How To Dissolve A Colorado LLC

If you no longer want to do business with your LLC, you must formally dissolve it. Failure to do so on time may result in tax bills and fines, as well as legal difficulties.

Simply follow these three procedures to dissolve an LLC in Colorado:

Observe the Operating Agreement

Close Your Company’s Tax Accounts

Articles of Dissolution should be filed.

Step 1: Comply with the terms of your Colorado LLC Operating Agreement.

The methods for dissolving an LLC are usually defined in the operating agreement. The following are some frequent disintegration steps:

Holding an election among LLC members to dissolve the LLC

Including the dissolution vote in the meeting minutes of the LLC

Choosing the official date of dissolution

Asset distribution in an LLC

Notifying creditors and resolving any commercial debts

If your LLC’s operating agreement does not include any dissolution processes, you should contact the state for further information.

Step 2: Close Your Commercial Tax Accounts

Every active Colorado LLC has a number of tax accounts that are managed by several agencies of the Colorado State government. You must first pay off any taxes and/or penalties due to these accounts before you may dissolve your LLC.

Here are some of the most typical taxes that your LLC may have to pay:

If you have or have had workers in Colorado, you should:

Unemployment Insurance Contribution

Withholding Tax on Employees

If your Colorado LLC offers or has sold taxable goods or services:

Sales and Use Taxes

Typically, closing your tax accounts is merely submitting a final return with the relevant agency. Some accounts, however, need the submission of additional formal documentation. If you need help closing your tax accounts, you may consider hiring a Certified Public Accountant.

Step 3: Submit the Articles of Dissolution.

Articles of Dissolution, also known as Statements of Dissolution in Colorado, are the paperwork used to voluntarily dissolve your LLC. Your LLC will cease to exist after this form has been submitted and processed.

Business owners in Colorado must file their Statement of Dissolution online.

You may also hire a professional to submit your Articles of Dissolution on your behalf. Incfile draughts and files the Articles of Dissolution for you for $149 + state fees.