I have a Chapter S corporation that I formed in Missouri. I moved to California in 2013. The corporation did $0 business. The state of California wants me to pay minimum of $800 franchise fee. I want to dissolve corporation. What is the easiest and cheapest way to do this?
That depends on whether or not the corporation has any assets. If it does not, you can simply cease operations.
I am changing the designation.
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Given that the corporation was formed in MO, you should re-post this question under that state so lawyers who are familiar with MO law will see it.
This information does not constitute legal advice and does not establish an attorney-client relationship.
The $800 minimum fee is a minimum for being allowed to do business in the State of California. If the corporation did $0 in business and has $0 in assets then there is a strong likelihood that the State of California will not collect that fee in any manner other than a voluntary payment by the corporation. If a dissolution according to Missouri law is appropriate, then I have no idea how to do that.
Kevin A. Spainhour, Esq. - Hopefully this information is helpful. My answering this question giving my general thoughts does not create an attorney/client relationship and is not a legal opinion. The only way to create an attorney client relationship is to retain our services and that can be done over the phone, email or in person.
The easiest way is to literally walk away, i.e. do nothing, which may leave the corporation with some tax liability, but should not leave you with any personal liability - assuming you treated the corp as a separate legal entity and not as your own personal bank account. You might need to consult both CA and MO business attorneys. Your conduct with respect to the corp and the corp's assets needs to be looked over, to make sure no creditors of the corp, including taxing authorities, have a means to come after you personally for debts. If you are clear personally, then you can just walk away without formally dissolving.
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