Avalara
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What is Texas franchise tax?
March 24, 2025 - If you’re not sure whether you’re liable for Texas franchise tax, check with a trusted tax advisor. Franchise tax is based on your margins. Unless you choose to file the EZ computation report — and qualify to do so — franchise tax is computed in one of the following ways:
Ansari Tax
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How to Calculate Texas Franchise Tax — Ansari Law Firm
July 25, 2025 - EZ Computation Rate: 0.331% of revenue apportioned to Texas. The tax rate varies depending on the type of business: Retail and Wholesale Businesses: taxed at 0.375%. All Other Businesses: taxed at 0.75%. The franchise tax report is due annually by May 15.
What is the Texas Franchise Tax?
Unlike most other states, Texas does not required legal business entities to file an annual report. Instead, they require something much more complicated: an information report submitted with their annual tax payment. This report and payment is made to the Texas Comptroller of Public Accounts and is known as the franchise or margin tax.
texasregisteredagents.com
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Texas Franchise Tax
When is the franchise tax due?
The franchise tax is due on May 15th following the year of the entityu2019s formation.
texasregisteredagents.com
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Texas Franchise Tax
How the franchise tax total is calculated?
There are two forms you can use to find out your tax total: the E-Z Computation of the Long Form. If your total receipts for the year are over the current threshold ($1,130,000) but under $20 million, then you can use the E-Z form.
texasregisteredagents.com
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Texas Franchise Tax
Videos
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2025 Texas Annual Franchise Tax Report (Update for LLCs) - YouTube
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How to File TX Franchise Tax | Complete DIY WalkThrough - YouTube
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2024 How to File Franchise Tax/PIR in Texas UPDATE - YouTube
Wolters Kluwer
support.cch.com › kb › solution.aspx › sw15593
Knowledge Base Solution - Which Texas Franchise Tax forms are produced through the Individual tax program?
Form TX 05-164, Extension Request - Form TX 05-163(F), Final No Tax Due Information Report. Click here to view how to generate Form TX 05-164. Form TX 05-169, E-Z Computation Report.
Texasregisteredagents
texasregisteredagents.com › incorporate-in-texas › texas-franchise-tax
Texas Franchise Tax
September 9, 2025 - Currently, the EZ Computation Rate is 0.331% of revenue apportioned to Texas. If you cannot (or do not want to) use the E-Z form, the amount that will be taxed is based on the total revenue of the business and calculated in one of the following ...
Reddit
reddit.com › r/smallbusiness › (texas) should i file a no tax due report or an e-z computation report for my small business?
r/smallbusiness on Reddit: (Texas) Should I file a No Tax Due report or an E-Z Computation report for my small business?
January 25, 2017 -
I am starting a new business at the start of June and need to complete my Annual Franchise tax report (deadline was May 15 so it will be late.) I have the letter and my account is setup online so I just need to choose No Tax Due or the E-Z Computation report online.
I'm 99% sure the total revenue for the business will be below the no tax due threshold, so I was planning on filing the No Tax Due report and paying the late fee. Is there any reason to file an E-Z Computation report instead?
Also can anyone give a short explanation on what margin deductions and franchise tax credits are?
Thanks for any advice.
Top answer 1 of 2
1
If you haven't started the business yet, then you won't need to file the franchise tax report. The report that was due May 15th 2017 is for the previous year. As for different itemized deductions and stuff, the Texas comptroller website should be able to help you get a clear picture of them. https://comptroller.texas.gov/taxes/publications/98-806.php
2 of 2
1
Figure out your NAICs code, figure out your total revenue rounded to the nearest dollar, if it's lower than the threshold file it and pay the $50 fine for late filing. You only need to worry about the EZ route if your revenue passes the threshold.
Texas Comptroller
comptroller.texas.gov › forms › hb3calc.pdf
Franchise Tax Calculation
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 ...
JustAnswer
justanswer.com › tax › ovvdk-texas-franchise-annual-report-due-may-15th-no-idea.html
Texas Franchise Annual Report Filing Guide 2023 EZ
May 2, 2024 - Based on the information you provided, you should indeed file the EZ Computation Report if your total revenue falls below the threshold set by the Texas Comptroller, which is currently $20 million. Given that your business did not have any revenue in 2023, the EZ Computation Report is suitable as it simplifies the calculation of the franchise tax.
Texas Comptroller
comptroller.texas.gov › help › franchise › ez-compute.php
EZ Computation Report Franchise Tax - Texas Comptroller
Taxable entities with zero Texas gross receipts must file either a Long Form or EZ Computation form and complete specific line items on the form to compute the entity’s total revenue and report zero on the Texas gross receipts line.
Texas Comptroller
comptroller.texas.gov › taxes › franchise › forms › 2024-franchise.php
Texas Franchise Tax Report Forms for 2024
Any entity that does not elect to file using the EZ Computation and has annualized total revenue that is above the no tax due threshold must file the Long Form report. An entity with zero Texas gross receipts need only calculate total revenue and enter zero for Texas gross receipts.
Texas Comptroller
comptroller.texas.gov › taxes › franchise
Franchise Tax
To calculate interest on past due taxes, visit Interest Owed and Earned. ... Ch. 171, Franchise Tax
Texas Comptroller
comptroller.texas.gov › taxes › franchise › forms › 2023-franchise.php
Texas Franchise Tax Report Forms for 2023
05-175, Tiered Partnership Report ... (PDF) or FINAL (PDF) ... For the 2023 report year, an entity, including a combined group, can file using the EZ Computation if it has annualized total revenue of $20 million or less....
Discern
discern.com › resources › texas-franchise-tax-information
Texas Franchise Tax Information
1 week ago - Texas has a Franchise Tax calculation method called "EZ Computation".
LedgerGurus
ledgergurus.com › home › navigating texas franchise tax for ecommerce businesses
How to File Texas Franchise Tax | Step-by-Step Guide for eCommerce
October 29, 2025 - However, you do need to file Form 05-102, Public Information Report or Form 05-167, Ownership Information Report. Threshold 2 – If your annualized total revenue is between $2.47-$20M, you’ll file the EZ Computation ...
Texas Comptroller
comptroller.texas.gov › taxes › franchise › faq › reports-payments.php
Franchise Tax Frequently Asked Questions
For reports originally due on or ... or less can elect to compute the franchise tax by multiplying total revenue by the apportionment factor and then multiplying the apportioned total revenue by a tax rate of 0.331 percent....
Texas Comptroller
comptroller.texas.gov › taxes › franchise › forms
Texas Franchise Tax Forms
taxes · If you are unable to file using Webfile, use our downloadable .PDF reports, designed to work with the free Adobe Reader. While other browsers and viewers may open these files, they may not function as intended unless you download and install the latest version of Adobe Reader. 2025 report year forms and instructions · Texas Franchise Tax Reports for 2024 and Prior Years ·
Texas Registered Agent
texasregisteredagent.net › resources › file-texas-franchise-tax
Texas Franchise Tax Report: Everything You Need to Know
October 17, 2025 - There are two ways to file the ... Information Report. If you are above the limit, you can choose to fill out and file the EZ Computation form or to take the time to fill out the Long Form....
Texasregisteredagent
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Texas Franchise Tax Instructions | Filing Tips & More
September 10, 2025 - To calculate your payment, you need to choose the EZ Computation Method OR select a deduction. If your annualized business revenue is at or below $20 million, you can use the EZ Computation Report to calculate your franchise tax bill. This will give you a tax rate of .331% on your Texas gross ...
PrintFriendly
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Texas Franchise Tax EZ Computation Report
The Texas Franchise Tax EZ Computation Report is a form used by entities to report annualized total revenue of $20,000,000 or less. This form is essential for taxpayers who need to file their franchise taxes correctly.
Texas Comptroller
comptroller.texas.gov › forms › 05-169-f-24.pdf
Texas Franchise Tax EZ Computation Report
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 ...
Jupid
jupid.com › blog › texas-franchise-tax-report-forms-2025-filing-requirements-deadlines-how-to-submit
Texas Franchise Tax Report Forms 2025: Filing ...
February 24, 2025 - Companies preferring a simpler tax calculation method (but without deductions) 📌 Form 05-169 (EZ Computation Report) Long Form Franchise Tax Report (Forms 05-158-A & 05-158-B) – For Large Businesses · Businesses with over $20 million in revenue · Businesses using deductions for cost ...