Starting a Business in Texas: Licenses, Registrations & Checklist

Texas start-up checklist

Register for state taxes with Texas Comptroller of Public Accounts. Official page
Business-level tax: Franchise (margin) tax. 0.75% of taxable margin (0.375% for retail and wholesale); no tax due at or below $2.65 million of annualized total revenue, though the report is still filed.
Sales tax: get a Texas Sales and Use Tax Permit from Texas Comptroller of Public Accounts before you sell taxable goods. Official page
Remote sellers must register once sales into the state pass $500,000 a year.
Local sales taxes are collected through the state return.
Texas has no wage withholding for state income tax.

Register for unemployment insurance with Texas Workforce Commission. The 2026 taxable wage base is $9,000 per employee; experience-rated rates run from 0.32% to 6.32%. Official page
New employers start at 2.7%.
Workers' compensation through Texas Department of Insurance, Division of Workers' Compensation and private insurers. Required when: Optional for most private employers (mandatory for public contractors)
Post the required labor notices at your workplace. Official page

File Franchise Tax Report and Public Information Report (LLCs, corporations and nonprofits): every year by May 15; no fee.
State tax returns and payments (sales, withholding, unemployment) follow the schedule your agency assigns when you register.

Business filings and annual reports: Texas Secretary of State. Official page
Taxes: Texas Comptroller of Public Accounts. Official page
Unemployment insurance and labor rules: Texas Workforce Commission. Official page
Workers' compensation: Texas Department of Insurance, Division of Workers' Compensation.
Real estate licensing: Texas Real Estate Commission.
Alcohol licensing: Texas Alcoholic Beverage Commission.
Child care licensing: Texas HHSC, Child Care Regulation.
Health facility licensing: Texas Health and Human Services Commission.

Local permits (City or county): Texas has no general state or city business license; occupancy, health, signage and industry permits are local, and DBAs go to the county clerk.
Cannabis: medical licensing only, regulated by Texas Department of Public Safety, Compassionate Use Program.

Checked against official sources on October 13, 2026. Rules change; confirm each item with its agency.

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