Texas No Tax Due & Public Information Report

Updated by: Matt Horwitz on

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)

(check out Northwest vs LegalZoom)

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

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 95% 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 year filing a No Tax Due Report, your LLC’s “accounting year begin date” will be the date it was approved.

You can find this 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.

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.

If the “term expiration date” doesn’t apply, you can leave this blank or write “N/A”.

Owned Entity(s)

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

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.

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.

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.

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