The process of Legally Closing a LLC in Alaska is called Dissolution.  After an Alaska LLC has been Dissolved, it ceases to be Legally Active in the Alaska Division of Corporations's records and may no longer Legally conduct business in the state of Alaska.

An Alaska LLC is created when the AK Division of Corporations approves the Formation Documents - the Articles of Organization.  A record of the Alaska LLC is added to the list of LLCs which have officially registered with the Alaska Division of Corporations.  Once a LLC is registered with the Alaska Division of Corporations, that LLC immediately has both reporting and tax obligations which incur penalties if the obligations are not met by the required deadlines.

If you've registered an Alaska LLC with the Alaska Division of Corporations and want to cease business activities you have to let the AK Division of Corporations know that you intend to close your company.  Only after the AK Division of Corporations has made sure that all of the obligations of the Alaska LLC have been fulfilled will the Division of Corporations approve of the closure of the company.

When the Alaska Division of Corporations approves the closing of an AK LLC, that Alaska LLC is said to be Dissolved.  The process of Dissolving an Alaska LLC is called Alaska LLC Dissolution.

The Alaska Division of Corporations will not approve the Dissolution of an Alaska LLC if the AK Limited Liability Company's current Biennial Reports is due.

As soon as an Alaska LLC is registered with the AK Division of Corporations, that LLC is responsible for recurring obligations of the Alaska Division of Corporations and the Alaska Department of Revenue.  If an Alaska LLC does not file its required reports or pay its tax obligations, then that AK Limited Liability Company could be responsible for penalties which compound as time goes by.

Unless you Dissolve (Legally Close) your Alaska LLC with the Alaska Division of Corporations that AK Limited Liability Company will be responsible for all recurring fees and penalties until the company has been legally closed.

Alaska LLC Dissolution is one part of a larger process commonly called the "Winding Up" process.

There are things you need to do before you can request approval of LLC Dissolution from the Alaska Division of Corporations; and things that you have to do after the AK Division of Corporations has approved Dissolution of the Alaska LLC.

When an Alaska LLC is originally created, the Members (owners) may create a document called an Operating Agreement.  The Operating Agreement may include pretty much anything that has to do with running the LLC, including specific requirements which need to be followed before the LLC may be Legally Closed.  Before you do anything else, you should review the Operating Agreement for anything that needs to be done before the Business is Legally Closed.
What you have to do both before and after the Alaska LLC is Dissolved largely depends what kind of debts and liabilities that the Alaska LLC has.  If the Alaska LLC has not commenced business activities then the AK LLC Dissolution process is easier.

1. Hold a Members meeting and record a resolution to Legally Close the Alaska LLC
   
   
   Alaska LLC Dissolution is one part of a larger process commonly called the "Winding Up" process.
   
   A meeting should be held of all Members of the Alaska LLC and a vote to Legally Close the Alaska Limited Liability Company taken.  There should be a majority of Members who vote Yes to Legally Close the company. A formal date on which the LLC will be closed should be specified.  Minutes of the meeting should be recorded and retained in the business records.  If the Alaska LLC does not have any Members then the Organizer(s) have to apply for Dissolution of the Alaska LLC.
   
   
   We can transcribe and compile any minutes or approvals into a form that is legally recognized by the Alaska Division of Corporations.
   
   
2. File all required Biennial Reports with the Alaska Division of Corporations
   
   
   The Alaska Division of Corporations will not approve the Dissolution of an AK LLC until all required administrative reports have been filed.
   
   
   We can file any required Biennial Reports with the AK Division of Corporations quickly and easily.
   
   
3. Clear up any business debts
   
   
   All creditors of an Alaska LLC should be given notice of the pending LLC Dissolution. Each creditor should be given a mailing address to which they may submit claims as well as a deadline by which claims may be submitted.
   
   
4. Pay all taxes and administrative fees owed by the Alaska LLC
   
   
   The Alaska Division of Corporations will definitely not approve the Dissolution of an Alaska LLC until all outstanding taxes and applicable registration and administrative fees have been paid.

1. Distribute all remaining assets of the Alaska LLC
   
   
   If the Alaska LLC has any remaining assets, these may be divided according to the Members' ownership interests in the AK Limited Liability Company.  Refer to the Articles of Organization for specific requirements, if any, for asset distribution.  All distributions to LLC Members must be reported to the IRS.
   
   
2. Close all business bank accounts of the Alaska LLC
   
   
   If there are any business bank accounts that have been opened for the Alaska LLC then those accounts must be closed.  If any business bank accounts are left open then there may be liability and obligations of the Dissolved Alaska LLC which could lead to legal problems down the line.
   
   
3. Cancel all local business licenses and permits of the AK LLC
   
   
   If the Alaska LLC has obtained any state, regional, county or city business licenses or permits, there may be cancellation requirements associated with those licenses or permits.  Each of those must be cancelled to avoid any reporting or fiscal obligations the Alaska LLC may have.  This includes business registration licenses as well as reseller permits.
   
   
4. File IRS Form 966
   
   
   A dissolved Alaska LLC may be required to file IRS Form 966 with the US Internal Revenue Service.  If an Alaska LLC is required to file IRS Form 966, that filing is required within 30 days after the final Dissolution plan is approved.  Filing IRS Form 966 lets the Federal Government know that the Alaska LLC has been legally Dissolved so that it may take the appropriate actions.
   
   
   We can prepare IRS Form 966 for you to file.
   
   
5. Cancel the IRS account associated with the AK LLC's Federal Tax ID (EIN)
   
   
   A Federal Tax ID, or Federal Employer Identification Number (EIN), is like a Social Security Number for the Alaska LLC.  Once the IRS links an EIN to an Alaska LLC, that EIN stays with the Alaska LLC even after the Company has been Legally Closed by the Alaska Division of Corporations.
   
   When the IRS processes the final tax return for the Alaska LLC, they automatically make the EIN inactive.  However, the account associated with the EIN is not automatically closed.  Closing the account associated with the EIN lessens the likelihood of any problems with the EIN account, or with the IRS, in the future.
   
   If you should decide to revive the Alaska LLC down the line then the IRS will reactivate the old EIN for your new Business.
   
   Before an Alaska LLC can close an EIN account, it must be in Good Standing with the IRS.  The Alaska LLC must have filed all required tax returns and paid any applicable fees and penalties due to the IRS.  The Alaska LLC cannot close its EIN account until the IRS has received payment for any tax amounts the Company may owe.
   
   
   We can prepare the formal documents which you can sign and submit to the IRS in order to close the account associated with your EIN.
   
   
6. Keep Records of all Pertinent Business Documents
   
   
   In order to avoid problems down the line, you should keep copies of all tax filings, contracts and employment records on file as well as Certified Copies of all company documents filed with the Secretary of State.  This includes your Formation Documents - your original Articles of Organization and any Amendments - and all Dissolution douments.

You notify the IRS that your Alaska LLC has been Closed on the final tax return that is filed for your Business. 

If you have employees and file taxes quarterly with IRS Form 941, Employers Quarterly Tax Return, check the appropriate box on that form to let the IRS know that your LLC has Closed.  If you file yearly taxes do the same on IRS Form 944, Employers Yearly Tax Return. You should also attach a statement to the return showing the name of the person keeping the payroll records and the address where those records will be retained.

When you opened your Alaska LLC you most likely were assigned a Federal Employer Identification Number (EIN).  Once the IRS links an EIN to a LLC, that EIN stays with the LLC even after the Company has been Dissolved.  If you don't plan to reopen your Alaska LLC after it has been Closed, you should cancel the EIN account that has been assigned to your Company.

The time it takes to Dissolve an Alaska LLC varies depending on how long it takes to complete the actions that are required in each specific case - holding meetings, closing accounts, distributing assets, etc.

Once the initial actions are completed, the Alaska Division of Corporations usually takes around 10-15 business days to process the Articles of Dissolution.

Processing times for Alaska LLC Dissolution filings vary depending on the work load of the Division of Corporations's staff.  We've found that normal processing of Alaska Dissolution filings takes the state around 10-15 business days.

We are dependent on, and have no control over, the staff and systems of the Alaska Division of Corporations .  In our experience 10-15 business days is the time it usually takes the Alaska Division of Corporations to process an Alaska Dissolution filing.  We get your Alaska LLC Dissolution filing to the AK Division of Corporations as soon as possible after we receive your order.  Once it is at the state we have no control over the Alaska Dissolution approval process.

The total cost to Legally Close an Alaska LLC varies depending on exactly what is required for each specific AK Dissolution.  We charge $249 plus any state fees for our Alaska LLC Dissolution services. This includes:

We also offer these Alaska LLC Dissolution services separately as explained below.

If there are Foreign Limited Liability Companies in states other than Alaska that are tied to the Domestic Alaska LLC then each of those Foreign LLCs must be Dissolved before the Alaska LLC can be legally Dissolved.

An Alaska LLC company name becomes available for anyone to use when the Alaska Limited Liability Company is Dissolved by the Alaska Division of Corporations. There are no LLC company name protections in Alaska once an Alaska LLC has been Dissolved by the Alaska Division of Corporations.