Texas Franchise Tax — Who Files, the No-Tax-Due Threshold, and Which Form
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**Summary:** Every taxable entity formed or doing business in Texas has an annual franchise tax filing obligation due May 15, but most small businesses owe no tax: for report years 2026 and 2027 an entity with annualized total revenue of $2,650,000 or less owes nothing and files only an information report. Above that, revenue up to $20 million may use the EZ Computation at a 0.331% rate; larger entities (or those wanting margin deductions) file the long form at 0.375% (retail/wholesale) or 0.75% (other). Applies to franchise tax report years 2024–2027; figures verified against the Texas Comptroller on 2026-07-10.
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