What happens if I file my Texas LLC annual report late?

Which penalty applies depends on which report you were required to file. If your LLC is at or below the $2,650,000 no-tax-due threshold for 2026, it files only the Public Information Report, and Texas doesn't charge the $50 late-filing penalty on a late PIR. If you are above the threshold and file the franchise tax report after May 15, the Comptroller charges a flat $50 late-filing penalty even when no tax is owed, plus 5% of any tax owed at 1 to 30 days late and 10% more than 30 days late. Interest on unpaid tax starts accruing on the 61st day after the due date, and ignoring a Notice of Tax Due adds a further 10% penalty, for 20% in total. The practical consequence is compounding cost: a $5,000 franchise tax liability filed more than 30 days late means a $500 penalty plus the original tax and the $50 late-report penalty. Beyond the money, continued non-filing lets the Comptroller forfeit your LLC's right to transact business in Texas, which bars it from suing or defending in Texas courts. Restoring it means getting a tax clearance letter from the Comptroller, which requires every past-due report and any tax, penalty, and interest to be settled, then paying $75 to the Secretary of State on Form 801 to set aside the tax forfeiture, or Form 811 if the entity was involuntarily terminated or its registration revoked. The Comptroller signals this first with Form 05-211, the notice of intent to forfeit, then Form 05-212, the notice of forfeiture. A foreign entity's Texas registration is forfeited on Form 05-213 instead. Submit your report by May 15 through the Comptroller's eSystems portal at comptroller.texas.gov. Texas has no Secretary of State annual report for LLCs, so the Comptroller filing is the one that matters.

Do I need to worry about Texas franchise tax as a new LLC?

Most new Texas LLCs won't owe franchise tax, since it applies only to businesses with annualized total revenue exceeding $2,650,000 for the 2026 report year. You must still file Form 05-102, the Texas Franchise Tax Public Information Report, by May 15 each year with the Comptroller, even at $0 tax due. The No Tax Due Report (Form 05-163) was discontinued for the 2024 report year and later, and below-threshold LLCs are no longer required to file a franchise tax report at all. A late Public Information Report does not carry the $50 penalty. That $50 is charged per late franchise tax report, which only above-threshold LLCs file, and it applies even when no tax is due, on top of 5% of any tax owed at 1 to 30 days late, 10% beyond that, and a further 10% (20% in total) if you ignore a Notice of Tax Due. As your business grows toward $2,650,000 in revenue, watch the threshold: if your report covers a full 12 months the Comptroller simply compares your total revenue to it, and if the period is shorter or longer you annualize by dividing revenue by the number of days in the period and multiplying by 365. Mark May 15 on your calendar and keep a quarterly revenue tracker so the crossing doesn't surprise you.

Can I be my own registered agent for my Texas LLC?

Yes, you can serve as your own registered agent for your Texas LLC if you maintain a physical street address in Texas and are available during business hours to receive legal documents. The Secretary of State requires the registered agent address to be a real street address rather than a P.O. Box, and you have to act promptly on service of process, including lawsuits and regulatory notices. Many Texas LLC owners use professional registered agent services instead, because a missed legal notice can end in a default judgment. If you travel frequently, work remotely, or run several businesses, a service reduces the chance that something important is left on a doorstep. You name the registered agent on the Certificate of Formation, Form 205, when you file with the Secretary of State. If the agent or the address changes, file a statement of change with the Secretary of State promptly and check the current fee schedule for that filing, since it is priced separately from the $300 formation fee.

How do I file my Texas LLC annual report online?

You file through the Texas Comptroller's eSystems portal at comptroller.texas.gov, not through the Secretary of State. Texas has no Secretary of State annual report for LLCs at all. Log into eSystems with your taxpayer number, complete Form 05-102, the Texas Franchise Tax Public Information Report, and report your business address, registered agent, and member information. LLCs with annualized total revenue at or below $2,650,000 for the 2026 report year owe no franchise tax and, since the 2024 report year, are not required to file a franchise tax report, but they must still file the Public Information Report. Filing is free and due by May 15, and the Comptroller notes that if May 15 falls on a weekend or holiday the due date moves to the next business day. A late Public Information Report does not carry the $50 penalty; that applies to a late franchise tax report, which only above-threshold LLCs file, along with 5% of any tax owed at 1 to 30 days late and 10% beyond that. Continued non-filing can still lead to forfeiture of your LLC's right to transact business in Texas, so gather your Certificate of Formation and current member details and file before May 15.

Compliance · TX

Texas LLC Annual Compliance Requirements (2026)

Everything your Texas LLC must do to stay in good standing, annual report deadlines, registered agent rules, and state-specific obligations.

First-Year Total$300

Annual Ongoing$0/yr

vs National Avg+ $67.97

By Edmond Hui · Last updated: August 22, 2026

Texas offers a business-friendly environment for LLC owners, with no personal income tax and a compliance calendar that has exactly one recurring date on it. The Secretary of State charges $300 to file a Certificate of Formation (Form 205), one of the highest flat formation fees in the country and about $68 above the national average for first-year cost, and credit card payments add a statutory 2.7% convenience fee, roughly $8.10 on that $300. What sets Texas apart is that there is no Secretary of State annual report at all. The recurring filing is with the Comptroller: a Public Information Report due May 15, with no filing fee, plus a Franchise Tax Report only if annualized total revenue exceeds $2,650,000 for the 2026 report year.

Texas LLCs benefit from operating in one of the nation's largest economies, with major business hubs in Austin, Dallas, and Houston driving growth in technology, energy, and healthcare. The state's population is among the fastest growing in the country, which keeps creating openings for entrepreneurs across housing, services, logistics, and consumer technology. Understanding the Texas-specific requirements, including registered agent obligations and the Comptroller's distinctive threshold rules, will help you stay in good standing while taking advantage of the Lone Star State's pro-business climate.

Stat card for Texas LLC compliance costs: $300 unavoidable first-year total and $0 recurring each year after, +$67.97 against the $232.03 national first-year average. Its annual report costs $0. — First-year total bundles the state filing fee with any report or entity tax due in year one; the recurring figure is what Texas costs every year after that. Source: Texas's published filing requirements and fee schedule, verified July 2026; national average from MyStateLLC's 50-state compliance dataset.

Annual Report Requirements

Due: May 15 (Public Information Report, plus a Franchise Tax Report only if above the no-tax-due threshold, filed with the Texas Comptroller. Texas has no separate Secretary of State annual report)

Fee: $0 filing fee; LLCs at or below the $2,650,000 (2026) no-tax-due threshold owe $0 franchise tax and, since 2024, aren't required to file a franchise tax report. They file only the Public Information Report

Frequency: annual

How: Online via Texas Comptroller's eSystems portal (preferred) or mail

Full Texas Annual Report Guide →

Registered Agent Requirements

Understand Texas registered agent rules, compare your options, and choose the best solution to keep your LLC compliant with state law.

Texas Registered Agent Requirements →

Late Filing Penalties

Penalty: No $50 penalty for a late Public Information Report (typical small LLCs); the $50 late penalty applies to franchise tax reports, required only above the $2.65M threshold. The $50 franchise-tax-report penalty applies even when $0 tax is due; if franchise tax IS owed, add 5% (1 to 30 days late), 10% (more than 30 days late), plus interest

Texas Late Fee Guide →

Texas-Specific Compliance Considerations

Franchise Tax Requirements

Texas imposes a franchise tax on LLCs with annualized total revenue exceeding $2,650,000 for the 2026 report year, computed on taxable margin at one of two rates: 0.375% for entities primarily engaged in retail or wholesale trade, and 0.75% for everyone else. There is no graduated scale between the two. At or below the threshold the tax is $0, but the Comptroller still requires the Public Information Report by May 15, so growing businesses should watch the threshold rather than the tax bill.

No Publication Requirement

Unlike states such as New York or Arizona, Texas doesn't require LLCs to publish formation notices in local newspapers. This saves significant costs and simplifies the startup process for new business owners.

No Fee for the Annual Filing

Texas charges no fee for the Public Information Report filed through the Comptroller's eSystems platform by May 15, and there is no Secretary of State annual report for an LLC. A late Public Information Report does not carry the $50 penalty, which applies to a late franchise tax report, required only above the $2,650,000 threshold and charged even when $0 tax is due. Filing on time still matters, because continued non-filing leads to forfeiture of the right to transact business in Texas. Undoing that takes a tax clearance letter from the Comptroller followed by a $75 reinstatement filing with the Secretary of State, Form 801 to set aside a tax forfeiture or Form 811 after an involuntary termination or revocation.

Flexible Operating Agreement Rules

Texas law gives members wide latitude in structuring what it calls the company agreement, the Texas term for an operating agreement, and does not require you to file it with the state. The Texas Business Organizations Code favors contractual arrangements and member autonomy over rigid statutory defaults, so most governance questions are settled by whatever the members write down.

Frequently Asked Questions

Edmond Hui · Founder, MyStateLLC

Edmond Hui is a software engineer and serial entrepreneur based in New York who has founded multiple online businesses across e-commerce, media, and information publishing. Before transitioning into tech, he spent years as a commercial real estate professional closing deals totaling over 100,000 square feet, giving him firsthand experience with business formation and entity structuring. He built MyStateLLC to provide the free, state-specific LLC guidance he wished existed when forming his own companies.