I have a Chapter S corporation that I formed in Missouri. I moved to California in 2013. The corporation did $0 business. The state of Calif...

Question

I have a Chapter S corporation that I formed in Missouri. I moved to California in 2013. The corporation did $0 business. The state of California wants me to pay minimum of $800 franchise fee. I want to dissolve corporation. What is the easiest and cheapest way to do this?

Answer

The absolute cheapest way to do it is to ignore it and the entity will administratively dissolve. While CA will never say so, they will generally not go after you personally for the franchise tax UNLESS you profited and avoided taxation.

I think it would be wise to get a proper consult from a CA CPA or tax attorney who can advise more specifically.