Hi,
In 2002 my songwriting partner and I started a small record label to sell the CD that we released that year. But in the last 18 months we haven't been actively promoting it, as we are both raising our respective children. Since it's become a hassle for me to fill out the IRS forms every year, I wanted to ask how I could go about shutting down a business from a tax point of view.
We have Federal and state tax ID#s; every year we fill out an IRS form for a general partnership; twice a year I fill out Maryland state tax and use fees. We carry our CD on CDBaby, but haven't had any sales this year.
We could go on with the business; and write off expenses due to maintaining our website which links to our CDBaby sales page; but I think I'd prefer closing the business (at least for 5 years) until we are both able to actively play live and promote our music again.
What steps are needed to officially shut down a business like this? Any suggestions are appreciated.
Thanks,
Ben
