Texas Corporation Filing Fees and Requirements
Bizee breaks down the filing fees and requirements for forming a corporation in Texas — Certificate of Formation cost, annual report rules, EIN, and more.
Bizee Editorial Staff
Editorial Team
State data table
Filing fee: $300 (Certificate of Formation, for-profit corporation)
Processing time: Standard: 3–5 business days via SOSDirect; expedited options available for an additional fee
State agency: Texas Secretary of State
Annual report due: Texas does not require a traditional annual report. Corporations file a Public Information Report (PIR) with the Texas Comptroller annually, due May 15.
State tax rate: Texas has no corporate income tax. Corporations are subject to the Texas Franchise Tax (margin tax), with rates of 0.75% for most businesses and 0.375% for qualifying retailers and wholesalers. Businesses with annualized total revenue at or below the no-tax-due threshold are exempt.
Texas corporation filing fees and requirements overview
Forming a corporation in Texas requires filing a Certificate of Formation with the Texas Secretary of State and paying a $300 state filing fee. Beyond that initial cost, Texas corporations have ongoing requirements — including a franchise tax filing and a Public Information Report — that differ from what most other states call an annual report.
Texas is one of the more business-friendly states to incorporate in, but the franchise tax structure catches a lot of first-time founders off guard. There's no corporate income tax, but most corporations still owe a margin tax based on revenue.
Certificate of Formation: $300 state filing fee
Employer Identification Number (EIN): free from the IRS
Texas Franchise Tax: due annually, based on margin (revenue minus allowable deductions)
Public Information Report (PIR): filed with the Texas Comptroller, due May 15 each year
Registered agent: required — must have a physical Texas address
Corporate bylaws: required internally, not filed with the state
Business licenses and permits: vary by industry, location, and business type
Certificate of Formation filing fee
The Texas Secretary of State charges $300 to file a Certificate of Formation for a for-profit corporation. This is the document that legally creates your corporation in Texas. You can file online through SOSDirect, the state's business filing portal, or by mail.
Texas allows expedited processing for an additional fee if you need faster turnaround. Standard processing runs 3–5 business days. The $300 fee covers the filing itself — you'll pay separately for any expedited service or certified copies.
Employer Identification Number (EIN)
Every Texas corporation needs an Employer Identification Number (EIN) from the IRS. You'll use it to open a business bank account, file federal and state taxes, and pay employees or contractors. The IRS issues EINs at no cost — you can apply at irs.gov.
Getting your EIN right after formation keeps things moving. Without it, you can't open a business bank account or set up payroll, which means your business can't fully operate.
Texas annual report requirements
Texas doesn't use the term "annual report" the way most states do. Instead, Texas corporations have 2 separate ongoing filing requirements: the Texas Franchise Tax return and the Public Information Report (PIR), both filed with the Texas Comptroller and due by May 15 each year.
The Franchise Tax is a margin tax — calculated on your revenue minus allowable deductions. The rate is 0.75% for most corporations and 0.375% for qualifying retailers and wholesalers. Businesses below the no-tax-due threshold file a return but owe nothing. The PIR is a separate form that updates your corporation's ownership and officer information with the state.
Corporate bylaws and board requirements
Texas corporations are required to adopt bylaws that govern how the business is managed internally. Bylaws aren't filed with the Secretary of State — they're an internal document — but they're legally required and you'll need them to open a bank account, bring on investors, or handle any formal corporate action.
Your bylaws need to cover the board of directors — how many directors you'll have, how they're elected and removed, and how board meetings work. Texas requires at least 1 director. The bylaws also need to designate officers, typically a president, secretary, and treasurer at minimum.
Business licenses and permits
Texas doesn't have a single statewide general business license, but most corporations need at least one license or permit depending on their industry, location, and what they sell. Requirements come from federal agencies, state agencies, and local city or county governments — and they don't always overlap neatly.
Common examples include a sales tax permit from the Texas Comptroller (required if you sell taxable goods or services), professional licenses for regulated industries like healthcare or construction, and local business permits from your city or county. The right combination depends on your specific business.
FAQ
The base cost to incorporate in Texas is $300 — that's the state filing fee for a Certificate of Formation for a for-profit corporation, paid to the Texas Secretary of State. That's the only mandatory upfront state fee to form the corporation itself.
Beyond the $300, you may have additional costs depending on your situation: expedited filing fees if you need faster processing, registered agent fees if you use a third-party service, and any business license or permit fees required for your industry or location.
$300. The Texas Secretary of State charges $300 to file a Certificate of Formation for a for-profit corporation. This fee is paid at the time of filing and is non-refundable. Nonprofit corporations pay a different fee — $25.
Not in the traditional sense. Texas doesn't use the term "annual report" for corporations. Instead, Texas corporations file a Franchise Tax return and a Public Information Report (PIR) with the Texas Comptroller each year, both due by May 15.
The PIR updates your corporation's ownership and officer information. The Franchise Tax return calculates any margin tax owed. Both are required even if your corporation owes no tax.
$300 for a for-profit corporation's Certificate of Formation. The Texas Secretary of State also charges fees for other filings — things like amendments, certificates of correction, and certified copies — but the $300 Certificate of Formation fee is the core cost to form the corporation.
You can file online through SOSDirect, the Texas Secretary of State's business filing portal, or by mail. Online filing is faster — standard processing runs 3–5 business days. You'll need to provide your corporation's name, registered agent information, director details, and the purpose of the business.
No. Texas has no corporate income tax. Instead, most corporations are subject to the Texas Franchise Tax — a margin tax based on revenue minus allowable deductions. The rate is 0.75% for most businesses and 0.375% for qualifying retailers and wholesalers. Businesses below the no-tax-due threshold owe nothing but still need to file.
The state filing fee to form the corporation is the same — $300 for the Certificate of Formation. S Corp status is a federal tax election made with the IRS after the corporation is formed, not a separate state filing in Texas. You file IRS Form 2553 to elect S Corp treatment, and there's no additional Texas state fee for that election.
It depends on your industry, location, and what your business does. Texas doesn't have a single statewide general business license. Requirements come from multiple sources — state agencies, federal regulators, and local city or county governments.
A good starting point is the Texas Secretary of State's office and the Texas Comptroller for a sales tax permit. For industry-specific licenses, check the relevant state agency — the Texas Department of Licensing and Regulation covers many regulated trades. A tax professional or attorney can help you figure out what your specific business needs.
