Tax

Have a tax question? Ask a tax Expert

Ask an Expert,
Get an Answer ASAP!

I did not file my inc taxes for the last 3 years. As a

Customer Question
I did not file...

I did not file my inc taxes for the last 3 years. As a result my corporation was dissolved by proclamation in the state of New York. It was always an inactive business. I opened the corporation thinking I will start a business, but the idea never materialized. Wondering what is the best course of action

Accountant's Assistant: The expert will know how to help. Is there anything else the expert should be aware of?

Just that. do i need to file the missing years or do i just let the corp dissolve? i dont need it.

Submitted: 1 year ago.Category: Tax
Show More
Show Less
Ask Your Own Tax Question
Customer reply replied 1 year ago
I have a bank account with chase opened under the corp name. I use it for personal purposes. The money comes from my 9 to 5 job. W2. Is that account in danger of being confiscated to pay for all the penalties that i incurred for not filing?
Customer reply replied 1 year ago
I checked the state of new york corp listing and this is what is shows:
Selected Entity Name: RAYAR DIRECT INC.
Selected Entity Status Information
Current Entity Name: RAYAR DIRECT INC.
DOS ID #:(###) ###-####Initial DOS Filing Date: OCTOBER 29, 2012
County: WESTCHESTER
Jurisdiction: NEW YORK
Entity Type: DOMESTIC BUSINESS CORPORATION
Current Entity Status: INACTIVE - Dissolution by Proclamation / Annulment of Authority (Oct 26, 2016)
Information to reinstate a corporation that has been dissolved by proclamation or annulment of authority by proclamation is available on the New York State Department of Taxation and Finance website at www.tax.ny.gov keyword TR-194.1 or by telephone at(###) ###-####
Selected Entity Address Information
DOS Process (Address to which DOS will mail process if accepted on behalf of the entity)
RAYAR DIRECT INC.*****SUITE 2V
YONKERS, NEW YORK, 10701
Registered Agent
NONEThis office does not record information regarding the names and addresses of officers, shareholders or directors of nonprofessional corporations except the chief executive officer, if provided, which would be listed above. Professional corporations must include the name(s) and address(es) of the initial officers, directors, and shareholders in the initial certificate of incorporation, however this information is not recorded and only available
Answered in 10 minutes by:
8/2/2017
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago
Tax.appeal.168
Tax.appeal.168, Tax Accountant
Category: Tax
Satisfied Customers: 4,794
Experience: 3+ decades of varied tax industry exp. Tax Biz owner
Verified

Hello. Thank you for choosing this Q&A service for assistance. We appreciate your trust in us. My name is Angela. I will be assisting you.

Q: do i need to file the missing years or do i just let the corp dissolve?

A: In brief, yes you will need to file the returns until all of the steps are completed to voluntarily dissolve the corporation. SEE BELOW:

---------------------------------

Dissolution by proclamation

If a New York corporation doesn’t voluntarily dissolve and doesn’t file franchise tax returns or pay franchise taxes for two or more years, the New York Secretary of State may dissolve the corporation by proclamation.

  • With dissolution by proclamation and voluntary dissolution, the legal entity of the corporation ceases to exist. The important difference is that dissolution by proclamation occurs without a request by the corporation.
  • A corporation dissolved by proclamation must continue to file returns and pay taxes or fees until they:
    1. Have the corporation reinstated
    2. Complete the voluntary dissolution process described below

Procedure for voluntary dissolution

Voluntary dissolution is a two-step process:

  • Obtaining written consent from the Tax Department (which will check to see if the corporation owes back taxes and if it has filed all its returns); and
  • Filing paperwork with the New York Department of State, including a Certificate of Dissolution.
  1. How to get consent from the Tax Department:
    • File a final corporation tax return. Use the form you normally use, but mark an X in the box marked Final at the top of the return.
    • You may also choose to e-file your final return. You must use e-file software that’s been approved by the Tax Department.
    • If the current tax year form is available, you must file using that year’s tax form. If the current year’s form is not yet available, taxpayers may file a short period report using the prior year’s form. The computation of the tax on the final return needs to take into account any tax law changes that are effective for that final tax year. Payment of the tax must be submitted in conjunction with such report.
    • Mail your returns and payments to the appropriate address (see list below).
    • When we receive the final return, we’ll check to see if the corporation is up-to-date with its returns and taxes. This includes any taxes and returns due for any part of a year in which the corporation was in existence.
    • If your corporation has filed all its returns and paid all its taxes, we’ll issue a written consent to dissolve the corporation.
    • If not, we’ll send you a letter telling you what you need to do before we can give our consent.
  2. How to create a Certificate of Dissolution
    • The Department of State has blank certificates, as well as detailed instructions on how to complete and file them.
  3. Complete the process by filing with the New York Department of State
    Once you’ve obtained our consent and prepared the Certificate of Dissolution, you’re ready to file with the Department of State. Your filing must include:
    • written consent from the Tax Department (Form TR-960, Consent to Dissolution of a Corporation);
    • one Certificate of Dissolution; and
    • a check for $60 payable to the New York Department of State.

You may file in person or by mailing to:

NEW YORK DEPARTMENT OF STATE
DIVISION OF CORPORATIONS
ONE COMMERCE PLAZA*****br />ALBANY NY 12231

Once the Department of State accepts the Certificate of Dissolution for filing, they’ll issue your corporation a filing receipt. The filing receipt establishes the date that the corporation’s existence comes to an end.

REFERENCE SOURCE:

https://www.tax.ny.gov/bus/doingbus/tr125.htm

Let me know if I can be of further assistance to you regarding this matter. If I have answered your question, I ask that you please take the time and scroll to the top of the page and select 3 or more stars to positively rate my response so that I can receive credit for assisting you. Thank you in advance.

Ask Your Own Tax Question
Customer reply replied 1 year ago
What happens if i dont do it and leave it as is. What is my personal liability given its a corporation and not chapter S or LLC.
Also, i know the Federal and state will assess late penalties. Is there a chance to reduce these penalties if I file missing returns given i was never in business to begin with?
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago

Hello again,

While I do not have a definitive answer for you, it is likely that you will continue to be assessed fees, interest, and or penalties. Typically tax agencies do not consider waiving fees or penalties unless the taxpayer shows reasonable cause for not being in compliance. Even though the corporation never did any business, while it is a corporation on the state books, it is required to file tax returns and be in compliance.

Ask Your Own Tax Question
Customer reply replied 1 year ago
My reasonable cause is that i moved overseas as an expat to work in the gulf region. As I made this move, i still file my personal tax returns but i did sign an agreement with the company that i will not have any outside interest in any other company. I assume, my Corporation is dealt with
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago
Hello again. As i am typing from a cell phone, i ask that you overlook the minor errors. As for your reasonable cause, while it seems reasonable enough to you and i, the irs and NY state will make the decision if your situation qualifies for reasonable cause. I honestly can't tell you whether or not either taxing agency will see your situation as reasonable cause. You will just have to present the situation to them and go from there. Sorry that i cannot provide you with a more definitive answer regarding your reasonable cause. A positive rating is appreciated. Thank you.
Ask Your Own Tax Question
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago

Hello again.

I am ready to call you, however, your contact info no longer shows on the system. It may after 7:00 p.m. EST when I call you. I am going to contact customer service and ask them to provide the link to call you. I think the call expired. Sorry for the inconvenience.

Ask Your Own Tax Question
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago

I sent customer service an inquiry asking them to resend me your contact link. The issue is that we are not allowed to call you direct.

Ask Your Own Tax Question
Tax Professional: Tax.appeal.168, Tax Accountant replied 1 year ago

Hello again. One of my peers sent me info that I was not aware of that may be beneficial for you to know. SEE BELOW:

----------------------

If he files the NY corporation taxes, there's only a $25 minimum tax if there was no activity. You can go here to calculate the penalties on it... VERYsmall .. best practice is to file so that they'll let him dissolve ...Go here ... https://www8.tax.ny.gov/PAIC/paicHome ... put in the $25, choose corporation taxes, and the year, and you see the $50 or so penalty.

Based on the above information, your penalties may be quite low.

Ask Your Own Tax Question
Was this answer helpful?

How JustAnswer works

step-image
Describe your issueThe assistant will guide you
step-image
Chat 1:1 with a tax professionalLicensed Experts are available 24/7
step-image
100% satisfaction guaranteeGet all the answers you need
Ask Tax.appeal.168 Your Own Question
Tax.appeal.168
Tax.appeal.168
Tax.appeal.168, Tax Accountant
Category: Tax
Satisfied Customers: 4,794
4,794 Satisfied Customers
Experience: 3+ decades of varied tax industry exp. Tax Biz owner

Tax.appeal.168 is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Wallstreet Esq.

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Mark D

Enrolled Agent

1,338 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Richard

Tax Attorney

4,512 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

PhillipsEsq.

PhillipsEsq.

Attorney-at-Law

59 satisfied customers

B.A., M.B.A, J.D.

Robin D.

Robin D.

Senior Tax Advisor 4

15,569 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Megan C

Certified Public Accountant (CPA)

8,655 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

< Previous | Next >

Related Tax Questions
Will try to apply for a sales and use tax certificate for a
Will try to apply for a sales and use tax certificate for a new dot.com business S corp or LLC not sure yet? Question is how do I avoid being denied the sales and use tax certificate due to the reason… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
The information contained in this database is current
The information contained in this database is current through May 10, 2017. Selected Entity Name: DDIC, LLC Selected Entity Status Information Current Entity Name: DDIC, LLC DOS ID #:(###) ###-####Ini… read more
Matthew Breecher
Matthew Breecher
President
MBA (Graduate Legal Studies)
286 satisfied customers
A partner and I are co-owners of an LLC (which recently
A partner and I are co-owners of an LLC (which recently elected to be taxed as an S-Corp) which operates an online business.I live inside New York City. He lives just outside New York City (still in N… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
I want to dissolve my Delaware C-Corp, but I'm not sure
I want to dissolve my Delaware C-Corp, but I'm not sure if I have to pay taxes for the year 2014. - I filed the 2013 franchise taxes late, and the firm became 'inactive'- w0006Inactive Corp (My regist… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
Lane - If I register a C Corp in Texas, can anyone find out
Lane - If I register a C Corp in Texas, can anyone find out the names of the Directors and Shareholders? We want to be in stealth mode for the first year.… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
Foreign oorp Sold apt in 2013 $18 million and dissolved NYS
Foreign oorp Sold apt in 2013 $18 million and dissolved NYS corp after sale in 2014. Paid all related taxes for form1120F, NYS Form CT3, and NYC Form 3L in 2013 as final tax returns. Question : NYC se… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
I created a corporation in New York in 2012. Never used it
I created a corporation in New York in 2012. Never used it and forgot about it. The state sent a notice asking that I file my 2013 return. What do I do? The corporation was not in business and had no … read more
taxmanrog
taxmanrog
Master\u0027s Degree
1,049 satisfied customers
Please let me know if my corp name was changed from Pa-La Inc
Please let me know if my corp name was changed from Pa-La Inc dba as taco Johns of Kalispell and Whitefish TO infinity iNC. THIS NAME CHANGE WOULD HAVE HAPPENED AFTER mARCH 13 WHEN IT WAS CHANGED IN M… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
If I filed a final return for 2012 for a Calif S Corp but then
If I filed a final return for 2012 for a Calif S Corp but then had activity in 2013 and am filing a new final return in 2013, do I have to go back and amend 2012 to not have the box checked as final? … read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
Few questions on new c corp wyoming non resident alien
A couple questions: 1. As a non resident alien on a new C corp, do I have to make any additional paperwork stating that I (or any member of the corp) will not be receiving a salary/wage? I have decide… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
I opened a corporation in 2008 and I just found out that it
I opened a corporation in 2008 and I just found out that it was dissolved by proclamation in 2011. However, I still conducted business and filed all my sales taxes and income tax for the business. My … read more
fastfile
fastfile
Tax Advisor
Master's Degree
550 satisfied customers
Hi all. I had a New York State S Corp that is "Inactive -
Hi all. I had a New York State S Corp that is "Inactive - Dissolution By Proclamation" since 1996. Is there anything preventing me from starting a new NYS LLC for a new business. Thanks you.… read more
Charles Greiner
Charles Greiner
Owner
Bachelor's Degree
2,436 satisfied customers
A business is purchased and its name isXXXXX The parties
A business is purchased and its name isXXXXX The parties purchasing business wants to set up there own corporation as say XYZ, Inc But for the time maintain the name of corp purchased (ABC) would they… read more
Charles Greiner
Charles Greiner
Owner
Bachelor's Degree
2,436 satisfied customers
Snyders of Hanover merged with Lances Inc last year and required
Snyder's of Hanover merged with Lances Inc last year and required all of their independent route distribution drivers to file for an application for a corporation designation. The two companies brough… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
15,569 satisfied customers
If an S Corporation that has 2 separate DBA decides to dissolve
If an S Corporation that has 2 separate DBA decides to dissolve the corporation and the DBA's go their separate ways, how do they file their taxes and do they wait till the end of their tax year to se… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
Hello - In March of 2010 I moved to NYC from Florida. I have
Hello - In March of 2010 I moved to NYC from Florida. I have a SCorp that is incorporated in Florida since 2009. My registered agent, bank account and physical address (UPS Store) are still in place i… read more
LEV
LEV
Retired
Bachelor's Degree
14,896 satisfied customers
In Feb 2009 a corporation was formed in DE, however the business
In Feb 2009 a corporation was formed in DE, however the business has yet to really do anything. Attorney fees were incurred in creating the entity, very minor expenses incurred for a few domain names,… read more
jgordosea
jgordosea
Enrolled Agent
Bachelor's Degree
2,885 satisfied customers
What facts need to be included in certified copy of Board Resolution
What facts need to be included in certified copy of Board Resolution to dissolve an S-corp… read more
Merlo
Merlo
Tax Consultant
558 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x