How Much Does it Cost to Dissolve an LLC in MD?

In Maryland, dissolving an LLC calls for a legal procedure with numerous steps. The expense of the dissolution process is one of the main factors for LLC owners. The price of dissolving an LLC in Maryland is affected by a number of variables, including the kind of LLC, its current status, and the services required.

For filing Articles of Dissolution for LLCs, the Maryland Department of Assessments and Taxation (SDAT) charges a cost of $100. This charge must be paid at the time of filing and is not refundable. Articles of Dissolution in Maryland typically take two to three weeks to process. There is an extra charge for expedited services.

Additional expenses, including late fines and interest charges, may be charged if the LLC has unpaid taxes or other unfinished business. Before starting the dissolution process, LLC owners should check with their accountant or tax advisor to make sure that all unpaid taxes and responsibilities are taken care of.

Another critical phase of the dissolution process is closing the Maryland withholding account. By sending a written request to the Maryland Comptroller, LLC owners can close their withholding account in Maryland. The name, address, and employer identification number (EIN) of the LLC should be mentioned in the request. The withholding account for the LLC will be closed after the request has been received and processed.

LLC owners are likewise required to inform the IRS of their corporation’s demise. Filing Form 966, Corporate Dissolution or Liquidation, with the IRS serves as the notice step. A copy of this form must be delivered to the state where the LLC was created, and it must be submitted within 30 days after the dissolution date.

By submitting a Statement of Change of Registered Office or Registered Agent to the Virginia State Corporation Commission, LLC owners in Virginia can update their addresses. This filing will cost you $25. The registered agent of an LLC should be informed of the change of address, according to LLC owners.

Last but not least, LLC owners may worry if they can still claim business costs after their company has shut down. Yes, but only with regard to costs spent prior to the date of the LLC’s dissolution. LLC owners should keep thorough records of all business expenses and seek the advice of a tax advisor or accountant to make sure they are appropriately written off.

In conclusion, there are a number of stages and costs involved in dissolving an LLC in Maryland. Before beginning the dissolution procedure, LLC owners should confirm that all responsibilities have been fulfilled by speaking with their accountant or tax expert. Important steps in the procedure also include alerting the IRS and altering the LLC’s address. Last but not least, LLC owners are able to write off company expenses incurred before the dissolution date.