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State guide · Updated July 2026

Texas LLC for Non-Residents

The right choice when your business actually operates in Texas — with a higher filing fee but no annual tax for most small LLCs.

Overview

Texas isn't a "cheap remote LLC" state — its $300 filing fee is the highest of the popular five — but it's the correct state when your operations are genuinely there: a warehouse, staff, local clients, or a physical presence. Texas has no state income tax on individuals, and most small LLCs fall under the franchise tax threshold, owing $0 in state tax while filing a simple information report each year.

Watch out for

Texas requires an annual franchise tax filing even when nothing is owed: most small LLCs are below the no-tax-due threshold (revenue under roughly $2.47M) but must still submit a Public Information Report by May 15. Ownership information on that report is public — Texas is not a privacy state.

Formation timeline

Texas LLC formation timeline
Stage Typical time What happens
Name check & filing prepared 1-2 business days We verify availability and prepare a Certificate of Formation for non-resident ownership.
State processing 10-15 business days standard Paid expedite (2 business days) is available and we coordinate it on request.
Documents delivered Same day as approval Stamped certificate in your deck; registered agent active from filing.

Timelines are estimates based on typical state and IRS processing and are not guaranteed.

Best for

  • Businesses with real Texas operations, staff, or inventory
  • E-commerce sellers using Texas-based 3PL or warehousing as their hub
  • Founders serving Texas clients who expect a local entity

Not the best fit for

  • Fully remote businesses with no Texas connection (Wyoming or New Mexico cost less)
  • Privacy-focused founders — Texas reports make ownership information public

Texas FAQ

Texas-specific questions.

Does a Texas LLC pay state tax?

Most small LLCs owe $0 franchise tax — the no-tax-due revenue threshold is about $2.47M. An annual information report (the Public Information Report) is still required by May 15 each year, which our Annual Compliance Service handles.

Why is the Texas filing fee so high?

It's simply what the state charges — $300 to file the Certificate of Formation. There's no way around it with any service or DIY; we itemize it separately like every state fee.

I sell into Texas but operate remotely — do I need a Texas LLC?

Selling to Texas customers from abroad doesn't by itself require a Texas entity. Physical presence — inventory you own in your own facility, employees, an office — is what triggers it. Edge cases (like marketplace-held inventory) are exactly what a quick specialist chat is for.

Is ownership information public in Texas?

Yes — the annual Public Information Report lists management and is publicly searchable. If keeping your name off public records matters, Wyoming or New Mexico fit better.

Comparing options?

See all five states side by side, or take the 60-second quiz.

Compare states

Ready to form in Texas?

Your total with Formation Plus: $599 first year, itemized — start with Texas pre-selected.

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