What is the Liquidation of the Firm?

In most cases, such phrase as "liquidation of firms" in many entrepreneurs causes associations with the absolute disappearance of the enterprise. However, this is not always the case. Complete liquidation provides for their closure. Accordingly, there is no talk of any transfer of duties or rights to outsiders. But will it be the complete liquidation of the organization that the replacement of the head and the founder will take place exclusively? Of course no. In such a situation, there will simply be a change in the CEO, as well as the founder, who will likely change the management style of the company and introduce some innovations in the direction of its activities and further development. However, the enterprise itself will remain and will be able to successfully carry out its work. In such a situation, a tax audit is not required.
Many entrepreneurs often have a question about whether merger or merger of a firm to another organization is an unambiguous liquidation. It should be noted that there are many nuances, which only the legal office can provide, which provides the appropriate services and provides representation in the arbitration court.
What stages does the company liquidate? The first stage is the replacement of the director and founders. Only after this, a merger or affiliation takes place. As a result of the reorganization, a certificate is issued regarding the completion of the firm's activities. Only then the enterprise will be excluded from the state register. The organization no longer exists, but the duties and rights of the old firm are forwarded to another legal entity. The company continues to work. Thus, the enterprise was liquidated, but it did not disappear without a trace. In the process of liquidation (except for situations with bankruptcy) in the tax it is necessary to submit the following documentation:
- liquidation balance sheet;
- application;
- certificate of payment of state duty. To date, its size is 20% of the amount that is required to pay during the registration of a legal entity;
- a certificate confirming the submission to the Pension Fund of information specified by law.
The list of such information is determined in accordance with the Federal Law.
Only in five days from the state unified register of legal entities the enterprise will be excluded. This is where the liquidation of the firm will be completed.