Texas LLC Cost Calculator & 5-Year Taxes
Initial state filing fee: $300. Ongoing annual report fee: $0 (none). No state franchise tax.
Check if your LLC name is taken on official Texas database
Every LLC name must be legally distinguishable on state records. Perform a free corporate name lookup on the official Texas Secretary of State (SOSDirect) registry before submitting your $300 Articles of Organization.
How Much Does an LLC Cost in Texas?
An LLC in Texas costs $300 to form (one-time state filing fee) and $0 per year in none report fees. The estimated total 5-year cost is $495, including state fees, annual reports, and registered agent service.
| Fee Component | Statutory Cost | Frequency | Due Date / Requirement | Recipient Entity |
|---|---|---|---|---|
| Articles of Organization (Filing Fee) | $300 | One-time | Upon LLC formation | Texas Secretary of State (SOSDirect) |
| Periodic Annual / Biennial Report | $0 | none | Due May 15 annually (No Tax Due Information Report) | Texas Secretary of State (SOSDirect) |
| State Franchise Tax / Entity Fee | $0/yr | Annual | Annual tax schedule | State Tax Department |
| Registered Agent Service | $0 (Self) or $39–$125 | Annual | Continuous requirement | Appointed agent / Commercial service |
| Operating Agreement & Federal EIN | $0 (Free) | One-time | Internal record / IRS issuance | Internal Company Record / IRS |
| Total Minimum Initial Formation | $300 (State statutory fees to open LLC) | |||
Texas LLC 5-Year Cost Model
TXChoose a state and assumptions. Your five-year estimate updates instantly.
Future years assume today's reviewed rates remain unchanged. Historical estimates are not enabled because older rules have not been fully verified.
This estimate covers liabilities incurred in five taxable years (2026–2030), even when payment is due later.
Future years use an unchanged-current-law assumption. Income tax, legal advice, penalties, and unselected optional services are excluded.
Initial formation fee ($300) + registered agent
No annual report fee
Estimated liability for the selected inputs and disclosed scope in Texas.
Five taxable years by cost category(Click any year to inspect)
Select a year to inspect its included liabilities and applicable tax due date.
Tax year 2026 included items
Total: $3395-Year Budget Allocation by Cost Category
Save on your Texas filing fees & protect your personal privacy
Pro Tip: Filing directly through the state exposes your personal home address on public government records forever. You can keep your private details off the public registry and save time by using a top-rated Registered Agent service starting at $39 + state fees.
Open a zero-fee business checking account for your Texas LLC
Separate your business finances immediately to preserve limited liability corporate veil protection.
Texas LLC Statutory Framework & Compliance Guide (2026)
Statutory requirements and fee schedules under the Texas Secretary of State (SOSDirect).
Texas Franchise Tax & Business Privilege Tax Rules
Texas Franchise Tax has a 'No Tax Due' threshold of $2.47M revenue. Entities making under $2.47M pay $0 tax, but must file a mandatory PIR / No Tax Due report annually.
| Revenue Threshold | Description / State Fee Assessment |
|---|---|
| $2,470,000+ | Gross Revenue under $2,470,000: $0 (No Tax Due) |
| $10,000,000+ | Gross Revenue $2.47M - $10M: ~0.375% wholesale/retail or 0.75% other on margin |
Advantages of a Texas LLC
- 0% personal state income tax
- Enormous powerhouse economy (Austin, Dallas, Houston)
- $0 franchise tax for 95%+ of businesses under $2.47M revenue
Drawbacks & Hidden Costs
- High initial filing fee ($300)
- High foreign LLC filing fee ($750)
- Public member reporting on PIR
Founder Pro-Tip for Texas
Even though you owe $0 if revenue is under $2.47M, you MUST submit the Public Information Report (PIR) by May 15 or forfeit your charter.
Step-by-Step Texas LLC Formation Checklist (2026)
Choose an Available Entity Name
Must include "LLC", "L.L.C.", or "Limited Liability Company" and be distinguishable on the Texas Secretary of State (SOSDirect) registry.
Appoint a Texas Registered Agent
Must have a physical street address in Texas (no P.O. boxes) to receive official service of process during regular business hours.
File Articles of Organization ($300 State Fee)
Submit electronically to the Texas Secretary of State (SOSDirect). Approval is typically granted within 2-4 business days online (SOSDirect).
Execute an Operating Agreement & Obtain Federal EIN
Establish member capital contributions, voting rights, and obtain a free 9-digit EIN from IRS.gov for business checking accounts.
Maintain Ongoing Legal Good Standing (May 15 annually (No Tax Due Information Report))
Submit the none report with the $0 fee to prevent automatic forfeiture or late fee assessments.
Texas LLC Cost FAQ
Common questions about forming and maintaining an LLC in Texas.
How much does it cost to start an LLC in Texas?
The state filing fee to form an LLC in Texas is $300, paid to the Texas Secretary of State (SOSDirect) when you file your Articles of Organization. With a registered agent service ($39–$125/yr), expect to pay approximately $339 in your first year.
What is the Texas LLC filing fee for 2026?
The Texas LLC filing fee is $300. This is a one-time fee paid to the Texas Secretary of State (SOSDirect) to register your Articles of Organization. Expedited processing is available for an additional $25. Normal processing time is 2-4 business days online (SOSDirect).
What are the annual fees for an LLC in Texas?
Texas charges a none report fee of $0, due May 15 annually (No Tax Due Information Report). There is no state franchise tax for standard LLCs in Texas, making ongoing costs relatively low.
How much does it cost to maintain a Texas LLC per year?
The annual cost to maintain a Texas LLC includes the none report fee ($0), and a registered agent ($39–$125/yr). Over 5 years, the estimated total cost is $495.
Does Texas have a franchise tax for LLCs?
Yes. Texas imposes a franchise tax on LLCs: Texas Franchise Tax has a 'No Tax Due' threshold of $2.47M revenue. Entities making under $2.47M pay $0 tax, but must file a mandatory PIR / No Tax Due report annually. The minimum annual franchise tax is $0.
Can I form an LLC in Texas if I live in another state?
Yes, you can form a domestic LLC in Texas regardless of where you live. However, if your principal business operations are in a different state, you will also need to register as a Foreign LLC in that state. In Texas, foreign LLC registration costs $750 plus $0/year in ongoing fees — often resulting in paying double.
Compare Texas with Rival & Neighboring States
Evaluating formation options? Review fee structures in competing jurisdictions: