Revision: March 30, 2017, 2:40 p.m.
SB 18 - AS AMENDED BY THE SENATE
02/23/2017 0464s
2017 SESSION
17-0916
01/03
SENATE BILL 18
AN ACT relative to reinstatement of foreign corporations and foreign limited liability partnerships.
SPONSORS: Sen. Birdsell, Dist 19
COMMITTEE: Commerce
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This bill establishes procedures for reinstatement of foreign corporations and foreign limited liability companies.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
02/23/2017 0464s 17-0916
01/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Seventeen
AN ACT relative to reinstatement of foreign corporations and foreign limited liability partnerships.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 New Subparagraph; Procedure for and Effect of Revocation; Foreign Corporations. Amend RSA 293-A:15.31 by inserting after subparagraph (d) the following new subparagraph:
(e) A foreign corporation whose certificate of authority has been revoked under this section may apply to the secretary of state for reinstatement by completion of a reinstatement form together with payment of fees in arrears at the time of revocation. Beyond 120 days, a reinstatement shall be accompanied by, in addition to the above, annual fees for the years since the revocation, if the foreign corporation was doing business in this state during those years, and a certificate from the New Hampshire department of revenue administration indicating there are no taxes due to the department.
2 New Paragraph; Procedures for and Effect of Revocation; Foreign Limited Liability Companies. Amend RSA 304-C:184 by inserting after paragraph IV the following new paragraph:
V. A foreign limited liability company whose certificate of authority has been revoked under this section may apply to the secretary of state for reinstatement by completion of a reinstatement form together with payment of fees in arrears at the time of revocation. Beyond 120 days, a reinstatement shall be accompanied by, in addition to the above, annual fees for the years since the revocation, if the foreign corporation was doing business in this state during those years, and a certificate from the New Hampshire department of revenue administration indicating there are no taxes due to the department.
3 Effective Date. This act shall take effect 60 days after its passage.
17-0916
Amended 3/2/17
SB 18- FISCAL NOTE
AS AMENDED BY THE SENATE (AMENDMENT #2017-0464s)
FISCAL IMPACT: [ X ] State [ ] County [ ] Local [ ] None
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| Estimated Increase / (Decrease) | |||
STATE: | FY 2018 | FY 2019 | FY 2020 | FY 2021 |
Appropriation | $0 | $0 | $0 | $0 |
Revenue | $45,000 | $45,000 | $45,000 | $45,000 |
Expenditures | $30,000 | $0 | $0 | $0 |
Funding Source: | [ ] General [ ] Education [ ] Highway [ X ] Other | |||
METHODOLOGY:
This bill would allow foreign (out-of-state) businesses doing business in New Hampshire to reinstate if they fall out of good standing with the Department of State Corporation Division and the State. Current law allows foreign businesses to “file new” without the additional paperwork and fees. The Department states domestic (in-state) businesses that fall out of good standing with the Department of State Corporation Division and the State are administratively dissolved, and may "reinstate" if they so choose. Such businesses must file past annual reports and fees due plus letters of good standing from the Department of Revenue Administration.
The Department of State estimates 300 foreign business requalifications are filed annually. The bill would add additional fees of $100 for back annual reports and $50 for reinstatement to the existing fee of $100, raising the total fees to $250. The net increase is $150 per filing and amounts to a net revenue increase of $45,000 per year (300 x $150). The Department estimates the cost of upgrading the Corporation Division filings system to be approximately $30,000.
AGENCIES CONTACTED:
Department of State