A customer brought in a large treasury check (IRS Refund) payable to a business that is no longer open and the accounts have been closed. Should we allow her to deposit the check in her personal account? It was an LLC.

I would not. Who is to say whether or not "she" is entitled to the money?

Has it been officially dissolved or is it just inactive?

We always seem to run into this issue this time of year. Our answer is, no.

Once a corporation is dissolved, it can no longer conduct any business, including things such as endorsing a check over to a third party. the owner may need to contact the government agency and see if the check can be reissued, or, an authorized person may be able to open an account to windup the business with the deposit of this refund check. I would not allow her to deposit the funds into her personal account unless the bank has documentation demonstrating that she has authority to endorse any future checks.

Just to clarify, the business name is still active according to the SOS. The business itself has been closed and they no longer have an account at our bank.

We did not accept the check.
Thank you all!