# @turbotax on YouTube

- **Type:** Video
- **Original URL:** https://youtube.com/watch?v=ZCafSrPllL0
- **Gondola URL:** https://gondola.cc/posts/69678408-turbotax-youtube
- **Thumbnail:** https://img.gondola.cc/tr:w-,h-,fo-auto/postThumbnails/451e269632.jpg
- **Posted:** 2026-08-28T15:59:59.000+00:00
- **Account Owner:** Intuit TurboTax (@turbotax) — https://gondola.cc/turbotax

## Caption

Discover how Texas franchise tax works. Even businesses that owe nothing may need to file. Learn more about the 2026 No Tax Due threshold, how taxable margin is calculated, which rate applies, and what penalties apply for missing the May 15 due date in this TurboTax guide.

Learn More: https://turbotax.intuit.com/small-business-taxes/ 

00:00 – What Is the Texas Franchise Tax?  
00:19 – Which Businesses Must Pay vs. Exemptions  
00:54 – No Tax Due Threshold (2026–2027)  
01:20 – How to Calculate Texas Franchise Tax & Tax Rates  
01:46 – The EZ Computation Method  
02:05 – Federal Tax Deductions & Filing with TurboTax

Texas Franchise Tax FAQ:
What is the Texas franchise tax and who is subject to it?
The Texas franchise tax is a state tax imposed on entities for the privilege of doing business in Texas, based on a business's taxable margin rather than net income. 

Who is exempt from paying the Texas franchise tax?
Exempt entities generally include sole proprietorships, general partnerships composed entirely of natural persons, certain nonprofits, passive entities, and businesses with annual total revenues below the no tax due threshold.  

What is the no tax due threshold for 2026 and 2027?
 For report years 2026 and 2027, businesses with annual revenue below $2.65 million generally owe no Texas franchise tax, though many must still file an information report with the Texas Comptroller.  Q: How are Texas franchise tax rates calculated?

Rates are applied after determining the lowest taxable margin. Most businesses pay 0.75%, while retail/wholesale businesses qualify for a 0.375% rate. Eligible businesses making $20 million or less in annual revenue can use the EZ Computation method, applying a 0.331% tax rate to total revenue.  Q: Can you deduct Texas franchise tax on a federal tax return?
Yes, Texas franchise taxes are generally deductible as a business expense on your federal tax return.

Subscribe to TurboTax for more tax tips: https://youtube.com/@turbotax?sub_confirmation=1

File Taxes Confidently: https://turbotax.intuit.com

Watch More!
Newest Videos: https://www.youtube.com/playlist?list=PLFp3vOMRjJ0UDjdDOm_xf34wM8M02QdyX
Taxes FAQ's & How-Tos: https://www.youtube.com/playlist?list=PLFp3vOMRjJ0XeTa2-hDiZbn9hQHrhogy_
How to File Your Taxes: https://www.youtube.com/playlist?list=PLFp3vOMRjJ0UjyRJBSn7-5WDGYA64o3iQ

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TurboTax offers a variety of services, from filing your own taxes to getting expert advice, and even having someone file on your behalf. Our channel is here to answer your biggest tax questions and help you navigate the filing process with confidence.

#TurboTax #Taxes #Finance

## Stats

- **Views:** 75,503
- **Likes:** 5
- **Shares:** 0
- **Comments:** 1

## Tags

finance, turbotax, taxes

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