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Level 1
August 15, 2023
Question

Dissolving llc after conversion to corp

  • August 15, 2023
  • 1 reply
  • 6 views

Do I need to dissolve my LLC after converting it to a corporation in 2022? I have already filed both Forms 8832 and 2553 and received confirmation that the conversion and election were accepted at the beginning of 2022. However, when I check the LLC's status on the CA FTB website, I can still see that both my LLC and the corporation have active statuses. I contacted the CA State IRS, and they advised that I don't need to pay state minimum taxes for both entities, but I still need to file a return (Form 568) for the LLC to be closed. I assume this would be done by selecting the 'final return' option. Do these steps sound reasonable? As for Form 568, since I had no income, should I enter zero for all fields?

1 reply

Mike9241
Level 15
Level 15
August 16, 2023

that only takes care of the income tax filings.  from Ca's viewpoint your legally still an LLC and need to dissolve it (to avoid ongoing franchise tax fees/permits). you formed it by filing paperwork with the Secretary of State. Now you need to file paperwork with the SOS to dissolve it. contact it to find out the correct paperwork to file.  

Mike9241