How to Dissolve an LLC in Maryland (2026)

Published by Jon Morgan | Co-Founder & Chief Editor

Last updated: August 30, 2026

FACT CHECKED by Jon Tobin, Business Attorney

Methodology
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To dissolve an LLC in Maryland, you file Articles of Cancellation with the State Department of Assessments and Taxation, or SDAT. The filing costs $0. SDAT does not require a notary or a tax clearance certificate before it accepts the form.

This process covers voluntary dissolution of a domestic Maryland LLC. A foreign LLC exits Maryland with a separate form, which the FAQs below explain.

Quick Summary

Maryland LLC Dissolution Quick Reference

Maryland has its own process for dissolving an LLC, and here's what SDAT requires, from the form and fee to where you file it.

How to dissolve an LLC in Maryland: 6 steps

Step 1 - Vote to dissolve

Your operating agreement is the first place to check, since it controls the vote you need to dissolve. If members can't agree and the LLC can no longer run under the operating agreement or articles of organization, any member can ask a circuit court to order dissolution.[1]

Step 2 - Notify creditors

Give creditors a chance to speak up before you close the LLC. If your LLC has known creditors, mail written notice at least 19 days before you file the Articles of Cancellation.

If your LLC has no known creditors, you check a box on the form saying so instead of sending notice. Settling with known creditors now avoids disputes after the LLC is gone.

Step 3 - File final tax returns and close your accounts

Wrap up your final Maryland and federal tax returns as part of this step. Close your employer identification number with the IRS and any state accounts tied to the LLC, including sales and use tax.

Maryland doesn't require a tax clearance certificate before SDAT accepts your Articles of Cancellation. You don't need sign-off from the Comptroller first.

If your LLC still owes Maryland's annual report and personal property return, file it before you close the entity. That way it never shows a lapse.

Step 4 - File the Articles of Cancellation with SDAT

File the Articles of Cancellation with the SDAT Charter Legal Department. Mail or drop it off at 301 W. Preston Street, Room 801, Baltimore, MD 21201, or file online through Maryland Business Express.

Make checks payable to SDAT if you mail your payment or use the dropbox. Filing without expediting costs $0 and takes 6 to 8 weeks online or 4 to 6 weeks by mail.

Expedited service costs $50 and takes 7 to 10 business days. Online same-day service costs $325 if you submit by 2:30 PM. Paper same-day service costs $425 through the lobby dropbox, or you can file it in person by appointment.

Maryland doesn't require notarization on this form. There's no simplified version for smaller LLCs, and no county requires online filing.

Two people need to sign the filing: an adult member the LLC authorizes, and your Maryland registered agent. SDAT's instructions list the resident agent's signature as its own required line on the form.

Know your SDAT ID number before you start. It begins with the letter W, and your entries should be typed or printed in black ink.

If SDAT rejects your filing, you get 60 days to fix it and resubmit before you owe another filing fee.

Once you file the Articles of Cancellation, your Maryland LLC no longer exists and you won't need to file another annual report.

Step 5 - Distribute remaining assets

Clear what the LLC owes first. That means settling debts, closing out loans and paying any final vendor invoices with LLC funds or assets.

Once debts are covered, split what's left the way your operating agreement says. The members still running the LLC handle this wind-down. If none are left, a personal representative or a court-appointed successor can step in.[2]

Step 6 - Close accounts and cancel licenses and permits

Bring your filed Articles of Cancellation to the bank to close the LLC's accounts, and cancel any Maryland sales and use tax license, trader's license or local business permits tied to the LLC. Leaving them open can trigger renewal notices and fees for a company that no longer exists.

If you'd rather start fresh than reopen this entity later, you can form a new LLC in Maryland instead of refiling the old one.

FAQs

References:

1. https://law.justia.com/codes/maryland/corporations-and-associations/title-4a/subtitle-9/section-4a-903/
2. https://law.justia.com/codes/maryland/corporations-and-associations/title-4a/subtitle-9/section-4a-904/