Posted by Diane (TX) on November 09, 2002 at 12:22:07:
It depends. If it’s a flip, the entire $150,001 is included in gross receipts. If it’s an investment, only the net gain is included in gross receipts(net gain of $150,001 minus your cost). Read the form instructions. They tell you what’s included in gross receipts.
Texas Franchise Tax - Posted by JW
Posted by JW on November 08, 2002 at 14:56:11:
For my fellow Texans: When does the franchise tax on a LLC kick in (above what dollor figure) and how much is the tax?
Considering an LLC vs LP, are there advantages/disadvantages of one over the other? JW
Re: Texas Franchise Tax - Posted by Diane (TX)
Posted by Diane (TX) on November 08, 2002 at 16:17:17:
No franchise tax is owed if there are no Texas gross receipts, gross receipts everywhere are less than $150,000, or computed tax is less than $100. Tax is greater of 2.5% of capital, or 4.5% of earned surplus (income). (Rates may be different in first year of filing - call to check rate.) Forms and instructions are at Texas Franchise Tax Forms .
Re: Texas Franchise Tax - Posted by Adam (Austin)
Posted by Adam (Austin) on November 08, 2002 at 17:13:41:
Alright… I’m admittedly a little dense…
Does this mean that if I sell one house that sells for $150,001 or more … that I have to pay the Franchise tax?
Thanks,
Adam.