If you are a business owner and want to dissolve your Mississippi LLC, you will need to take the appropriate steps to ensure the process goes smoothly.
In this blog post, we will outline the steps you need to take on how to dissolve an LLC in Mississippi. We will also provide some tips on making the dissolution process easier for you. Let's get started!
Step 1: Follow Your Mississippi LLC Operating Agreement
The first step in dissolving your Mississippi LLC is to follow the terms of your LLC's operating agreement.
This document will outline the procedures for dissolution and should be followed to avoid any legal issues. If you do not have an operating agreement, you can dissolve your limited liability company by following the default rules set forth in Mississippi law.
Step 2: Close All Tax Accounts
After you have followed the procedures outlined in your LLC's operating agreement or Mississippi law, you must close all tax accounts with the Mississippi Department of Revenue.
Every active Mississippi LLC has various tax accounts that are maintained by different departments within the Mississippi State government. This includes business, sales, and withholding tax accounts.
To close your business tax account, you will need to submit a final return and pay any outstanding taxes owed.
You can close your sales and withholding tax accounts by filing a final return and paying any taxes owed.
Once you have closed all tax accounts, you will need to obtain a tax clearance certificate from the Mississippi Department of Revenue.
Step 3: File Articles of dissolution
If you have a domestic Mississippi LLC, you'll need to file the Mississippi LLC Articles of Dissolution with the Mississippi Secretary of State's office. The Certificate of Dissolution must be signed by a majority of the LLC members and must include:
- The LLC's name and date of formation
- The effective date of dissolution
- A majority approved the dissolution of the members
- The signature of the person authorized to dissolve the limited liability company
If you want to file online, you simply create a corporate filing account with the Mississippi Secretary of State and complete the dissolution online. The filing fee is $50 and can be paid by credit card, check, or money order.
How to Dissolve a Foreign LLC in Mississippi
If your LLC was formed in another state or country, you'd need to follow that state's or country's dissolution procedures.
Once you have dissolved the LLC in the other jurisdiction, you can then notify the Mississippi Secretary of State's office of the foreign LLC's dissolution.
Reasons behind dissolving Mississippi LLC
There are a variety of reasons why you may dissolve your Mississippi LLC. Perhaps your business is no longer profitable, or you simply want to retire.
Whatever the reason, dissolving your LLC is a serious decision that should not be taken lightly. Once you have made the decision to dissolve a Mississippi LLC, follow the steps outlined in this blog post to ensure the process goes smoothly.
How Much Does It Cost to Dissolve an LLC in Mississippi?
The filing fee in Mississippi LLC dissolution usually costs $50, but the total cost of dissolving an LLC in Mississippi is about $500, with a refundable fee of $25.
If you are dissolving a foreign LLC, the filing fee is $250.
You can either pay for the dissolution by bank transfer, selecting a pick option, or using a credit card.
Dissolution usually takes around two weeks, but it can take longer if there are any issues with the filing.
After Dissolving Your LLC
Once your Mississippi limited liability company has been formally dissolved, you will need to notify the IRS and file a final tax return.
You will also need to cancel any business licenses and permits that you have in Mississippi.
You will also need to close your business bank accounts and remove your business from any business directories.
Finally, you will need to notify all creditors of the dissolution of your LLC. Finally, you will need to remove your business from any registered agent service. Once you have taken these steps, your LLC will be officially dissolved in Mississippi.
What Will Happen If I Don’t Properly File for Dissolution, Abandon the Company and File Annual Reports?
If you don't properly file for dissolution or abandon your LLC company and file annual reports, you may be subject to business privilege tax, as well as any tax liabilities that the LLC has.
Additionally, the members of the LLC may be personally liable for any debts or obligations of the LLC. Finally, if you have a registered agent service, you will need to remove your business from the service.
What Is the Difference between Dissolving and Suspending an LLC?
Dissolving an LLC means that your company will no longer exist, and you will need to cancel any business licenses and permits that you have in Mississippi.
Suspending an LLC means that your company will still exist, but you will not be able to conduct business in Mississippi.
Dissolving an LLC in Mississippi: Conclusion
Dissolving your Mississippi LLC is a fairly simple process, as long as you have all of the required information and documents. Dissolution usually takes around two weeks, but it can take l if there are any issues with the filing.
If you have any questions about dissolving your LLC, you should contact a business attorney in Mississippi or let IncFile file the articles of dissolution for you.