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Last updated July 5, 2020

Texas LLC No Tax Due Report
& Public Information Report

How to form an LLC in Texas
This Quick Start Guide is a brief overview of how to form an LLC in Texas.

Detailed Lessons:

 

Texas LLC costs:
State filing fee: $300
Annual franchise tax: $0 (for most LLCs)

Need help?
Hire a reliable service to form your Texas LLC:
Northwest ($39 + state fee) or LegalZoom ($149 + state fee)

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How to file a No Tax Due Report & Public Information Report

Note: This page is a shortened and simplified version of a more complex lesson we’ve written. If you want to learn about the Texas franchise tax, the tax rates, who must file, and more details, please see the Texas LLC franchise tax page.

All Texas LLCs must file a Franchise Tax Report and a Public Information Report every year for their “annual report”.

These must be filed in order to keep your LLC in good standing with the state of Texas.

If these aren’t filed on time, there are penalties. Additionally, the Texas Comptroller will place your LLC “not in good standing”, and the LLC Members/Managers will become liable for any LLC taxes and filings due to the state.

The majority of LLCs in Texas fall under the no tax due threshold, which is currently $1,180,000 in annualized total revenue. Therefore, the type of Franchise Tax Report they file is the No Tax Due Report.

When the No Tax Due Report is filed online via WebFile, the Public Information Report is included with it.

Get started:

1. Go to WebFile.

If you already have an account, please login.

If you don’t have an account, click the “Sign up” button:

  • Create a User ID/username and click “check availability”
  • Enter your contact information
  • Create a password and click “Continue” (make sure to save your User ID and password)
  • Create a security question
  • Agree to the terms and click “Create User Profile”
  • You’ll see a success message
  • Click “Continue” and now you’ll be on the WebFile homepage

Registration tips:

  • Your User ID/username must be at least 10 characters long.
  • Your password must have at least 1 character from each of the following groups: uppercase letter, lowercase letter, number, and a special character (ex: !, #, $, @, etc.)
  • A Secondary Phone is required (I know, it makes no sense to us either). If you don’t have a second phone, just enter your same phone number again, but add “100” to the extension field. It’s unlikely the Texas Comptroller will call you, but if they do, you’ll be able to pick up no matter which number they use.

2. Click “WebFile/Pay Franchise Tax”.

3. Enter (or select) your LLC’s 11-digit Taxpayer Number and click “Continue”. Then click “Franchise Tax”.

You can find your LLC’s 11-digit Taxpayer Number on the Welcome Letter you received from the Texas Comptroller. Your Welcome Letter was sent to your LLC’s Registered Agent address about 2-3 weeks after your LLC was approved.

This is what the Welcome Letter will look like:

Welcome Letter - Texas LLC Franchise Tax Responsibility Letter (Form 05-280)

4. Enter your LLC’s WebFile Number (also found on the Welcome Letter) and click “Create Access”.

5. Agree to the terms and click “Continue”. You’ll receive a success message that says “Your Access Rights have been stored.” Click “Continue” to proceed.

6. Click “Franchise Tax”.

7. Select “File a No Tax Due Information Report”.

Note: If you see a “no period obligations” message, please call 1-800-531-5441 (extension 34402) to see why there is no report showing for your LLC. The office is open Monday through Friday from 8am to 5pm Central Time.

Select a Report Year

Select your LLC’s Report Year. Remember, while you are using the prior year’s numbers to determine total revenue, your LLC’s Report Year will be the current year.

Combined Group & Tiered Partnership

Answer the questions about a Combined Group and a Tiered Partnership.

The majority of our readers’ LLCs don’t file as part of a Combined Group or Tiered Partnership, but make sure to check with an accountant if you’re not sure.

Industry Classification Code

Enter your LLC’s SIC code and NAICS code. This helps the Comptroller’s Office identify what primary industry your LLC is involved in.

Accounting Year

Enter your Texas LLC’s accounting year.

Over 98% of our readers run their LLC on the calendar year for federal taxes (Jan. 1 – Dec. 31). If your LLC has a different fiscal year, your accounting year dates will be different.

If this is your first time filing a No Tax Due Report, your LLC’s “accounting year begin date” will be the date your LLC was approved.

You can find your LLC’s approval date:

  • on your stamped and approved Certificate of Formation
  • or by searching your LLC name on the Taxable Entity Search page and looking at the “Effective SOS Registration Date”

Your LLC’s “accounting year end date” will be 12/31 of the prior year.

Let’s look at some examples:

For example, if your LLC was approved on April 2nd, 2019 and you’re filing your LLC’s 2020 No Tax Due Report:

  • your LLC’s report year will be 2020
  • but your LLC’s accounting year will be 4/2/2019 – 12/31/2019

For example, if your LLC was approved on June 15th, 2020 and you’re filing your LLC’s 2021 No Tax Due Report:

  • your LLC’s report year will be 2021
  • but your LLC’s accounting year will be 6/15/2020 – 12/31/2020

Qualifying Questions

You LLC must answer “yes” to at least one of the qualifying questions in order to file a No Tax Due Report.

Most filers select yes for either “Is the entity’s annualized total revenue below the no tax due threshold” question or “Does this entity have zero Texas Gross Receipts“.

Veteran-owned LLC:
If you properly formed a Texas veteran LLC with the Secretary of State and it’s on file with the Comptroller’s Office, you’ll select “yes”. And because veteran-owned LLCs are exempt from the Public Information Report (PIR), WebFile will automatically remove that section from your filing.

NOTE: You’ll see a question about a “passive entity”. This doesn’t apply. While your LLC is a “pass-through entity” for federal taxation with the IRS, it isn’t a “passive entity” in Texas. A passive entity in Texas is either a Sole Proprietorship or a Partnership. And yes, by default, Single-Member LLCs are taxed like a Sole Proprietorship and Multi-Member LLCs are taxed like a Partnership, but LLCs are not Sole Proprietorship and they are not Partnership.

Total Revenue

Enter your Texas LLC’s annualized Total Revenue from the prior year.

Mailing Address

Review your LLC’s mailing address. Leave as-is or make changes if needed.

Please note, changing this address only changes your LLC’s address with the Comptroller’s Office. It doesn’t change your LLC’s address with the Secretary of State, the IRS, or anywhere else.

Also, this address can be located in any state or in any country.

Principal Office

Enter your LLC’s principal office and principal place of business.

For most people, these will both be in Texas. And the office address can be a home address, if applicable.

Officers, Directors, Managers

In this section, you will enter your LLC’s Member(s) (the owners) and Manager(s), if applicable.

The “term expiration date” doesn’t apply, so you can just leave this box blank.

If your LLC has more than 1 Member or Manager, click the “Add” button and add all of the LLC Members and/or LLC Managers.

Should I select “Director”?
The term Director isn’t technically used for LLCs (it’s used for Corporations), but you can select “Yes”. We’ve discussed this part of the No Tax Due Report with the Texas Comptroller numerous times. To be honest, they don’t really care if you select “Yes” or “No” and it has no significant impact on the filing. If the LLC Member or Manager you enter also runs the business and makes the business decisions, you can select “Yes”, and state that they are a Director.

Owned Entity(s)

If your LLC owns any other companies, enter them here. If they are a Texas entity, enter the SOS file number.

If you list a company that is not a Texas company, you can leave the “TX SOS File #” box blank.

Owned by

If your LLC is owned by another company, enter that information here. If that company is a Texas entity, enter its SOS file number.

If you list a company that is not a Texas company, you can leave the “TX SOS File #” box blank.

Registered Agent and Office

Your LLC’s Registered Agent information should appear here, as it’s taken from the Secretary of State.

Note: you can’t change your Registered Agent inside of WebFile. If needed, that would have to be done with the Secretary of State’s office. It’s $15 to change an LLC’s Registered Agent. If needed, you can do so by mail (Form 401) or online (via SOSDirect).

Finalize and Submit

Check off the box declaring the information is correct, review the information and check for typos, then click “Submit”.

Congratulations! Your No Tax Due (and PIR) have been successfully filed.

You’ll see a confirmation page which you can print or save for your records.

Remember, these reports must be filed every year by all LLCs in Texas.

Here’s an example of what the confirmation page looks like:

texas llc franchise tax no tax due report success message

Next Step: business licenses or permits

Once you’ve reviewed this lesson, or filed your Texas LLC’s franchise tax reports, you can then proceed to the next lesson: Texas LLC business licenses and permits.

Texas Comptroller Contact Info

If you have any questions about filing your LLC’s “annual report” (No Tax Due & Public Information Report), you can contact the Texas Comptroller at 1-800-252-1381. Their office hours are Monday through Friday, 8am to 5pm Central Time.

Matt Horwitz
Founder & Educator, LLC University®
Forming an LLC shouldn't be so complicated. Our step-by-step guide will make the process a breeze – and no complex legal jargon! LLC University® teaches people how to form an LLC for free in all 50 states. We hope you find our free guides and resources helpful in your business journey.

8 comments on “Texas No Tax Due & Public Information Report”

Disclaimer: Nothing on this page shall be interpreted as legal or tax advice. Rules and regulations vary by location. They also change over time and are specific to your situation. Furthermore, this comment section is provided so people can share their thoughts and experience. Please consult a licensed professional if you have legal or tax questions.

  1. Just a note to say THANK YOU! I was so confused and was spending a LOT of unnecessary time trying to figure out what form(s) to submit, how they should be completed, etc. I followed your instructions and was finished in a little over half an hour.
    It appears that the only form I need to file is the “no tax due” report. Is that correct?

    • Hi Susan! You are SUPER welcome! We’re so happy we could help :) Yes, correct, you’d be filing the No Tax Due Report. Technically, the No Tax Due Report includes the Public Information Report. They are wrapped into one filing. Hope that helps!

  2. This is exactly what I was looking for and needed to complete my form. Thanks so much for this.

  3. Hi Matt!
    Thank you very much for providing the good information. I’m planning to register an LLC for my resale business this week. I have a couple questions:
    #1. Do I need to file Annual Report or Franchise Tax by register my business at the end of the year or the last 15 days of the year?
    #2. For the tax purpose, is it worth to register resale business LLC at this time of the year or should I wait till beginning of January 2021?
    Thank you!

    • Hi Hien! You’re very welcome. If you don’t need the business open right away, we recommend forming the LLC in January 2021 (or filing it now, but using a future LLC effective date of 1/1/2021). This way, your first Annual Franchise Tax Report isn’t due until May 15, 2022 (instead of May 15, 2021). And the same thing goes for federal taxes. If the LLC goes into existence in 2021, there will be no federal tax filings until March or April 2022 (instead of March or April 2021). Hope that helps :)

  4. Greetings,

    In the ‘Officers, Directors, Managers’ section, can I just provide the ‘first name’ in the ‘Name’ sub-section, since the information will be public? Is there going to be a problem if we do not include the ‘full name’?

    Thanks!

    • Hi Gaurav, we can’t comment on exactly what will happen (we’re not sure), however, you’re supposed to enter the complete name.

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