Before you form an LLC or incorporate a business in Texas, it’s important to know your reporting responsibilities in the years to follow. One important ongoing compliance requirement is filing your Annual Report by May 15th each year.
New business entities must file their first Annual Report by May 15th of the year following their year of formation. For example, an LLC formed in December 2024 must file its first annual report by May 15, 2025.
If your Texas corporation or LLC is no longer functioning as a business, you must file a final franchise tax report within 60 days of when you end the operation of your company. This is a necessary part of the process to dissolve a business in Texas.
What you submit with your Annual Report depends on your LLC’s or Corporation’s annualized total revenue.
For Businesses With Annualized Total Revenue of $2.47 Million or Less
The entity must file a Public Information Report (PIR). In previous years, it also had to file a No Tax Due Report.
The Texas Secretary of State requires the following information from business entities registered in or foreign qualified to conduct business Texas:
- Name of the business entity or its file number issued by the state
- Principal business address
- Mailing Address (optional, if different from the business address)
- Names and addresses of all LLC members and managers
- Names and addresses of all directors and officers of a Corporation
- Gross revenue (in Texas only) for the previous year
If anything has changed (such as moving to a new address or adding or removing board members) in the past year, it’s essential to update that information in the report.
For Businesses With Annualized Total Revenue Greater Than $2.47 Million
The entity must file a PIR and Franchise Tax Report. Texas franchise tax applies to net taxable capital or net taxable earned surplus for the previous calendar year — whichever is greater.
Watch Out for Late Fees
If you don’t file your Annual Report by May 15, the state will charge a $51 late fee. And if your business fails to pay any franchise taxes it owes by the deadline, you’ll incur additional penalties.
We Can Help File Your Annual Report
CorpNet can take the guesswork out of the filing process. Our team has experience in filing annual reports in all 50 states, and we can ensure that your annual registration is prepared and e-filed correctly.
