You must submit an article of cancellation to the state of Maryland if you own a business there and need to dissolve it. This article provides answers to some frequently asked questions about canceling a business in Maryland and details the actions you must follow to submit an article of cancellation in the state.
Step 1: Examine your company’s records Make sure your company is in good standing with the state of Maryland before filing an article of cancellation. To confirm that all required filings, fees, and taxes have been paid, check your company’s records with the Maryland Department of Assessments and Taxation (SDAT).
Drafting Your Article of Cancellation in Step Two Drafting your article of cancellation is the next step. Your business name, Maryland tax ID number, the date your company was established, and the cause for cancellation must all be included in the article. Each owner of the company, if there are more than one, must sign the article of cancellation.
Step 3: Submit Your Cancellation Article You must submit your article of cancellation to the SDAT after you have finished writing it. You can submit your article of cancellation by mail or online at the SDAT website. You must include a check for the filing fee, which is $100 for LLCs and $25 for other business entities, if you submit your paperwork by mail.
Step 4: Alert Creditors and Other Parties
Following the filing of your article of cancellation, you must alert your creditors and other parties about the dissolution of your business. Before your company is formally dissolved, this will allow them a chance to file any claims they may have against it.
How Much Does it Cost to Dissolve an LLC in Maryland? In Maryland, dissolving an LLC costs $100. When you submit your article of cancellation, this cost is due. In Maryland, how can I dissolve a nonprofit organization? The procedure for winding up a nonprofit organization in Maryland is the same as for winding up a business. You must notify your creditors and other parties and submit papers of dissolution with the SDAT. The Maryland Attorney General’s office should be informed, and you could also need to distribute any leftover assets to other charitable organizations. In Maryland, how can I dissolve a sole proprietorship? Articles of cancellation do not need to be submitted to the SDAT by sole proprietorships. You can just quit operating your business and revoke any licenses or permissions you may have gotten to do so. How Can a Forfeited Business Be Closed in Maryland? Before you can file articles of cancellation, you must first submit a reinstatement application to the SDAT if your company has been forfeited by the state of Maryland. The same procedures indicated above can be used to dissolve your firm after it has been revived.