TexasCHLforum.com

KaiserB wrote:

AlaskanInTexas wrote:

sjfcontrol wrote:Also, I have verified with my Financial Planners, that the no-tax threshold for the Tx Franchise tax is $1M this year. I've asked for more info from my accountant, but believe this to be correct.

The threshold for reports filed in 2011 (based on 2010 activity) is $1 million. For reports filed in 2012 (based on 2011 activity) the threshold drops to $600,000 (my knowledge of Texas tax laws > my knowledge of Texas gun laws; my one chance to shine on this forum).

You are correct: http://www.tklaw.com/resources/document ... nreath.pdf" onclick="window.open(this.href);return false;

Here is a link to the full statute, but below that is the amended language.

http://www.statutes.legis.state.tx.us/D ... TX.171.htm" onclick="window.open(this.href);return false;


Text of subsection as amended by Acts 2009, 81st Leg., R.S., Ch. 286, Sec. 1


Text of subsection effective until December 31, 2011(d) A taxable entity is
not required to pay any tax and is not considered to owe any tax for a
period if:(1) the amount of tax computed for the taxable entity is less
than $1,000; or(2) the amount of the taxable entity's total revenue from
its entire business is less than or equal to $1 million or the amount
determined under Section 171.006 per 12-month period on which margin is
based.

Text of subsection as amended by Acts 2009, 81st Leg., R.S., Ch. 286, Sec. 2


Text of subsection effective on January 01, 2012(d) A taxable entity is not
required to pay any tax and is not considered to owe any tax for a period
if:(1) the amount of tax computed for the taxable entity is less than
$1,000; or(2) the amount of the taxable entity's total revenue from its
entire business is less than or equal to $600,000 or the amount determined
under Section 171.006 per 12-month period on which margin is based.

Best Regards,

AlaskanInTexas wrote:You should talk to an attorney or accountant - much of the advice listed above is sketchy or incomplete. For what its worth, I would give serious consideration to using an LLC instead of a corporation. You will have the same liability protection, but you should not have to file a separate tax return (if you are the only owner). Also, don't worry about the Texas franchise tax - no chance you will make enough to even come close to being subject to it.