How to File Texas Franchise Tax No Tax Due Report (w/Income) + Public Information Rep (2023 & prior)
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- Опубліковано 10 чер 2023
- FREE REFUND / WAIVER FORM for Texas Sales Tax and Franchise Tax Late Penalties:
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RESOURCES...
Texas Comptroller Webfile Link:
comptroller.texas.gov/taxes/f... (Webfile)
security.app.cpa.state.tx.us/ (Log In)
Look up your NAICS Code for your business type:
www.naics.com/search/
To Calculate Your Income for the Total Revenue Line: (refer to BOTH forms for instructions)
No Franchise Tax Due Report: (paper version)
comptroller.texas.gov/forms/0...
Long Form Instructions on how to Calculate Income to Report on Franchise Taxes: (paper version)
comptroller.texas.gov/forms/0...
This video is a complete step-by-step video on how to file Texas Franchise Tax and the Public Information Report. It has screen-by-screenshots of the filing process so you can follow along to file your own taxes.
Explained so well. Stay blessed.
Your content is fantastic! Thank you for making this video. You make this so easy to understand! :)
Thank you 😊
UPDATE FOR 2024. Taxable entities with total revenue less than the threshold no longer have to file a quote no tax due report but have to now file a "public/ownership information report". Which is even more simple and straightforward. Wanted to share as I come back to this video once a year. Thank you for making it.
😍 Your support means the world to me!
Yes, glad you've were able to get the update info. I have a video on the changes and filing soon. If you'd like weekly business tips, sign up at www.LomaRisper.com 👍
Great professor 👏🏾👏🏾👏🏾
Thank you 😊
Thank so much, you help me a lot with my business!
Awwww, thank you 😊
Good HELPFUL INFORMATION !!!!!!!!!! THANKS!!!!
Thank you 😊
so helpful! Thank you so much!
Glad to hear that ☺️
@@Loma.Risper WHat address should i mention in director information my business address or residential address? i am foreigner
@@insubject9245 You can use either your business address or residential address based on what address you want the public to be able to see if they looked up your company with the Comptroller public records.
Thanks for the clear explanation. I will have our accountants finish our books as we are late on our franchise tax report... this was very helpful.
Thank you 😊
You are a true blessing. Thank you for your videos. It has helped me to understand better
Awesome 👌
Thank you very much.
Happy to be of service. Let me know if there's any other video topics you would like to see 🙂
THANK YOU ! THANK YOU ! THaNK YOU! THANK YOU! THANK YOU. I will be joining you in the zoom meeting you have. AGain, thank you so much for the clear instructions.
Thank you so much, Jeimy!!! I look forward to meeting you. The next meeting is this Sat. www.LomaRisper.com 😊
Thank you! I followed along and file my first franchise tax! :)
Awesome 👌. You ROCK!
Thank you this gave me the information needed to set up my log in for franchise fee and Sales tax which I hadn't done yet.
Awesome, thx for watching, and thx for your support, Juan! 😀
Thank you kindly for sharing, Huge help! Thanks again. 😊
You're welcome 😊
Thanks so much!!
Thx for supporting me 😃
Best informative video for Franchise Tax assistance
Thank you for your support 😃
Thank you for your in depth information! Should I be receiving an Intent to Forfeit Right to Transact Business even if I just started my business 3 months ago?
Hi, Gabriella. If you registered your business this year, you won't be required to file until next year. I recommend you at least set up your account and assign your account to file Franchise Tax using your Webfile #. This way you won't be scrambling to find that Webfile # to file on time.
Thanks soo much for the help with this form. Mine was a new Veteran owned business but I was still able to file with the help of this video. The only issue I had was getting to this form. You must first 'ASSIGN TAXES/FEES(INCLUDING FRANCHISE) to get to this form. For first year filing, this will not be setup and its a long circle of downloading the PDF version only to be told to file online but no where to file report, UNLESS, You must first 'ASSIGN TAXES/FEES(INCLUDING FRANCHISE) to get to this form. No video explains that. Once you do that, you can follow your AMAZING video to completion. Thanks again.
Thank you so much for your feedback and for sharing your experience. I actually am working on the video to set up a new esystems account and how to Assign the applicable tax. My previous Sales Tax YT video explains a little bit about the process, but I plan to make an updated video to show how to do that.
On another note, did you already go through the process to get verified as a veteran and take advantage of the 5 year exemption or the free/refundable state formation filing fees?
Yes, they had me on record as a Veteran owned Business but I still needed to fill this form I was told.@@Loma.Risper
Thank you for this video. Clear and concise! I wish I found it sooner. At the comptroller site Filing now for 2023 and it shows this: Beginning with reports due in 2024, taxable entities with annualized total revenue less than or equal to the no tax due threshold are no longer required to file a No Tax Due Report but must still file a Public/Ownership Information Report. Note that the threshold applies to the annualized total revenue of a combined group, not to the individual members of a combined group. What does this mean? Can you assist please? With infinite gratitude.
Thank you, Nathalie ☺️
If you made less than $2.47 million, you only have to file the Public Information Report!
I will be posting a video on the changes and how to file soon. You can sign up for my weekly business tips to get notified at www.LomaRisper.com
Thank you ❤ you are god send lol
Thx, Krystal 😀. I hold a group mentoring Zoom call once a month to answer Texas Entrepreneur's tax and business questions if you need help with anything else. www.lomarisper.com/businessbossmembership
question the letter TX Notice of intent to Forfeit right of transact business says report year 2023 Annual esimated tax 1152.00 he opened this business Nov 2022 , did i use the correct accounting year i entered 01/01/2022 - 12/31/2022? I did pay the 50.00 late already thank you
Deborah, sounds like you filed it right 👍. They do call it a 2023 return for Jan 1 - Dec 31.
This was great!! I was confused as to what the franchise tax was. It has to be file every year only once the franchise one right?
Yes, exactly! Once per year by May 15th or the next business day if the 15th falls on a weekend or holiday.
You are AMAZING! Thank you for this! I just have 1 question. Once I filed the report, it gave me an amount due and also a note that nothing is due. Confusing
You are so sweet, thank you, Alma!
Were you filing for a return that was due May 2024 or a previous year?
I'm confused on what to put for the accounting years. Do I put 2022 or 2023?
If you're filing the 2023 Franchise Tax Return, you put Jan. 1, 2022 to Dec. 31, 2022. The Comptroller labels their Tax returns a little differently from the IRS.
Hope this helps 🙂
Hi Loma, for those of us that haven't filed income taxes yet (have an extension), where should we get gross income from? Profit/Loss report from our bookeeper? Do we have to have our taxes filed in order to obtain this info?
Hi, Mayra. If you're filing for a past due Franchise Tax Return, you will need the accurate number that would end up on your tax return. If you're not sure, I wouldn't advise guessing. If your bookkeeper has the exact number you know for sure that will go on your final tax return, then you can use that.
If you're filing a Franchise Tax Return that is due this year (2024), you only need that information if you reached the $2.47 million threshold. If you made less than that, you'll just file the public information report.
If this was helpful and you want more free business tips, sign up at www.LomaRisper.com 👍
Nice video
Thank you!
Thank you so much for putting this together. When i follow the steps above i get the following error" Error - The reporting entity and at least one additional affiliate must be included on the Affiliate Summary" Any ideas on what i am doing wrong?
Did you answer NO to the 3 questions at the beginning of the filing process?
I didn’t file for franchise tax so I got a notice letter of intent to forfeit…
I just filed franchise thanks to your video although I only pay $50 late fee instead of the estimated amount tax due they sent me (1k plus penalty fee and interest.)
How can I pay total due written on my notice letter I don’t want them to shut down my company
Also I check my account status, it says my business is valid for most business transactions but is not sufficient for filling, how can I obtain a certification for filling with the Secretary of State Texas ?
I would really appreciate your response thank you!!
Hi, Yalexia! Looks like you have a few different questions...
Once you filed and paid the $50, you complied with filing which is all the Comptroller wanted when they mailed that scary estimate to you.😉
When you check your account status, you should see it says "This page is valid for most business transactions...". It's the same message that shows for all the companies you look up. It's not company specific.
If you want a Certificate of Filing, follow the instructions at www.sos.state.tx.us/corp/copies.shtml
Hope that helps you feel better to know you're good to go 👍
Yes! I also got that scary $1K Intent to Forfeit letter that prompted this video search. $50 stupid tax for being late instead of $1,152.56 is so much better. @@Loma.Risper
Hey question, if I started my business in November 2023 and we started collecting payments in December 2023 but spent more than we made, would that be considered zero income? I got a letter in the mail with state and local taxes, but we didn’t buy any products tax free, we are a service base business
It sounds like you're asking about two different types of taxes.
Franchise Taxes - If you made any income, regardless of expenses, use the instructions in this video to file your annual return. As long as you made less than $1.2 million, you won't owe anything, but you must file.
Sales Tax - If you have a sales tax permit, you have to file. If you don't sell products and only sell services, check to see if that service is taxable. If it is taxable, charge your customers, file your sales tax returns, and send the Comptroller the tax you collected.
If your service is not taxable and you have a sales tax permit, you may need to close your account because as long as your sales tax account is open, you have to file to stay in compliance.
Is the agent the Llc owner?
Hi, Angelica. When you registered your LLC with the TX SOS, you would have assigned your Registered Agent. If you didn't pay a service provider for to be it, then you may have decided to be your own Registered Agent. If you don't have your original paperwork, you can search your for LLC online to see who the Registered Agent is. Here's the link to search:
mycpa.cpa.state.tx.us/coa/
Hope this helps 🙂
What if I made less then $100 last year , I still file my taxes with my tax guy, and joint.
this year in February I went to a festival and sold $70 dls …. So I’m paying more then what I made?
Own by 1 person myself , im the employee , the seamstress.
Hi, Sandra. If you have an LLC, you have to file your Franchise Tax return every year. If you make less than $1.2 million, you won't owe any taxes, BUT you still have to file.
I think when you mentioned you file joint with your tax guy, you were talking about your IRS Income Tax return. On the IRS tax return, you can provide your expenses to offset your income and reduce your tax due (or not have to pay any tax if you have a net loss). But this is separate from the Franchise Tax return.
Hope this helps you 😊
Hi! For reports due on May 2024, do we only report Public Ownership? It says I don't have obligation for 2023 when I chose the "No Tax Due". Thank you!
Yes, that's correct!👍 I will be posting a video on this soon. Sign up for my weekly business tips to get notified at www.LomaRisper.com 😊
@@Loma.Risper Thank you!!!
Hello, for franchise tax---you mean sale all over the country or only for texas sale?
It's requires income information from your IRS Federal Tax return.
Hello loma,
I just opened my business in January of 2023 and I received a letter from the Texas comptroller on May 15, 2023. Just moving my business from Michigan I kicked the can down the road ... I knew better. Months later of procrastination ... On July 28th, I received a notice of Intent to Forfeit Right to Transact Business and received an estimated taxes due of $1,152. If I haven't filed taxes for the 2023 tax season federally, what information do I pull from to complete the forms/ e-file? What are my steps or course of action. Please help!!
Hi, Rachel! I was a bit confused when you mentioned you opened your business in Jan. 2023 and received the forfeiture letter, so I took a quick look at your LLC on the Comptroller's website and saw you registered your business in Dec. 2022 and that explains why you would have been required to file by May 17th this year (normally every May 15th unless it's a weekend or holiday).
With that said, if you've already set up your eSystems Webfile log in, log in. If you don't see File and Pay Franchise Tax, you may need to scroll down to Popular Services: Assign Taxes/Fees, enter your taxpayer number from the letter, enter the Webfile number they assigned you in that letter, and agree to add the franchise tax acct to your profile.
Once you see the File and Pay Franchise Tax option on the main screen, click and choose No Tax Due and follow the instructions in my video (Zero Income). You'll have to pay a $50 late filing fee, but then you'll be caught up and just need to add to your calendar to file next year. Make sure you file your regular IRS income tax return beforehand because you will need the information from there to file next year (watch my other Franchise Tax video that shows how to file with Income).
Hope this helps!
@@Loma.Risper Thank you so much for your thorough reply. I greatly appreciate your time! This was a huge help to me. :)
@@Loma.Risper I have the same thing happen to me where I received a notice of Intent To Foreit Right to Transact Business on July 28th. Would I have to pay the $1000+ taxes due as stated or just the $50 penalty charge only?
@@asmamohammad4209 You won't have to pay the $1k. All you have to do is file as normal, and it will only prompt you to pay the $50 penalty.
Thank you so much!! @@Loma.Risper
I formed my multi-member LLC in January 2023. Why did I get a notice to file franchise tax, since 2023 is not over yet?
What's your LLC's name?
Centex Cheetahs LLC@@Loma.Risper
I'm sorry for the late reply. Your message must have gotten buried.
I looked up your LLC and saw the Effective SOS Registration Date is 12/23/2022. That's why they want you to file this year for last year.
Hope this helps.
Yeah, I eventually figured that out. Thanks for taking a look.@@Loma.Risper
What about foreign entity
I'm afraid foreign entity filings are outside my scope of experience. I'm sure the Comptroller's office would be happy to answer any questions you have on filing for a foreign entity.
Hello..
Hi 😊
We need to file the US tax for our company, Kindly do the needful.
Hi. I'm working on a video to show how to file business federal IRS taxes. To get notified when that video is posted, sign up for my business tips at www.LomaRisper.com
Do I still have to file franchise tax this year by May? if I established my LLC February of 2024?
If you registered your LLC this year, no, you don't have to file until next year. When you set up your online account and connect it to your Franchise Tax webfile #, you should be able to see whether there is a return that needs to be filed.
@@Loma.Risper Thank you Loma! Appreciate for the information and video!
Also, starting this year if you make less than $2.47 million, you only have to file a Public Information Report to stay in compliance. I have a new UA-cam video I will be posting soon explaining the details. Sign up for free business tips at www.LomaRisper.com
What is a registered agent?
Hi! A registered agent is a company or person who has a physical address that they are actively located at and ready to receive official (court) documents like if a company was being sued. They have to be available during standard business hours. This is a legal requirement to have one to keep your LLC.
You can choose to be your own registered agent and use your own home address, but most people don't want their home address listed publicly for their business.
You can hire a company like Texas Registered Agent for $35/year to provide this service and use their address instead of your home address.
How do you do Multiple members?
Hi, Stacy. The IRS treats multi-member LLCs as partnerships (unless you filed to be treated like a Corporation), so you would follow the Partnership instructions for calculating the income to report on the franchise tax report. Start at the 9 min mark of the video and read the screenshots for the specific instructions pertaining to partnerships if that applies to your situation. Hope this helps 🙂.
Here's the IRS link for more info:
www.irs.gov/businesses/small-businesses-self-employed/llc-filing-as-a-corporation-or-partnership
Hi, Loma. I used to ask CPA help to file Franchise Tax each year (No tax due report). But when I am trying to follow your video to file myself, the system gives me "No Period obligations found for taxpayer", please advise!
It's possible the CPA already filed it. In your account, you should be able to see the history of previous filings and transactions.
Thanks for your prompt reply! Is it also possible the official cancel the reporting "No Tax Due Report" this year? I just notice the webfile login website announcement of "No tax due reports are no longer available or required for reports due Jan. 1, 2024, and later. ". Do you have any idea of that? @@Loma.Risper
I did see that update. The Comptroller wording was a bit confusing, so be on the look out for a video from me soon on the details of the new rules.
Yeah! We really need some detailed explanation of new rules! Thanks for doing that! @@Loma.Risper
You can also sign up to get weekly business tips like this from me at www.LomaRisper.com
What is the registered agent?
Hi, Rhianna.✨️ The registered agent is the person or company you chose to receive your important mail like if you were ever served court documents. Look at your original documents you filed to set up your LLC with the Texas Secretary of State. It would be there.
Just a note, if you need to put a different registered agent than what you put on the original document, you'll need to file a change of registered agent with the TX SOS.
If this was helpful, sign up for my free weekly business tips at www.LomaRisper.com 😊
So if you have business revenue from 2022 and 2023 which do you report as total revenue?
You would file your 2022 Revenue on the 2023 tax return. Your 2023 Revenue would be filed on the 2024 tax return next year.
@@Loma.Risper and just to be clear this is for the Franchise Tax, right.
Yes, that info is specifically for Franchise Taxes.
@@Loma.Risper thanks. And when they ask for total revenue they are asking for “net income” right. NOT “gross income.”
You will want to watch the video starting at the 8-minute mark to figure out how much to put in the Total Revenue section. You'll need your federal tax return for this part.
How do I pay you to do all of this for me , cuz after 1 minute in I got lost and confused 😂
Oh goodness :) Is there anything in particular you got stuck on?
I actually hold a monthly Zoom call where I answer tax and business questions if asking me on a video call would make you more comfortable filing your taxes. Here's the link to sign up if you're interested: www.lomarisper.com/businessbossmembership
If there's anything I could have done better, please let me know:)