I agree – inform the RO that the company is not viable and will be shutting down. The daughter would like to purchase the assets and you expect to file the 14135. The RO will probably be thrilled, but may insist on a deadline to file the final returns and to show the company is out of business. Also, file a final 433-B with the bank statements showing the closing of the account. Warn the client not to transfer or distribute any assets to themselves (like the final cash in the bank), as it belongs to the IRS.