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Texas LLC true cost (2026)

Research dated 2026-09-06 (Pacific/Honolulu). Fees from Texas Secretary of State (formation); Texas Comptroller of Public Accounts (franchise tax/PIR) materials. Confidence: high. Re-verify before you file.

Texas state side: $300 formation filing, $0 for Franchise tax / Public Information Report in the 3-year model, ~$300 state fees over three years (methodology below) — #30 of 51 on the cheapest-states ranking. Provider markup is separate — use the table for formation/RA path + state fees.

Not legal or tax advice. This page cites official SOS / revenue materials for filing costs and common gotchas. Where you operate can still create foreign-qualification and tax obligations outside Texas.

Texas state filing fees

These are state fees — not Northwest / ZenBusiness / Bizee / LegalZoom service fees. The collecting agency is Texas Secretary of State (formation); Texas Comptroller of Public Accounts (franchise tax/PIR). Filings go through www.sos.state.tx.us.

Item Amount Notes
Articles / Certificate of Formation $300 Certificate of Formation (Form 205) — Texas SOS; credit-card payments add a 2.7% convenience fee
Franchise tax / Public Information Report $0 typical No SOS annual report. Franchise tax $0 if annualized total revenue at or below no-tax-due threshold ($2,650,000 for report years 2026–2027). PIR (Form 05-102) still required annually for LLCs even when no tax is due; PIR itself has no filing fee.
3-year state subtotal (model) $300 Articles $300 + $0 recurring SOS/franchise tax for small LLCs at or below threshold for years 1–3

When Texas actually bills you

Texas's recurring filing is due May 15 annually (Comptroller) — put it in a calendar the day you form, because the state will not chase you before it penalises you.

Point in time What Texas charges Amount Running total
At formationArticles / Certificate of Formation$300$300
Year 1 cycleFranchise tax / Public Information Report (no charge in this model)$0$300
Year 2 cycleFranchise tax / Public Information Report (no charge in this model)$0$300
Year 3 cycleFranchise tax / Public Information Report (no charge in this model)$0$300

Texas carries no modelled recurring SOS charge under the stated scenario, so the running total flattens after formation — but a required zero-fee filing can still exist, and missing it can still cost you standing.

Provider + Texas state (3-year)

Provider totals from the national comparison (formation + RA Y1–Y3, state fees excluded there) plus the Texas state subtotal of $300.

Provider Plan Provider 3-yr + state
northwest Formation $39 (RA Y1 included) $289 $589
zenbusiness Starter $0 + RA add-on $497 $797
bizee Basic $0 (RA Y1 free) $298 $598
legalzoom Basic $0 + RA $249/yr $747 $1,047

Partner link — we may earn a commission at no extra cost to you. Prices above are researched from public pages, not supplied by the provider. How this site makes money.

How Texas ranks against the other 50 charters

Across the 51 jurisdictions covered on this site, Texas sits at #30 — the 30th cheapest three-year state charter — at $300 in Secretary of State and revenue-department dollars. That is $265 more than Montana, the cheapest charter in the ranking ($35), $20 above the $280 median, and $2,210 less than California at $2,510. In plain terms, Texas lands in the pricier half of the table.

Ranking basis for Texas: Articles $300 + $0 recurring SOS/franchise tax for small LLCs at or below threshold for years 1–3

Registered agent (Texas)

  • Texas registered agent with street address required; LLC cannot be its own agent. Commercial RA common if no in-state physical presence.

Put the agent next to the state's own bill: three years of Texas state fees is $300, while the cheapest provider path in our national 3-year comparison runs $289 (Formation $39 (RA Y1 included)) and the most expensive runs $747 (Basic $0 + RA $249/yr) — a $458 spread for the same statutory job. On the cheapest path the service, not Texas, is about 49% of your three-year outlay. Choosing the agent well is usually a bigger lever than choosing the state.

Gotchas (fact-based)

  • Free PIR still mandatory each May 15; missing completed/signed PIR can forfeit right to transact business
  • Franchise tax applies above $2.65M annualized total revenue (2026–2027 threshold)
  • Credit-card convenience fee 2.7% on SOS filings
  • Qualified new veteran-owned businesses may have fee/franchise exemptions — verify with SOS/Comptroller

Who Texas is for / not for

Often a fit when…

  • In-state operators wanting low ongoing SOS cost and no personal income tax; businesses likely to stay under the franchise-tax revenue threshold

Often a poor fit when…

  • High-revenue entities that will owe franchise tax; those needing the absolute lowest formation fee

Orientation only — not legal advice.

Common questions about Texas LLC cost

How much does it cost to form an LLC in Texas?

$300 to Texas Secretary of State (formation); Texas Comptroller of Public Accounts (franchise tax/PIR) for the formation filing. Certificate of Formation (Form 205) — Texas SOS; credit-card payments add a 2.7% convenience fee That is the state charge only. A formation service is a separate bill on top: Formation $39 (RA Y1 included) works out to $39 in year one, versus $249 on the most expensive path we track.

What are the ongoing Texas LLC fees after year one?

$0 in recurring Franchise tax / Public Information Report charges under the modelled scenario (May 15 annually (Comptroller)). No SOS annual report. Franchise tax $0 if annualized total revenue at or below no-tax-due threshold ($2,650,000 for report years 2026–2027). PIR (Form 05-102) still required annually for LLCs even when no tax is due; PIR itself has no filing fee. Recurring state charges are what make a low formation fee misleading — they are the reason this site models three years instead of one.

What does a Texas LLC really cost over three years?

$300 in Texas state fees, plus whatever your provider charges. With the cheapest tracked path that is $589 all-in over three years; with the most expensive it is $1,047 — a $458 difference that has nothing to do with Texas.

Do I need a registered agent in Texas?

Yes. Texas registered agent with street address required; LLC cannot be its own agent. Commercial RA common if no in-state physical presence. On the money side, the four providers tracked here charge $0–$249 in year one for formation plus the agent, then $125–$249 a year in agent renewal after that — separate from every Texas figure above.

Is Texas a cheap state to form an LLC?

On charter cost alone, Texas ranks #30 of 51 at $300 over three years, against a $35 floor and a $2,510 ceiling. But cheapest charter is not the same as cheapest outcome: if you operate somewhere else you will likely foreign-qualify there and pay that state's fees and taxes too. See the full 3-year state fee ranking for the comparison.

How the Texas three-year number is built

Articles $300 + $0 recurring SOS/franchise tax for small LLCs at or below threshold for years 1–3 Figures are re-derived from the cited Texas sources rather than copied from other guides.

Deliberately excluded from the Texas state subtotal:

Same exclusions are applied to every state so the ranking stays apples-to-apples.

Unverified / confirm before filing

Sources (official)

  1. Texas SOS Form 205 instructions — $300 Certificate of Formation
  2. Texas Comptroller — Franchise Tax rates and $2.65M no-tax-due threshold 2026–2027
  3. Texas Comptroller — PIR/OIR filing requirements
  4. Texas Comptroller — 2026 Franchise Tax Report Forms

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