What the Business Tax Division asks for
- The Final/Close form from the City of Atlanta Office of Revenue, Business Tax Division.
- Your final day of operation and gross revenue for the months you operated that year.
- Your full time equivalent employee count.
- The new owner's name, address and contact details, plus a copy of the bill of sale.
- Full federal and state tax returns for your last two years of operation.
Dates to know: If your final year's returns aren't filed yet, the city asks for an income statement with your IRS extension (Form 7004) instead.
Why the City Needs to Hear From You
The City of Atlanta requires businesses operating inside the city limits to hold a business license, often called a business tax or occupation tax certificate, and to renew it each year. The renewal is tied to the business's gross receipts and size.
When a business is sold, closed or moves out of the city, the Business Tax Division in the city's Department of Finance needs to be notified. That is what the Final/Close form is for.
Letting It Lapse Does Not Close It
A common mistake is to assume the account will close itself if you just stop renewing. It won't. The city's own form says that failing to renew your business license will not close out the account.
An account left open can keep generating renewal notices, and possibly amounts due, under your company's name. Closing it properly takes far less time than sorting that out a year later.
Licenses Do Not Transfer to the Buyer
The city is clear that business licenses are not transferable. New ownership must apply for a new business license. In an asset sale, the buyer's company applies in its own name, usually timed so it can open the day after closing.
Build that into the closing checklist. A buyer who can't legally operate on day one is a buyer who wants to push the closing date, and every delay is risk for you.
In a stock sale the company itself doesn't change, so its license may continue. The city may still want to know about new owners and officers. Your attorney will tell you which applies.
What You Send
The Final/Close form asks for your final operating date, the gross revenue your business earned in Georgia for the months it operated in the final year, and your full time equivalent employees.
If the business was sold, include the new owner's name, address and contact information and a copy of the bill of sale.
The city also asks for complete federal and state tax returns, with all schedules, for the last two years of operation.
If your final year's returns aren't filed yet, you send an income statement with the IRS extension form instead. The form warns that leaving out returns means the request is denied.
Timing It Around Your Closing
Most of what the city asks for, the bill of sale and the final operating date, only exists once you close. Plan to file soon after. Your final year's income tax returns may not be done for months, which is why the extension route exists.
Keep copies of what you send. If a buyer's lender or attorney asks how the license was handled, you will have the answer ready.
What a Buyer May Ask About It
A careful buyer will want to know your license has been current, because operating without one can leave fines or back amounts attached to the location or the business name.
Have your recent renewal receipts ready. If you have missed a year, fix it before you go to market.
Outside the City Limits
Many metro companies are not in the City of Atlanta at all, even with an Atlanta mailing address.
Sandy Springs, Alpharetta, Marietta, Kennesaw, Lawrenceville and other cities have their own business license offices, and unincorporated areas deal with the county.
Many of them also use a final or closure form. Check which government issued your license and follow its steps.
Our pages on Sandy Springs and other nearby cities mention who handles each.
Other Accounts to Close at the Same Time
The city license is local. Your state tax accounts go through the Georgia Department of Revenue; see the TSD-10 tax clearance guide.
Your county personal property account needs the same bill of sale; see the Fulton County return guide. If you sell alcohol, read the alcohol license guide too.
This page is general information, not tax or legal advice. Rules and forms change, so confirm the current requirements with the Business Tax Division and your CPA or attorney.
Our source is the City of Atlanta Office of Revenue's Final/Close form and its business license renewal pages.
To find out what your Atlanta company could sell for, send the form or call (404) 555-0139.