Annual Reporting & Franchise Tax Filing

Annual Reporting & Franchise Tax Requirements

Every LLC must comply with their state's annual reporting and tax filing requirements to maintain good standing. Requirements vary significantly by state, so it's important to understand your specific obligations based on where your LLC is registered.

This guide covers the annual reporting and franchise tax requirements for Texas and Louisiana, two states with very different approaches to LLC compliance.

Important: Failure to file required reports can result in penalties, loss of good standing, or even administrative dissolution of your LLC. Mark your calendar with your state's deadlines!

Texas LLC Requirements

🏢 Texas Annual Franchise Tax Report

Filing Frequency: Annual

Due Date: May 15th each year

Cost: No filing fee (but tax may be owed depending on revenue)

Who Must File?

All Texas LLCs must file a franchise tax report, even if no tax is owed. This includes:

Single-member LLCs
Multi-member LLCs
LLCs with no revenue
Inactive LLCs

Revenue Threshold (No Tax Due)

Good News for Small Businesses: If your LLC's annualized total revenue is less than $2.47 million, you don't owe any franchise tax. You still must file the report, but you'll simply report your revenue and indicate "no tax due."

What You'll Need to Report:

Total revenue for the reporting period
Business information (name, address, registered agent)
Officers/members information
Tax calculation (if revenue exceeds threshold)

How to File:

File online through the Texas Comptroller's Webfile system. The process takes about 15-30 minutes for most small businesses.

Extension Options:

Texas offers an automatic extension until November 15th if you file and pay at least 90% of any tax owed by the May 15th deadline.

Louisiana LLC Requirements

⚜️ Louisiana Annual Report

Filing Frequency: Annual

Due Date: On or before the anniversary date of your LLC's formation (within 30-day grace period)

Cost: $35 per year

Who Must File?

All Louisiana LLCs must file an annual report with the Secretary of State, regardless of business activity or revenue.

What You'll Need to Report:

Current business name and address
Registered agent name and address
Names and addresses of members/managers
Business activity description

How to File:

File online through Louisiana's geauxBIZ portal. Payment of $35 is required at the time of filing.

Louisiana Advantage: Unlike Texas, Louisiana has a simple flat fee with no complicated tax calculations. Just update your information and pay $35 annually!

⚜️ Louisiana Franchise Tax (Most LLCs Are Exempt!)

Important: Most LLCs in Louisiana do NOT pay franchise tax. Louisiana treats LLCs the same way they're treated for federal income tax purposes.

LLCs That DO NOT Pay Franchise Tax:

Single-member LLCs (taxed as sole proprietorships)
Multi-member LLCs (taxed as partnerships)
LLCs electing S-Corporation tax status

LLCs That DO Pay Franchise Tax:

Only LLCs that elect to be taxed as C-Corporations for federal purposes

If Franchise Tax Applies:

Due Date: 15th day of the 5th month of the accounting year (typically May 15th)

Tax Rate: $2.75 per $1,000 of capital employed in Louisiana (over $300,000)

Minimum Tax: $110

How to File: Through Louisiana Tax Portal (LaTAP)

Quick State Comparison

Requirement	Texas	Louisiana
Annual Report Fee	No fee (included in franchise tax filing)	$35 flat fee
Franchise Tax	Required for all LLCs (but may be $0)	Only if taxed as C-Corporation
Due Date	May 15th (annual)	Anniversary of formation
Revenue Threshold	Under $2.47M = No tax owed	N/A for most LLCs
Filing Portal	Texas Comptroller Webfile	geauxBIZ (annual report) LaTAP (franchise tax if applicable)
Complexity	Moderate (tax calculations)	Simple (info update only)

How to File Your Annual Report

Texas Filing Process:

Visit the Texas Comptroller Webfile System
Log in or create an account (you'll need your Texas Taxpayer Number)
Select "File Franchise Tax Report"
Enter your revenue information
Complete the questionnaire
Review and submit (if revenue under $2.47M, select "No Tax Due")
Print confirmation for your records

Texas Tip: Even if you're reporting zero revenue or no tax due, you MUST file the report. Non-filing will result in penalties and can lead to your LLC being forfeited.

Louisiana Filing Process:

Visit Louisiana geauxBIZ portal
Log in or create an account
Select "File Annual Report"
Update your business information (address, registered agent, members/managers)
Pay the $35 filing fee
Submit and save your confirmation

Important Deadlines

Texas Deadlines:

May 15th: Annual Franchise Tax Report due
November 15th: Extended deadline (if extension filed by May 15th)
January 1st: Accounting year begins for most LLCs

Louisiana Deadlines:

Anniversary Date: Annual Report due on or within 30 days of your LLC's formation date
May 15th: Franchise Tax due (only if taxed as C-Corporation)

Pro Tip: Set calendar reminders 30 days before your deadline to ensure you have plenty of time to gather information and file.

Penalties for Late or Non-Filing

Texas Penalties:

Late Filing: 5% penalty if filed after May 15th
Late Payment: Additional penalties and interest on unpaid tax
Non-Filing: Can result in forfeiture of your LLC and loss of liability protection
Reinstatement Fee: $50 to restore a forfeited LLC

Louisiana Penalties:

Late Filing: $100 penalty plus $25 for each 30 days late (up to $1,000 maximum)
Non-Filing: Can result in administrative dissolution of your LLC
Reinstatement: Requires filing all missed reports plus penalties

Warning: Both states take annual reporting seriously. Non-compliance can lead to loss of good standing, inability to conduct business, and potential personal liability if your LLC is dissolved.

Frequently Asked Questions

Do I need to file if my LLC had no activity?

Texas: Yes, you must file even with zero revenue. Select "No Tax Due" on your report.

Louisiana: Yes, you must file the $35 annual report regardless of business activity.

What if I miss the deadline?

File as soon as possible to minimize penalties. Both states charge late fees, but prompt filing after the deadline can help you avoid more serious consequences like dissolution.

Can I file multiple years at once?

Texas: No, each year must be filed separately through the Webfile system.

Louisiana: You may need to contact the Secretary of State's office directly to file multiple missed years.

Do I need an accountant to file?

For most small LLCs under the revenue thresholds, filing is straightforward and can be completed by the business owner. However, if your Texas LLC owes franchise tax or your Louisiana LLC is taxed as a C-Corporation, consulting with an accountant is recommended.

What happens if I move my LLC from Texas to Louisiana (or vice versa)?

You'll need to maintain compliance in both states: file a final report in your original state and register/begin filing in your new state. Consider consulting with a business attorney for the proper procedures.

Where can I get help?

Texas: Texas Comptroller's Office at 1-800-252-1381 or comptroller.texas.gov

Louisiana: Louisiana Secretary of State at 225-925-4704 or sos.la.gov

Need Assistance with Your Filing?

Eclectic-Systems can help you stay compliant with your state's annual reporting requirements. Contact us for assistance with:

Annual report preparation and filing
Franchise tax calculations
Deadline reminders and compliance tracking
Multi-state LLC management