The Texas franchise tax is a privilege tax imposed on each taxable entity formed or organized in Texas or doing business in Texas.

If you have no taxable sales to report, you can file by phone. Learn more about TeleFile. ... Texas Franchise reports may be submitted electronically with approved tax preparation provider software.

March 24, 2025 - The two taxes are structurally different. Furthermore, Texas franchise tax is a statewide tax and there are no local franchise taxes. There’s a statewide sales tax too — the base state sales tax rate in Texas is 6.25% — but most jurisdictions ...

Each taxable entity formed in Texas or doing business in Texas must file and pay franchise tax.

October 17, 2025 - The Texas Franchise Tax is levied annually by the Texas Comptroller on taxable entities doing business in the state that make over $2.47 million in annual revenue. The tax is based upon the entity’s margin and can be calculated in a number ...

Members include taxpayers from a broad spectrum of Texas businesses joined together to promote and support fair and rational state and local tax policy. Association staff members are experts in tax, fiscal, and education policy.

June 23, 2025 - Do you need to be paying sales tax? Check out our nexus calculator. ... The Texas Comptroller defines the Texas franchise tax as “a privilege tax” that is required of “each taxable entity formed or organized in Texas or doing business in Texas.” Put a little more simply, it is a fee for the right to conduct a substantial amount of business in Texas.

September 8, 2025 - All Texas businesses must file an annual franchise tax with the Texas Comptroller of Public Accounts. This includes an information report (sometimes called an annual report.) The report is a tax return, so it can get complicated—you’ll likely need help from your accountant.

We'll also cover how Harbor Compliance can simplify the filing process and help ensure compliance with Texas state regulations. A franchise tax is a state tax imposed on taxable entities in Texas for doing business in the state. It's levied annually on businesses that make over $2.47 million ...

In the past few decades, the tax (sometimes called the “margin” tax) has had a complex history as the focus of at least two special sessions, two Texas Supreme Court decisions (with more to come), three blue-ribbon committees and countless lower court decisions and administrative hearings. As described in Texas law, the franchise tax is levied in exchange for the “privilege” of doing business in the state.

Learn who must file franchise taxes in Texas, as well as when they are due and what you can expect when filing.

were more than tripled and the state’s franchise tax · was revamped in an effort to raise revenues.1 The · state also contributed additional dollars from · excess general revenues so that the overall reforms · resulted in a net tax cut to the Texas economy.

Forms for reporting Texas franchise tax to the Texas Comptroller of Public Accounts.

September 9, 2025 - Texas businesses making over $2.47 million per year need to pay Texas franchise tax. If your business is under this tax threshold, you’ll still most likely need to file a Public Information Report with the Texas Comptroller.

September 10, 2025 - The Texas Franchise Tax is an annual business privilege tax processed by the Texas Comptroller of Public Accounts. Essentially, it’s a tax levied on business owners in exchange for the opportunity to do business in Texas.

Because annualized total revenue is greater than the $2,470,000 no tax due threshold, the taxable entity must file a franchise tax report and is eligible to file using the E-Z Computation. Is the information I report on the Ownership Information Report (OIR) public information? No. Texas Tax Code Section 171.206 says "…the following information is confidential and may not be made open to public inspection: 1) information that is obtained from a record or other instrument that is required by this chapter to be filed with the comptroller."

4 weeks ago - The Quill physical presence test is used by some states to determine whether or not a company must pay a franchise tax. Delaware, Hawaii, Massachusetts, Pennsylvania, and Texas report using the physical presence test.

Search the Texas Secretary of State Website.

JavaScript is disabled in your browser · Please enable JavaScript to proceed · A required part of this site couldn’t load. This may be due to a browser extension, network issues, or browser settings. Please check your connection, disable any ad blockers, or try using a different browser

JavaScript is disabled in your browser · Please enable JavaScript to proceed · A required part of this site couldn’t load. This may be due to a browser extension, network issues, or browser settings. Please check your connection, disable any ad blockers, or try using a different browser