your company will also need to be updated to reflect this change. Our team can assist you with this!