What form do I file to dissolve an Alabama LLC?

Use the Alabama Secretary of State's Domestic Limited Liability Company Articles of Dissolution. It can be filed through the state's online dissolution service or by using the official paper form.

Can I file Alabama LLC dissolution online?

Yes. Alabama's official dissolution instructions point domestic entities to the state's online dissolution service. The paper form can also be submitted by mail or courier.

Do I need an Alabama tax clearance certificate to dissolve a domestic LLC?

The domestic LLC Articles of Dissolution do not instruct filers to attach the Certificate of Compliance used in Alabama's foreign withdrawal process. Domestic tax accounts and final obligations still need to be handled separately as applicable.

Does Alabama business privilege tax stop when I stop doing business?

Not simply because operations stop. Alabama Revenue says the business privilege tax regime continues while the entity remains legally in existence, subject to current filing and low-tax exemption rules. Formal dissolution is therefore an important part of ending the entity.

Does the Alabama dissolution filing close my sales tax or withholding account?

No. Alabama Revenue provides separate procedures for closing tax accounts. Sales and Use Tax Division accounts are closed through My Alabama Taxes, while withholding closure is handled through the applicable withholding return.

Alabama LLC Dissolution: Articles of Dissolution

What Dissolving an LLC Means in Alabama

Dissolving an Alabama LLC is more than simply stopping sales or closing the doors. The LLC must complete the decision and winding-up process required by its governing documents and Alabama law, then file the state dissolution document so the Secretary of State record reflects that the entity has been dissolved.

Do not leave an Alabama LLC sitting active after operations stop. Alabama Revenue states that business privilege tax exposure can continue while the entity legally remains in existence, even if it is no longer actively doing business.

Before You File: Approve the Dissolution

Review the LLC's operating agreement first and document the dissolution decision required by that agreement and applicable Alabama law. Do not assume a generic voting percentage applies to every Alabama LLC. Keep the signed consent, minutes, or other internal authorization with the company's records.

Wind Up the Alabama LLC

After the dissolution decision, wind up the company's activities instead of continuing ordinary operations. Collect receivables, secure company property, end contracts where appropriate, resolve payroll and tax obligations, and determine what assets and liabilities remain before making final distributions.

Collect money owed to the LLC. Finish receivables and refunds before closing bank access.
End or assign contracts. State dissolution does not automatically cancel leases, software subscriptions, vendor contracts, or insurance policies.
Preserve records. Keep accepted filings, tax records, member approvals and final financial records together.

Pay Creditors and Other Liabilities

Before distributing remaining assets to members, identify and address the LLC's known debts and obligations. This can include vendors, loans, payroll, taxes, customer refunds, leases and other claims. If the LLC has substantial or disputed liabilities, creditor-notice and distribution questions may deserve legal advice rather than a generic checklist.

Close Alabama Tax and Employer Accounts

The Secretary of State dissolution does not automatically close every Alabama tax account. Alabama Revenue instructs businesses to close applicable accounts separately. For Sales and Use Tax Division accounts, closure is handled through My Alabama Taxes; all delinquent returns must be filed. For withholding, Alabama Revenue directs filers to use the closure indicator on the applicable withholding return.

Alabama's Business Privilege Tax is especially important during closeout. Alabama Revenue says registered entities remain subject to the business privilege tax regime until they are legally dissolved or withdrawn, subject to the current exemption rules for low calculated tax amounts.

Domestic dissolution is not the same as foreign withdrawal. Alabama's Certificate of Compliance requirement is part of the foreign-withdrawal process. Do not import that foreign-entity step into a standard domestic Alabama LLC dissolution page.

File the Alabama Domestic LLC Articles of Dissolution

The controlling filing is the Domestic Limited Liability Company Articles of Dissolution under Alabama Code §10A-5A-7.02(b). The current Secretary of State fee is $100. The paper instructions say to submit two copies with the required payment by mail or courier, and they also point filers to Alabama's online dissolution service.

Alabama Dissolution Readiness Checklist Check these items before you submit the dissolution.

0%Ready

The dissolution is properly authorizedFollow the operating agreement and applicable Alabama law; keep the approval record internally.

Known debts and winding-up obligations are identifiedAddress creditors, payroll, taxes and contracts before final distributions.

Alabama tax accounts have been reviewedKnow which sales/use, withholding, privilege-tax or other accounts require final action.

The correct domestic LLC dissolution filing is readyUse Domestic LLC Articles of Dissolution — not a foreign Certificate of Withdrawal.

The $100 Secretary of State fee is readyFollow the current payment instructions for online or paper filing.

Remaining licenses, employer accounts and foreign registrations are listedThese may require separate cancellation after the entity filing.

0 of 6 items checked — work through the list before filing.

Alabama Domestic LLC Articles of Dissolution — $100Official Alabama Secretary of State form

Open Official Form

What Happens After the Filing

Once the Alabama Secretary of State accepts the Articles of Dissolution, keep the accepted filing with the LLC's records and finish the remaining closeout work. Dissolution does not immediately end the LLC's existence. Under Alabama Code section 10A-5A-7.02, a dissolved LLC continues for appropriate winding-up activities, including resolving liabilities and distributing remaining property. Keep the accepted filing and finish applicable tax accounts, employer accounts, licenses, contracts and other registrations separately.

Close the Remaining Business Accounts

Alabama tax accounts: close the accounts that apply and file delinquent/final returns as required.
Local and professional licenses: cancel city, county or occupational permits separately where required.
EIN: the IRS account is separate; see LLC School's Cancel or Close an EIN guide.
Foreign registrations: withdraw the Alabama LLC separately from other states where it qualified to do business.
Banking and insurance: keep them open long enough to clear final obligations before closing.

Common Alabama LLC Dissolution Mistakes

Stopping operations but never filing the Articles of Dissolution.
Using foreign-withdrawal instructions for a domestic Alabama LLC.
Assuming the Secretary of State filing automatically closes My Alabama Taxes accounts.
Distributing remaining assets before debts, payroll, taxes and other claims are handled.
Leaving local licenses, employer accounts or other-state registrations open.

Official Sources

Frequently Asked Questions

Alabama LLC Dissolution — FAQ

The current Alabama Secretary of State filing fee for domestic LLC Articles of Dissolution is $100.

About the Author

Ahmad Adil

Ahmad Adil is the founder and CEO of LLC School. Use the official filing and tax-account sources linked in this guide for your LLC’s closeout. Requirements depend on the entity’s status and circumstances.

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How to Dissolve an LLC in Alabama