Why Do You Need Maryland Reinstatement For Your LLC Or Corporation?
When a company loses its good standing, the state may dissolve it administratively and revoke the benefits that come with the business entity type. Maryland reinstatement is the process that will restore its status so it can carry out business activities in a legal manner.
What Is Needed To File For Reinstatement?
Generally, the Maryland reinstatement process gives an administratively dissolved company a chance to settle all of its pending obligations with the state. The steps and requirements, however, may vary depending on state laws.
In Maryland, the necessary paperwork will depend on the business entity type. LLCs have to file the Articles or Certificate of Reinstatement form, while corporations have to submit Articles of Revival.
Additionally, you will have to file all your missing returns and pay the corresponding fees.
- If you file for reinstatement between January 1 and April 15, there is no need to include a current annual report.
- Filings between April 15 and September 30 need to include the current report. However, you do not have to pay personal property taxes before the reinstatement filing.
- Companies that file between October 1 and December 31 have to file the annual report for the current year, certify the assessments to their local governments, and pay their personal property taxes before the application for reinstatement.
If you own a tangible personal property in the state, you need to obtain a tax clearance certificate from the city or county government. They will determine the process you will have to accomplish.
If you have missed report filings but do not have a tangible personal property in the state, you do not have to get a tax clearance certificate. You can submit all delinquent reports along with the reinstatement form. If you are not sure about the tax clearance requirement for your company, contact the State Department of Assessments and Taxation (SDAT) at (410) 767-1170.
You can submit the documents by mail or in person to the SDAT.
State Department of Assessments and Taxation
Charter Division
301 W. Preston Street, 8th Floor
Baltimore, Maryland 21201-2395
How Much Will It Cost To Reinstate?
LLC – The Maryland reinstatement filing fee for LLCs is $100. Expedited processing requires an additional $50. Aside from those, you have to settle delinquent fees. The corresponding penalty will depend on the degree of the lateness of your submission and county assessment.
Corporation – Reinstating an administratively dissolved corporation in Maryland costs $100. Expedited service comes with a $50 additional fee. The total penalty fees will be based on how late your submission is and the assessment of the county.
How Long Will This Process Take?
The SDAT may take approximately 4-6 weeks to finish processing a Maryland reinstatement filing. Expedited processing takes around 7 business days.
They will process walk-in submissions on the same day as long as you are in line by 4:15 PM. Meanwhile, online filings are automatically expedited.
What Is Required On The Forms?
LLC
- LLC Name
- New Name, If Applicable
- Principal Office Address
- Name, Office Address, And Signature Of The Resident Agent
- Signature Of The Authorized Representative
Corporation
- Corporation Name
- New Name, If Applicable
- Principal Office Address
- Name And Office Address Of The Registered Agent
- Signature Of The Last Acting President Or Vice President
- Signature Of The Last Acting Secretary
- Signature Of The Last Acting Director If The Last Acting President, Vice President, Or Secretary Is Not Available
- Signature Of A Director If The Last Acting President, Vice President, Secretary, Or Director Does Not Sign
What Cannot Be Changed On The Forms?
LLC – You cannot change any information related to the LLC members or managers. You also do not have to list them on your annual report or personal property return.
Corporation – You cannot change the company officers or directors on the Maryland reinstatement form. However, you can update the list in your annual report if you need to file one.
What If My Company’s Name Is In Use When I Need To Reinstate?
LLC – You will have to change your LLC name if another entity is already using it. You can do this on the reinstatement form. However, you also have to list the original name of your company.
Corporation – If your company name is no longer available, then you have to use a different one. You can list it on the reinstatement form, but you also need to include the original company name on the form.
How Can DoMyLLC Assist With Streamlining?
Getting your Maryland company back into good standing with the state requires you to follow multiple steps, including filing a Maryland reinstatement. However, the process will depend on various factors. Completing all of the necessary transactions and paperwork can be a bit overwhelming, especially if you’re handling them for the first time.
If you think you need help, contact a seasoned company like DoMyLLC. Our team of experts is ready to assist you with all of the requirements. We also offer personalized solutions and live support. Regardless of the services you are looking for, we are here to provide them for you.
Maryland Reinstatement FAQs
Can you change your registered agent on the reinstatement?
Yes, you can change the registered agent of your company in Maryland on the Articles or Certificate of Reinstatement form. The registered agent has to sign the form to prove that they accept the appointment.
How many annual property returns can your company fail to submit before the state prohibits reinstatement?
You can reinstate no matter how many returns your company has missed.
How long can your company be inactive with the state before it has to start over as a new business entity?
Maryland does not enforce a time limit for the reinstatement of administratively dissolved companies. However, the SDAT will refer all unpaid penalties for late filings to the Central Collection Unit. They will add 17% to the total amount you owe.