The No Tax Due Report is not available for 2025 reports. Effective for reports due on or after Jan.1, 2024, an entity that has annualized total revenue less than or equal to the no tax due threshold of $2.47 million is not required to file a No Tax Due Report.

March 7, 2025 - The No Tax Due Threshold determines which businesses are exempt from franchise tax payments but still need to file a report. For the 2025 tax year, businesses with total annual revenue below $1.23 million are not required to pay franchise tax.

Franchise tax rates, thresholds and deduction limits vary by report year.

If a combined group’s annualized ... group that is organized in Texas or has nexus in Texas must file a PIR or OIR. Annualized Revenue Threshold: $2,470,000 for reports due in 2024-2025......

The Employee Information System (EIS) application is no longer available effective May 31, 2025. Please contact your agency Human Resource or Payroll representative for any questions or inquiries · To expedite the processing of your tax returns, please file electronically or use our preprinted ...

Ordering Franchise Tax filing obligations from least to most complex: An entity with annualized total revenue less than or equal to the no tax due threshold ($2,470,000 in 2024 and 2025...

November 12, 2025 - Businesses close to the threshold or evaluating EZ eligibility should reassess their filing position ahead of the 2026 report year. If you have questions about the Texas Margin Tax, please reach out to a member of the Withum SALT Team. ... Pursuant to TX SB 263, signed by Gov. Abbott on June 20, 2025, television and radio broadcasters subject to the Texas Franchise (Margin) Tax will be able to claim a cost of goods sold (COGS) reduction.

2 weeks ago - This structure is why the computation method and apportionment matter so much in Texas. 2025 update: The No Tax Due threshold is $2,470,000 for reports originally due in 2024 and 2025 (up from $1.23M in 2022–2023).

June 23, 2025 - As of 2008, the Texas franchise tax is calculated from an entity’s margin. Margin is computed in one of the following ways (unless filing with EZ computation): ... (Revenue is calculated by subtracting statutory exclusions from the revenue reported on your company’s federal income tax return.) That number is then taxed accordingly (for 2024 and 2025...

April 17, 2025 - These changes may impact your filing obligations and tax calculations. Franchise Tax Rates and Thresholds For 2025, the Texas franchise tax rates and thresholds are as follows: No Tax Due Threshold: $2.47 million

The Comptroller of Public Accounts ... tax for 2026 and 2027. The rates are the same as for 2024 and 2025, while the no tax due threshold and the compensation deduction limit are increased, as follows:No Tax Due Threshold ...

November 1, 2025 - If business owners aren't prepared, they could struggle to meet their tax obligations. However, businesses that fall below the $1.23 million revenue threshold don't need to worry about paying the franchise tax.

A change in the requirements may ... resolve their issue. In July 2023, the Legislature passed Senate Bill 3, increasing the no tax due threshold to $2.47 million and eliminating the no tax due reporting requirements for certain entities....

Our experience extends across various industries, with specialized expertise in restaurant accounting and franchise operations. Our objective is to make your tax procedure easier so you can focus on what's most important: expanding your business. Certain small businesses or entities that fall below a minimum revenue threshold may be exempt. Always check the most recent rules to ensure that you are eligible. If your business operates in Texas and exceeds the revenue threshold specified by the state, you are generally required to file.

See Tax Rates, Threshold, and Deduction Limits for information on current and historic tax rate, threshold, and deduction limit information. Franchise tax reports are due on May 15 each year.

July 30, 2024 - Texas has increased the “no tax due” revenue threshold for the Texas Franchise Tax to $2.47 million and eliminated the requirement to file a No Tax Due Report (Form 05-163) for report years 2024 (tax year 2023) and later.

Franchise tax rates, thresholds and deduction limits vary by report year.

If the tax due is less than $1,000, but annualized total revenue is greater than the no tax due threshold, a franchise tax report supporting that no tax is due (Form 05-158, Texas Franchise Tax Report, or Form 05-169, Texas Franchise Tax EZ Computation Report) must be filed.

January 16, 2024 - For reports originally due on or after Jan. 1, 2024, the no tax due threshold is increased to $2.47 million. ... For reports originally due on or after Jan. 1, 2024, a taxable entity whose annualized total revenue is less than or equal to $2.47 ...

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