If your entity’s annualized total revenue is at or below $2.65 million, you owe no Texas franchise tax for the 2026 report, but you generally still have to file a Public Information Report (PIR) or Ownership Information Report (OIR). The annual franchise tax report is due May 15, or the next business day if May 15 falls on a weekend or holiday.
“No tax due” is not the same as “no filing required.” Missing the filing is what triggers the Comptroller’s forfeiture notices.
Quick answer: what do you file?
| Your situation | What you file |
|---|---|
| Annualized total revenue at or below $2.65 million | PIR or OIR only |
| Above the threshold, but zero Texas gross receipts | E-Z Computation Report or Long Form, plus a PIR or OIR |
| Passive entity | E-Z Computation Report or Long Form (no PIR or OIR) |
| Above the threshold with Texas gross receipts | E-Z Computation Report or Long Form, and the tax is calculated and paid |
Next deadline: the Comptroller’s rate table covers report years 2026 and 2027, so the $2.65 million threshold is the same for the 2027 report. May 15, 2027 falls on a Saturday, and under the Comptroller’s next-business-day rule for weekends and holidays the report should then be due Monday, May 17, 2027. The Comptroller’s pages had not published a 2027 due date when we last checked, so confirm the date on its site before you file.
Worked example (illustration only): a Texas LLC with $1.4 million in annualized total revenue is below the threshold. It owes no franchise tax, and it files a PIR or OIR by the due date. If the same LLC grows to $3.2 million, it is above the threshold and moves to the E-Z Computation Report or the Long Form, and it calculates tax.
What is the no tax due threshold?
The Texas Comptroller’s rate table for report years 2026 and 2027 lists:
- No tax due threshold: $2,650,000
- Tax rate, retail or wholesale: 0.375%
- Tax rate, other than retail or wholesale: 0.75%
- Compensation deduction limit: $480,000
- E-Z Computation total revenue threshold: $20 million
- E-Z Computation rate: 0.331%
Franchise tax rates, thresholds, and deduction limits vary by report year, so use the rate for the year you are filing.
What changed: no more No Tax Due Report
For reports due on or after January 1, 2024, an entity with annualized total revenue at or below the no tax due threshold is not required to file a No Tax Due Report. The Comptroller states the No Tax Due Report is not available for 2026 reports. The entity is still required to file a PIR or OIR.
Who still files a PIR or OIR?
According to the Comptroller:
- Entities at or below the threshold file the PIR or OIR only.
- Entities above the threshold with zero Texas gross receipts must file either the E-Z Computation Report or the Long Form, and must also file a PIR or OIR.
- Real estate investment trusts meeting the Tax Code qualifications must file either the E-Z Computation Report or the Long Form, and must also file a PIR or OIR.
- Passive entities must file either the E-Z Computation Report or the Long Form, but are not required to file a PIR or OIR.
- Pre-qualified new veteran-owned businesses are not required to file a No Tax Due Report for their first five years, and are not required to file a PIR or OIR during that period, as long as they continue to qualify.
What happens if you don’t file?
The Comptroller sends notices when filing requirements are missed:
- Form 05-211, Notice of Intent to Forfeit Right to Transact Business. It means the entity failed to meet 2026 franchise tax filing requirements. To resolve it, you must file and pay the 2026 franchise tax report and pay late filing penalties and interest. If you are at or below the threshold, you simply file the 2026 PIR or OIR.
- Form 05-213, Notice of Forfeiture of Registration. It means the entity failed to meet 2025 franchise tax filing requirements, and you must file the 2025 report and pay any tax, penalty, and interest.
Because a forfeited registration can cost an entity its right to do business in Texas, it is worth putting May 15 on your compliance calendar every year.
How do you file?
The Comptroller offers online filing through Webfile and downloadable PDF forms for the PIR or OIR only, E-Z Computation, Long Form, extension, and payment. The report information and instructions are on the Comptroller’s 2026 franchise tax forms page.
Put the date where you’ll see it
This is one of several dates a Texas business has to track along with sales tax and payroll tax. If you’d like help keeping them on one calendar, see how RazaPro supports Texas businesses or book a free consultation.
This article is general information, not legal or tax advice. Confirm your entity’s requirements with the Texas Comptroller.
Last checked against the Texas Comptroller’s franchise tax pages: September 29, 2026. Updated October 3, 2026 with the next due date and a quick-answer table.