For a variety of reasons, you might have let your Texas LLC to lapse. However, you will need to restart the company with the state of Texas if you intend to carry on operating it. The actions you must take to reactivate your Texas LLC are listed below.
1. Verify Your LLC Status Checking your LLC’s status should be your first priority. You can accomplish this by looking for your company on the Texas Secretary of State website. You won’t need to restart your LLC if it is still in operation. You will need to renew your LLC, though, if it is forfeited or inactive.
You must submit an Application for Reinstatement to the Texas Secretary of State if your LLC is inactive or forfeited. You must include information about your LLC, including its name, address, and taxpayer identification number, in this application.
3. Make a payment for the reinstatement fee There is a reinstatement cost that you must pay in order to restart your LLC. The cost varies according to how long your LLC has been dormant. The Texas Secretary of State’s website has the fee schedule.
4. Submit any unfiled reports and fees. You might have skipped several annual reports or payments if your LLC has been dormant for a while. For your LLC to be reactivated, you must submit any unfiled reports and pay any unpaid fees.
No, an EIN and a Texas taxpayer number are not the same. For state tax purposes, the state of Texas issues a Texas taxpayer number, whereas the IRS issues an EIN for federal tax purposes. Both a Texas taxpayer ID and an EIN are required if you run a Texas LLC. Do I Still Owe Corporation Tax If I Close My Business? Even if your business is closed, you still have to file a final tax return with the IRS and settle any unpaid taxes. However, you might not owe any corporation tax if your company had no revenue or outlays in the most recent tax year. When ending your business, it’s crucial to speak with a tax expert to assess your tax liabilities. Can a Business Close Due to Debt?
Debt does not prevent a business from closing. You will nonetheless be in charge of covering any unpaid bills. You could have to declare bankruptcy if you are unable to pay off your debts. What Happens if I Shut Down My Business? You must submit articles of dissolution to the Texas Secretary of State and pay any unpaid fees if you close your business. Additionally, you must inform your creditors and pay any outstanding bills. Your LLC will be formally closed once all of your business affairs are resolved.