LLC in Texas

[Chuck Brickman]

Does anyone have any information on the Franchsie Tax for LLCs in Texas. I'm a small investor and want to know how it will impact me if I go LLC.

Thanks

[Rich Weese]

Here is some info on this matter.

First- a foreign entity owning property in TX does NOT need to be registered. However, if someone screws you or you want to sue the tenant, you CAN"T unless you register. The late filing and penalty is MORE than the original registration. I learned this the hard way.

Second. Just yesterday I received my annual franchise tax form . It is very confusing, so I called the State. There are 4 items, and if you qualify under any of the 4, no franchise tax due. The easiest one is "total revenue". Most of you will have no problem with this. The old form says under 300K, no taxes owed. Their website now shows the amount as 1 million. They also ask you the same #'s from your ind tax return or LLC if you use that.
Hope that helps on those 2 items. Rich