How to File a Texas Annual Report in 2024 - How to Start my LLC

How to File a Texas Annual Report

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Carolyn Young has over 25 years of experience in business in various roles, including bank management, marketing management, and business education.

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For over 15 years, Sarah Ruddle has been a noteworthy leader in the business and nonprofit world.

How to File a Texas Annual Report

How to File a Texas Annual Report

If you have a limited liability company (LLC) in Texas, you must file an annual report to keep your business in good standing. But don’t worry – it’s a relatively painless process that can be done online. 

Read on to learn how to file your LLC’s annual report in Texas.

What Is an Annual Report?

An annual report simply verifies your business information and tells the state of Texas that your LLC is still operating. In addition, keeping up with annual reports is a legal requirement that enables you to obtain a Certificate of Fact Status, which a bank or creditor might request to confirm your compliance. 

In Texas, the following information is required for the annual report: 

How to File an Annual Report in Texas

In Texas, your annual report is filed with your annual franchise tax return. To file your annual report and franchise tax return in Texas, visit the Comptroller’s website and follow the link to the eSystems login. 

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Log in to your account and select “assign taxes/fees.” Next, enter your Texas tax ID number, follow the prompts to enter the required information, and pay your franchise tax. 

Your tax due will depend on the amount of your revenue, and reports are due May 15th. Find instructions on calculating your tax due here.

If You Do Business in Other States

If you do business in other states, be sure to register in those states as a foreign LLC. For example, if your LLC is registered in Texas and you start doing business in Florida, you’ll need to register in Florida as a foreign LLC.

You’re generally required to register as a foreign LLC if:

  • You have a physical presence of any kind in that state 
  • You have employees in that state
  • You regularly meet with clients, managers, or investors in that state
  • You are licensed to do business in that state

Once you’ve registered as a foreign LLC, your business will need to follow the annual reporting requirements of that state and pay taxes in that state. 

In Closing

Filing an annual report in Texas is relatively easy and crucial to smooth business operations.

Failing to file an annual report can result in serious penalties, as can filing an inaccurate report.

Be sure to review all your business information and file your report on time to ensure your LLC remains in good standing.