LLC Costs in Texas (TX)
$425 all-in for your first year - $300 to file, Free annual report, plus a registered agent. Texas is $42 (11%) more expensive than the national average for first-year LLC costs.
Texas has a franchise tax but most small LLCs (under $2.47M annual revenue) owe $0. The $300 filing fee is higher than average, but no annual report fee applies. Texas has no personal income tax and is a major business hub.
Updated 2025 · Source: Texas Secretary of State
Lower periodic report fee
Lower periodic report fee. Franchise Tax Report at Free sits in the cheaper third of report fees among states that still charge one. Texas's first-year total of $425 (#41 of 51) folds in filing, registered agent and the Franchise Tax Report. Fees are those published by the Texas Secretary of State; registered agent is a $125/yr market-rate line, not a vendor quote.
According to the Texas Secretary of State fee schedule; registered agent normalized at $125/yr. See methodology. How we calculate →
Published SOS fee schedule
Fee strip TX · Texas SOS FY 2026 · rank #41
Texas · FY 2026 · 5-7 business days · no pub
- AGENT Online filing
- PROC www.sos.state.tx.us
- VS-AVG 5-7 business days
- ARTICLES +$25 expedite
- BIENNIAL near Alabama
- SCHEDULE 11% above avg
Dear-third stack: stamps derive from this state's Secretary of State fee schedule, not a recommendation of where to form. Read with tax planning against a dear SOS stack → · All 51 SOS fee rows →
Cost vs. speed: where Texas sits among all 51 filing offices
How the dear-third $425 stack breaks down
- State filing fee $300
- Registered agent $125
| Cost Item | Amount |
|---|---|
| State Filing Fee | $300 |
| Franchise Tax Report | Free |
| Registered Agent | $125/yr |
| Expedited Filing (optional) | $25 |
| Total, First Year | $425 |
Ongoing tax burden after formation
Texas charges no corporate income tax at all, a real ongoing advantage that offsets some of the $425 one-time formation cost above over time.
Sources: Tax Foundation state corporate tax rates, Census ACS effective property tax rates.
Texas SOS fee strip (high filing)
Similar Cost States
Lower-cost escapes
TX's SOS stack sits in the dearest third; these states charge less for the same first year:
Read our methodology - how this data is sourced, computed, and verified. Report a data error on this page.
Sources used on this page
- Texas Secretary of State - LLC filing fee, annual-report requirement, and processing time. www.sos.state.tx.us
- Federation of Tax Administrators - cross-check of state fee and tax figures. taxadmin.org