Hello,
We recently started a not-for-profit corporation in Georgia, with the intention of becoming a 501c3, that has not yet commenced business due to personal matters.
We would like to dissolve the corporation. Our lawyer has advised that we let the corporation lapse, without filing Articles of Dissolution. Is this possible, and are there any possible tax penalties for doing so? We are worried we may wake up one morning to some horrible papers stating we owe such and such and such, for never filing dissolution or tax returns we have been advised not to bother with.
If it helps explain our confusion any, we have called the IRS business help line and spoken with no less than six people in six different departments who seem to have given us six different answers. Some say we will owe no return whatsoever, others advise 1120 + 966 and state level (which I am also unsure of). Someone even told us there is no such thing as a domestic not-for-profit incorporation in Georgia, while our Articles of Incorporation clearly state otherwise, and insisted we fill out 1120 + 966.
In essence, where do we begin? Should we just let the not-for-profit corporation lapse as our lawyer has advised and expect no penalty or further dues such as paperwork?
Thank you very sincerely in advance!
We recently started a not-for-profit corporation in Georgia, with the intention of becoming a 501c3, that has not yet commenced business due to personal matters.
We would like to dissolve the corporation. Our lawyer has advised that we let the corporation lapse, without filing Articles of Dissolution. Is this possible, and are there any possible tax penalties for doing so? We are worried we may wake up one morning to some horrible papers stating we owe such and such and such, for never filing dissolution or tax returns we have been advised not to bother with.
If it helps explain our confusion any, we have called the IRS business help line and spoken with no less than six people in six different departments who seem to have given us six different answers. Some say we will owe no return whatsoever, others advise 1120 + 966 and state level (which I am also unsure of). Someone even told us there is no such thing as a domestic not-for-profit incorporation in Georgia, while our Articles of Incorporation clearly state otherwise, and insisted we fill out 1120 + 966.
In essence, where do we begin? Should we just let the not-for-profit corporation lapse as our lawyer has advised and expect no penalty or further dues such as paperwork?
Thank you very sincerely in advance!
