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Updated over 10 years ago,

User Stats

9
Posts
0
Votes
C Niman
  • Rental Property Investor
  • Pennsylvania
0
Votes |
9
Posts

Merging SMLLC or Dissolve?

C Niman
  • Rental Property Investor
  • Pennsylvania
Posted

I set up two SMLLC's for liability reasons but since then, decided to buy umbrella insurance. I want to eliminate the extra paperwork and expense of owning two companies (bank fees, tax prep, insurance policies/co., spreadsheets) so I want to merge or dissolve one of my SMLLC's.

Questions:

1. Will it be easier to merge or dissolve?

2. As I am a disregarded entity in PA, I understand to merge; I have to file form DSCB 15-8958. After completing the merge of the SMLLC’s, the surviving SMLLC will be the owner of the real estate, correct? If so, will I have to pay a transfer tax on the real estate or is it just a matter of preparing a new deed with the name of the surviving SMLLC?

3. I also want to change the name of the surviving SMLLC. I understand I will have to include 2 copies of DSCB: 15-134B. After completing name change, is it a matter of preparing new deeds with just a name change, or do I have to pay transfer tax as if it were being sold to a separate entity?

Any help will be appreciated, thank you in advance, standing by....