In order to keep your limited liability corporation, or LLC, in good standing with the state of Texas, you must renew it each year. A renewal notice will be sent to your LLC by the Texas Secretary of State 60 days prior to the deadline. Additionally, you can renew your LLC by mail or online. But what additional information do you need to know and how much does it cost to renew an LLC in Texas? Find out by reading on.
In Texas, an LLC renewal costs $125 each year. This charge can be paid in person, by mail, or online. Make sure to enclose a check or money order made out to the Texas Secretary of State if you choose to pay by mail. Cash, checks, money orders, or credit cards (Visa, MasterCard, Discover, or American Express) can all be used for in-person payments. The convenience cost for credit card payments is 2.7%, please be aware.
A $100 late fee will be charged if you don’t renew your LLC on time. Additionally, you will have to submit a certificate of reinstatement and pay an additional $125 renewal charge. As a result, it’s critical to renew your LLC on time to prevent extra expenses and possibly legal problems. The procedure for renewing an LLC in Texas is as follows: You can use the Texas Secretary of State’s online filing system to renew your LLC there. You must include the name and address of your registered agent as well as the filing number or name of your LLC. The $125 renewal fee and any related convenience charges must also be paid.
As an alternative, you can mail in your LLC renewal. A renewal form from the Texas Secretary of State must be completed, along with a check or money order for $125, and mailed to the address listed on the form. Additionally, you can renew your LLC in person at the Austin office of the Texas Secretary of State.
In addition to renewing your LLC, Texas has other regulations that you must follow. For instance, if your LLC generates more than $1,180,000 in yearly sales, you must file a franchise tax return annually and pay franchise taxes. To demonstrate that your LLC has no unpaid tax obligations, you must also get a certificate of account status, often known as a tax clearance certificate. If you wish to dissolve or sell your LLC, you need this certificate.
You must submit a certificate of termination to the Texas Secretary of State in order to dissolve your LLC there. You must submit a $40 filing fee, your LLC’s file number or name, the name and address of your registered agent, and the file number or name of your LLC. To demonstrate that your LLC is free of any unpaid taxes, you must also get a certificate of account status. Following the dissolution of your LLC, you are no longer required to submit yearly reports or pay franchise taxes.
The Texas Comptroller of Public Accounts issues tax clearance certificates as proof that an LLC has paid all required taxes and does not owe any further sums to the state of Texas. For LLCs to renew their registration with the Texas Secretary of State, this certificate is necessary.