$50 Late Filing Penalty
The law imposes a $50 late filing penalty on every report filed after the due date, even if no tax was due for the period or the report was eventually filed.
Sales and Use Tax
Texas imposes a state sales tax on all retail sales, leases and rentals of most goods, as well as taxable services. Texas cities, counties, transit authorities and special purpose districts have the option of imposing an additional local sales tax for a combined state and local tax rate of up to 8 1/4% (.0825).
- Taxpayers who file quarterly have reports due on:
- April 20 to report Jan. – March
- July 20 to report April – June
- Oct. 20 to report July – Sept.
- Jan. 20 to report Oct – Dec.
- Taxpayers who file monthly have a report due on the 20th of the month following the reporting month.
- The Comptroller can authorize taxpayers with an established filing history of paying less than $1000 per year in state sales tax to file yearly reports. The Comptroller will notify taxpayers who qualify.
- Taxpayers required to pay electronically via TEXNET must initiate their payment by 6 p.m. CST on the last banking business day prior to the due date in order for the payment to be considered timely.
- If a due date falls on a Saturday, Sunday or legal holiday, the next working day becomes the due date.
- State – 6 1/4% (.0625)
- City – 1/4% - 2% (.0025 - .02), depending on local rate
- County – 1/2% - 1.5% (.005 - .015), depending on local rate
- Transit Authority – 1/4 % - 1% (.0025 - .01), depending on local rate
- Special Purpose District – 1/8% - 2% (.00125 - .02), depending on local rate
- Permitted sales taxpayers can claim a discount of 0.5% of the amount of tax timely reported and paid.
- Sales taxpayers who prepay can claim 0.5% for timely filing and paying, plus 1.25% for prepaying.
- Past-due taxes are charged interest beginning sixty-one days after the due date.
- To calculate interest on past-due taxes, visit Interest on Credits and Refunds and on Tax Due.