If you’re a business owner in San Antonio, you’ve probably heard someone say, “I don’t owe franchise tax, so I don’t have to file.”
Unfortunately, that’s one of the biggest misconceptions about Texas franchise tax.
Even if your business owes zero dollars, you may still be required to file annual reports with the state. Missing those filings can lead to penalties, loss of good standing, and even administrative forfeiture of your business.
The good news? Most franchise tax mistakes are easy to avoid once you know what the state actually requires.
Here are six of the most common mistakes Texas business owners make, and how to avoid them.