I live in the state of Texas. I know that Texas Taxpayer ID must be filed quarterly. What about business income tax? Is this filed annually?

Also, please verify that my understanding is correct. Let's say my business sells 1 item at $100 profit. That item is sold to a person residing in a different state where I do not have Nexus. There is no sales tax so my Texas Taxpayer filing report is $0. There is a profit so my annual business income tax file says I made $100. Is this correct?


I can't find anything definitive for Texas, buy my state and federal income taxes are filed annually, but you may need to submit estimated tax payments quarterly in order to avoid underpayment penalties. All that entails, though, is writing a check - your taxes will be trued up when you file the annual tax return.

As far as sales vs income - yes, sales are taxed (and passed through) differently than profits. So it's entirely possible for revenue to be subject to income tax but not sales tax (and vice-versa).

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.