Frequently asked questions

Three separate things, with different offices. First, the state: the LLC has to be formally dissolved with the state's business registry, usually the Secretary of State, otherwise it keeps existing on paper and keeps owing annual reports and fees. Second, the IRS: the EIN account stays open until someone asks the IRS to close it, and while it is open the IRS can expect returns. Third, the final tax return for the last year, which tells the IRS the business has ended. We handle the first two for you. The final return is filed by you or your accountant.

Because that is not the same as closing it. When a state dissolves an LLC for missing its annual report, the company is usually only "inactive" or "administratively dissolved". Late fees and penalties can keep building up, the state can still pursue them, and in many states the LLC can be reinstated later with everything owed. The IRS is not told anything at all, so the EIN account stays open. For a foreign-owned single-member LLC that matters: every year without the required Form 5472 can carry a penalty of $25,000. A proper dissolution ends all of this on the record.

Our team prepares and files the state dissolution and the IRS letter that closes the EIN. We work with a network of independent, licensed certified public accountants (CPAs) and tax advisors, and the authorization you sign lets us bring one in for any part of your closure. CloseLLCNow is not a CPA firm; a CPA engaged for your order is responsible for their own work. You never have to find or brief anyone yourself.

Every state charges its own fee to accept a dissolution, from nothing in some states to a few hundred dollars in Delaware. We pass that fee on at cost, without a markup, and add it at checkout as a separate line so you can see exactly what goes to the state. The package price is our fee for doing the work. You see the exact state fee for your state in the order form before you pay.

Most states only accept a dissolution once the LLC is in good standing, meaning annual reports are filed and fees and franchise taxes are paid. We check the state's records before we file. At checkout you pay the standard cost: the package plus the state filing fee. If the state requires an overdue amount first, we get back to you about it with what the state charges, before anything is paid. Those amounts are owed to the state and are not part of the package price. In most cases it is a single overdue annual report. A few amounts cannot be known in advance, for example penalties the IRS sets for returns that were filed late.

If the LLC never received an EIN, the Dissolution package ($349 plus state fee) is all you need. If it has an EIN, which most LLCs do, choose the Dissolution and EIN closure package ($449 plus state fee) so we also write to the IRS to close the account. The IRS completes the closure once the LLC's final tax return has been filed. That return is not part of our packages, so you or your accountant file it.

It depends on who owns the LLC and how it is taxed. As a general overview: a single-member LLC owned from outside the US files Form 5472 with a pro forma Form 1120; a single-member LLC owned by a US person reports the last year on the owner's own personal return; an LLC with several members files Form 1065; an LLC that elected to be taxed as a corporation files Form 1120 or 1120-S. Your accountant decides which one your LLC files. We do not prepare returns or advise on them, and this is not tax advice. See which final tax return an LLC files.

Because we act for your LLC, we first make sure the order really comes from someone who may close it. In the order form you upload a photo of your passport, ID card or driver's license, and a document that links you to the LLC, usually its formation document. If you are not named there, the operating agreement, the IRS letter that assigned the EIN or an annual report that lists you works too. We check both before we file anything, and we delete them 90 days after your order is finished.

In the order form you sign one authorization that allows us, and a licensed CPA or tax advisor we designate, to file the dissolution and handle the closure on the LLC's behalf. You sign it by typing your name, and you get a copy by email. Other signatures can come up later, and we prepare them for you: the IRS needs the letter that closes an EIN account to be signed by an owner, and some states only accept a filing signed by a member or manager. We send you each one ready to sign, so it takes a minute.

We start as soon as your order is in. If the LLC is in good standing, we usually file with the state within a few business days. The states then take anywhere from a day to a few weeks to process it. The IRS is slower: it closes the EIN account once the final return is in and confirms by letter, which often takes several weeks. You do not have to keep track of any of this; we email you at every step and the status page always shows where things stand.

The package price plus your state's filing fee. That is it for most orders. The only other costs are ones the state or the IRS would charge anyway, such as overdue annual reports or franchise taxes, and the cost of your final tax return if an accountant files it for you. If the state requires an overdue amount before it accepts the dissolution, we get back to you about it before anything is paid.

Yes. Until we have filed anything with the state, you can cancel by email and we refund the full amount. After the state filing, the state fee has been paid to the state and the dissolution cannot be taken back, so we refund the parts of your package we have not started yet.

Close the bank account once all payments have gone out and in, and keep its final statements: whoever files the final return will need them. Keep your registered agent until the state has confirmed the dissolution, because the state sends notices to the agent while the LLC still exists. We let you know once the state has confirmed the dissolution.

We currently dissolve LLCs formed in Arizona, Colorado, Delaware, Florida, Georgia, Indiana, Montana, Nevada, North Carolina, Oregon, Virginia and Wyoming. If your LLC was formed somewhere else, email us at contact@closellcnow.com and we will tell you how we can help.

Yes, but tell us in the order form. The dissolution with the state can usually go ahead. The IRS, however, does not close an EIN account while returns are missing, so the earlier years have to be filed first by you or your accountant. We do not prepare returns or advise on them; your accountant can tell you what is missing.

No. We are not a law firm or a CPA firm, nothing on this site is legal or tax advice, and we do not prepare tax returns. Our team handles the state dissolution and the EIN closure letter, and we work with a network of independent, licensed CPAs and tax advisors. For questions about your own tax situation, ask your accountant or a tax advisor.

CloseLLCNow is operated by Paircat UG (haftungsbeschränkt), a company registered in Berlin, Germany, which works with a network of independent, licensed CPAs and tax advisors. See the imprint and terms of service for the full legal details.

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