SB 3 set the $2,470,000 statutory no-tax-due baseline, adjusted by the Texas Comptroller to $2,650,000 for 2026–2027 report years under Tex. Tax Code § 171.006 CPI-U indexing. Below the applicable report-year threshold, Texas Franchise Tax is $0. Form 05-163 is abolished for 2024+ reports, while Form 05-102 PIR or Form 05-167 OIR remains mandatory by May 15, starting the calendar year after formation. Late filing risks a $50 penalty, forfeiture and personal liability.
Official source: Texas ComptrollerOfficial source: Texas ComptrollerOfficial source: Texas ComptrollerTexas statutory edition · October 2026 · supplied 2026 rules; confirm current requirements with the relevant agency
Corp USA is not a law firm and does not provide legal advice. Private information and filing service; not a government agency.
- Established 1998 · 28+ Years in Business
- Form 205 / 201 · $300 SOS Fee
- $0 Franchise Tax Under $2.47M (SB 3)
- (667) 274-0865
Start with the right question.
Which threshold year?
SB 3 set the $2,470,000 baseline; Tex. Tax Code § 171.006 CPI-U indexing adjusts it to $2,650,000 for 2026–2027 reports.
Official source: Texas ComptrollerNo tax or no report?
A no-tax-due result does not remove mandatory May 15 PIR/OIR information reporting.
Official source: Texas ComptrollerYour preparation checklist
- Report year identified before choosing revenue threshold
- SB 3 $2,470,000 baseline distinguished from 2026–2027 $2,650,000 CPI-U adjustment
- Annualized total revenue calculated
- PIR Form 05-102 or OIR Form 05-167 selected
- May 15 reporting reminder and $50 late-penalty warning recorded
Texas SB 3 $2.47M Franchise Tax Threshold — decision path
Texas SB 3 $2.47M Franchise Tax Threshold — decision path
$0 Texas Franchise Tax — SB 3 threshold
Mandatory Form 05-102 PIR: May 15 annually starting the calendar year after formation. $0 report state fee + optional $129 Corp USA service.
Form 05-163 is abolished for report years 2024+. Even with $0 tax, file PIR/OIR to avoid $50 late penalty (§ 171.362), forfeiture (§ 171.251) and personal liability for debts incurred during forfeiture (§ 171.252).
Estimate only; enter eligible deductions and Texas receipts. This does not determine retail eligibility, deduction limits, combined reporting or statutory exclusions.
Keep the requirements separate.
| Requirement | Verified detail / confirmation needed | Official authority |
|---|---|---|
| Texas SB 3 $2.47M Franchise Tax Threshold | SB 3 set the $2,470,000 statutory no-tax-due baseline, adjusted by the Texas Comptroller to $2,650,000 for 2026–2027 report years under Tex. Tax Code § 171.006 CPI-U indexing. Below the applicable report-year threshold, Texas Franchise Tax is $0. Form 05-163 is abolished for 2024+ reports, while Form 05-102 PIR or Form 05-167 OIR remains mandatory by May 15, starting the calendar year after formation. Late filing risks a $50 penalty, forfeiture and personal liability. | Official source: Texas Comptroller |
| Annual PIR / OIR | Form 05-102 PIR or Form 05-167 OIR must still be filed by May 15 even when no Franchise Tax is owed below the applicable indexed threshold. | Official source: Texas Comptroller |
| HB 9 BPP exemption | $125,000 exemption per taxing location from January 1, 2026; check rendition by April 15. | Official source: Texas Comptroller |
Carry the decision forward.
Corp USA is not a law firm and does not provide legal advice. State fees are pass-through. Service fees and taxes are separate. Review the order price before payment.
Before your next step
$2,650,000 after Comptroller CPI-U indexing under Tex. Tax Code § 171.006; SB 3 established the $2,470,000 statutory baseline.
Official source: Texas ComptrollerNo. Form 05-163 was eliminated for 2024+ report years, but Form 05-102 PIR or Form 05-167 OIR remains mandatory by May 15.
Official source: Texas Comptroller