Short Answer

In North Carolina, the estate and any company are separate taxpayers and each needs its own EIN. To get an estate EIN, the administrator uses the IRS application and presents Letters of Administration to banks to open the estate account. To get a company EIN when estate assets fund the company, you’ll need the company’s formation documents plus clear proof the estate authorized and completed the transfer (for example, a signed assignment or bill of sale, estate Letters, and, if required, a court order).

Understanding the Problem

You are the North Carolina estate administrator and need an EIN to open an estate bank account for unclaimed property being released by a state treasury. You also want an EIN for a new company formed with estate assets, but the IRS (or bank) is asking for proof that the estate actually transferred those assets to the company. The single decision point is: what documents do you need to show authority and a completed transfer so the company can get its own EIN?

Apply the Law

Under North Carolina law, an estate is administered under the Clerk of Superior Court’s supervision after the personal representative qualifies and receives Letters. The personal representative (PR) manages estate assets and may continue or arrange business activity when necessary to preserve value, but significant moves—like transferring estate assets into a new company—must be properly documented and reflected in the estate’s filings. For tax purposes, the estate is a separate taxpayer and should obtain its own EIN promptly after qualification. A newly formed company is a separate taxpayer and must have its own EIN; to obtain it, the organizer or responsible party must show the company exists and that it lawfully owns the assets being used.

Key Requirements

• Qualify and document authority: The administrator must be formally appointed and hold current Letters of Administration to act for the estate.
• Separate EINs: Obtain an estate EIN (do not use the decedent’s SSN) and, separately, a company EIN for any LLC/corporation formed during administration.
• Prove the company exists: Have Articles of Organization/Incorporation filed with the N.C. Secretary of State and identify the responsible party.
• Show a proper transfer: Prepare a signed bill of sale or assignment transferring the specific estate assets to the company, authorized by the PR (and the will, if relevant); obtain a court order if prudent or required.
• Account and disclose: Reflect the transfer on the estate Inventory/Supplemental Inventory and in the estate Account so the Clerk can see what left the estate and why.

What the Statutes Say

• North Carolina Gen. Stat. § 28A-6-1 (Application and issuance of letters) – sets how a personal representative is appointed and receives authority.
• North Carolina Gen. Stat. § 28A-13-3 (Powers of personal representative) – outlines the PR’s powers to manage, protect, and, when appropriate, conduct business with estate assets.
• North Carolina Gen. Stat. § 28A-15-12 (Recovery of estate property) – provides a process before the Clerk to examine persons and recover property that should be in the estate.

Analysis

Apply the Rule to the Facts: As administrator, you should first obtain the estate EIN and open the estate account using your Letters; deposit unclaimed property payable to the estate there. For the new company, you cannot rely on the estate’s EIN. The company needs its own EIN, and the IRS or bank will expect the company’s formation papers plus proof that the estate authorized and completed the transfer of the specific assets into the company, such as a PR-signed assignment or bill of sale referencing your Letters, and court approval if circumstances warrant.

Process & Timing

1. Who files: The personal representative for the estate EIN; the company’s organizer/manager for the company EIN. Where: IRS online EIN application. What: IRS Form SS-4 (online). When: Apply for the estate EIN promptly after you qualify and receive Letters; apply for the company EIN after the company is formed and the asset transfer is documented.
2. Open the estate bank account using your Letters and estate EIN; deposit funds like unclaimed property checks payable to the estate. Prepare and execute a bill of sale or assignment moving specified estate assets into the company, and adopt an estate resolution approving the transfer; seek a court order if needed for clarity or risk management. County practices vary on what documentation banks prefer to see.
3. File any necessary Supplemental Inventory and include the transfer in your estate accounting so the Clerk of Superior Court can verify the authority and disposition. The company then uses its own EIN for banking and tax reporting going forward.

Exceptions & Pitfalls

• Do not use the decedent’s SSN for the estate or the company; each taxpayer must have its own ID.
• If the “company” was formed without proper estate authority or documentation, you may need an estate proceeding to confirm or unwind the transfer and recover assets.
• Life insurance payable to a named beneficiary typically is not an estate asset; confirm payee before retitling or claiming proceeds through the estate.
• Commingling funds or using the estate EIN for the company can create fiduciary liability and accounting issues.
• If the transfer is material or disputed, consider seeking a court order approving the move to reduce later challenges.

Talk to a Probate Attorney

If you’re dealing with estate assets being moved into a new company and need clear documentation for EINs and banking, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.