A Certificate of Compliance is a document issued by the Alabama Department of Revenue showing the official existence of an LLC, Corporation, LP, LLP, or Not-for-Profit that is authorized to do business in Alabama.
This certificate is also commonly known as the Certificate of Good Standing or Certificate of Existence.
What is an Alabama Certificate of Compliance used for?
A Certificate of Compliance is occasionally needed for the verification of a company. The most common reasons for one includes:
- Opening a bank account or merchant account
- Applying for a business loan
- Signing up with vendors and suppliers to purchase inventory
- Registering or renewing business licenses
- Registering as a foreign entity in order to operate in other states
What are the Requirements to get a Certificate of Compliance?
A Sole Proprietorship or Partnership is not able to get a Certificate of Compliance. To prove the existence of a Sole Proprietorship or Partnership, an Alabama Trade Name Certificate is typically requested.
The Certificate of Compliance is only available to an entity that is registered with the Department of Revenue’s office. Entities that can register with the Department of Revenue include Limited Liability Companies (LLC), Corporations, Limited Partnerships (LP), Limited Liability Partnerships (LLP), and Not-for-Profit Corporations.
In addition to being a registered entity, the Annual Report filing and Business Privilege Taxes must be up-to-date.
Cost of an Alabama Certificate of Compliance
The cost of a Certificate of Compliance in Alabama is $10 for the certificate and an additional $4 for processing.
How long is a Certificate of Compliance valid in Alabama?
The length of time a Certificate of Compliance is valid varies by the requestor but is generally accepted within 60 days of purchase. Depending on the requestor, a screenshot or printout from the Department of Revenue’s website is sufficient, saving you from needing to purchase a certificate.
How to get a Certificate of Compliance in Alabama
Step 1 – Visit the Alabama Department of Revenue’s website.
Step 2 – Fill out the form. Requested information includes:
- Business Name
- Business Employer Identification Number
- Business Address
- Six-Digit Secretary of State Entity ID
- Telephone Number
- Email Address
- Reason for Request
- Requester Information
Step 3 – Enter payment information and check out.
How long does it take to get a Certificate of Compliance in Alabama?
After paying the filing fee and checking out, you will be able to download and print immediately.
For more information contact:
Alabama Department of Revenue
50 North Ripley Street
Montgomery, AL 36104