Texas Business Compliance Deadlines 2026: The Complete Guide for Small Business Owners

Texas gets a reputation as a business-friendly state, and in many ways it is. No state income tax, no mandatory workers' comp, lighter regulations than California or New York. But "business-friendly" does not mean "compliance-free."

Texas still has a franchise tax, sales tax obligations, workforce commission filings, and local license requirements. Miss the wrong deadline and you face penalties, loss of good standing, or even administrative dissolution of your entity.

Here is every major Texas business compliance deadline for 2026.

Texas Franchise Tax Report — Due May 15, 2026

This is the single most important state-level filing for Texas businesses. Every taxable entity doing business in Texas—LLCs, corporations, partnerships, professional associations—must file an annual franchise tax report with the Texas Comptroller.

The no-tax-due threshold: If your total revenue is $2.47 million or less, you owe $0 in franchise tax. But you still must file. Filing a no-tax-due report is required to maintain your entity's good standing.

Due date: May 15, 2026 (for the 2025 tax year)

Penalties for late filing:

• 5% of tax due if filed within 30 days of the deadline
• Additional 10% of tax due if filed more than 30 days late
• Even if you owe $0, failing to file can result in forfeiture of your right to do business in Texas

Public Information Report — Also Due May 15, 2026

The Public Information Report (PIR) is filed together with your franchise tax report. It updates the state on your business's officers, directors, managers, and registered agent information.

There is no separate filing. The PIR is part of the franchise tax report submission through the Comptroller's WebFile system or on paper. Same deadline: May 15, 2026.

If your entity information has not changed, you still confirm the existing details. Skipping the PIR means your franchise tax filing is incomplete.

Texas Sales Tax

Texas has a 6.25% state sales tax, and local jurisdictions can add up to 2%, bringing the combined rate to as high as 8.25%. If your business collects sales tax, you must remit it to the Comptroller on a regular schedule.

Filing frequency depends on your volume:

Monthly Collections	Filing Frequency
$500+ per month	Monthly
$100–$499 per month	Quarterly
Less than $100 per month	Annually

Monthly due date: The 20th of the following month

2026 quarterly due dates:

Quarter	Period	Due Date
Q1	Jan 1 – Mar 31	April 20, 2026
Q2	Apr 1 – Jun 30	July 20, 2026
Q3	Jul 1 – Sep 30	October 20, 2026
Q4	Oct 1 – Dec 31	January 20, 2027

Annual due date: January 20, 2027 (for the 2026 tax year)

Late penalty: 5% of tax due if 1–30 days late, 10% if more than 30 days late. Interest accrues at the current statutory rate.

No State Income Tax — But Do Not Get Complacent

Texas is one of nine states with no individual state income tax and no corporate income tax. This is a genuine advantage.

However, the franchise tax serves a similar purpose for businesses. You still have federal income tax obligations, federal payroll taxes (Form 941, W-2s, FUTA), and potentially local taxes. The absence of a state income tax does not mean there is nothing to file at the state level.

Texas Workforce Commission (TWC) Quarterly Reports

If you have employees in Texas, you must file quarterly wage reports with the Texas Workforce Commission. This is how the state tracks unemployment insurance contributions.

What you file: Form C-3 (Employer's Quarterly Report)

2026 due dates:

Quarter	Period	Due Date
Q1	Jan 1 – Mar 31	April 30, 2026
Q2	Apr 1 – Jun 30	July 31, 2026
Q3	Jul 1 – Sep 30	October 31, 2026
Q4	Oct 1 – Dec 31	January 31, 2027

Penalties: If you fail to file or pay on time, TWC can assess penalties and interest. Repeated late filings can also increase your unemployment tax rate, costing you more per employee going forward.

Workers' Compensation — Optional in Texas

Texas is one of the few states where workers' compensation insurance is not mandatory. Employers can choose to be "non-subscribers" and opt out of the state workers' comp system.

However, there are trade-offs:

• Non-subscribers lose many common-law defenses against employee injury lawsuits
• Subscribers get protection from most negligence lawsuits related to workplace injuries
• Some industries (like construction for government contracts) may require coverage regardless

If you do carry workers' comp, keep your policy active and set a reminder before your renewal date. If you opt out, make sure you understand the legal exposure and have proper documentation of your non-subscriber status.

Business Licenses — City and Industry Specific

Texas does not have a statewide general business license. Licensing requirements vary by city and industry.

Common examples:

• Houston: No general business license, but specific permits needed for food service, alcohol, contractors, etc.
• Dallas: Business registration may be required depending on industry.
• San Antonio: Some businesses need a city operating license. Food establishments require health permits.
• Austin: Food trucks, short-term rentals, and alcohol-serving establishments need city permits.

Check with your city clerk or county office to confirm what applies to your business.

Assumed Name (DBA) Renewal — Every 10 Years

If you operate under a name different from your legal entity name, you file an assumed name certificate (DBA) with your county clerk and optionally with the Secretary of State.

In Texas, assumed name certificates expire after 10 years. If you filed your DBA in 2016, it will need to be renewed in 2026.

This is an easy one to forget because it only comes around once a decade. But if your DBA lapses, you may lose the legal right to conduct business under that name in your county.

Your 2026 Texas Compliance Calendar at a Glance

Deadline	Frequency	Due Date
Franchise Tax Report	Annual	May 15, 2026
Public Information Report	Annual	May 15, 2026
Sales Tax	Monthly/Quarterly/Annual	20th of following month
TWC Wage Report (Form C-3)	Quarterly	End of month after quarter
DBA Renewal	Every 10 years	Based on filing date
City Business License	Varies	Varies by city

How NeverFined Helps Texas Business Owners

Texas may not have as many filings as some other states, but the ones it does have carry real consequences. A forgotten franchise tax report can lead to your LLC being terminated by the state. Late sales tax filings compound with interest and penalties month after month.

NeverFined builds a personalized compliance calendar for your Texas business based on your entity type, industry, employee count, and location. You get automatic reminders 30, 7, and 1 day before each deadline so nothing falls through the cracks.

Start your free trial and keep your Texas business in good standing.