2019 Small Business Resource Guide 2019 Small Business Resource Guide | Page 34

L E GA L
Employment Taxes
When you have employees, you as the employer have
certain employment tax responsibilities that you must pay
and forms you must file. Employment taxes include the
following:
• Social security and Medicare taxes
• Federal income tax withholding
• Federal unemployment (FUTA) tax
Property Taxes
Business Tax Requirements Tarrant Appraisal District
Texas Comptroller of Accounts 2500 Handley-Ederville Road
Fort Worth, TX 76118-6909
[phone]
Dallas Northeast
9221 LBJ Freeway, Suite 100
Dallas, Texas 75243-3429
972-792-5800
Dallas Southwest
400 South Zang Blvd., Suite 900
Dallas, Texas 75208-6644
214-944-2200
www.comptroller.texas.gov
For tax-related questions call 1-800-252-5555
The Tarrant Appraisal District is responsible for local
property tax appraisal and exemption administration for
seventy-three jurisdictions or taxing units in the county.
Each taxing unit, such as the county, a city, school
district, municipal utility district, etc., sets its own tax rate
to generate revenue to pay for such things as police and fire
protection, public schools, road and street maintenance,
courts, water and sewer systems, and other public services.
Property appraisals are determined by the appraisal district
and used by the taxing units to calculate and allocate the
annual tax burden. It is important for business owners to
prepare for property taxes for their commercial business
location.
Sales and Use Tax Permit
Every sole proprietorship, partnership, corporation or
other organization going into business should call the Office
of the State Comptroller to determine if a Sales and Use Tax
Permit is required for the product you sell, rent, lease or for
the service you render. There is no fee for a sales and use tax
permit; however, you may be required to furnish a bond
or security.
The Texas Comptroller of Public Accounts also has
Tax Exempt Information. Under Texas law, the purchaser
of a business is responsible for any sales tax owed by the
previous owners. Additionally, the law requires a purchaser
to withhold from the purchase price any amount needed
to cover a sales tax debt.
You should have the following information before going
to the state comptroller:
1. Social Security Number (SSN):
a) Your SSN and address if you own the business, or
b) Each partner’s SSN if the business is a partnership, or
c) SSN and address for each officer and director if the
business is a corporation.
2. The Federal Employer Identification Number
(EIN) assigned by the Internal Revenue Service
if you hire employees.
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3. Corporate Charter or Certificate of Authority Number
assigned to your corporation by the Texas Secretary of
State and the effective date of permission to do business
in Texas, if the business is a corporation.
Penalty for operating without a Sales
and Use Tax Permit
Anyone who operates a retail business in Texas without
a Sales and Use Tax Permit or after a permit has been
suspended, and each officer of any corporation who operates
a business without a Sales and Use Tax Permit or with a
suspended permit, is guilty of a crime. The fine is up to $500
a day for each day the business operates without a permit.
Texas Franchise Tax
The Texas Franchise Tax is a privilege tax imposed on
each taxable entity chartered/organized in Texas or doing
business in Texas. The Texas Franchise Tax applies to
partnerships (general, limited and limited liability),
corporations, limited liability companies, business trusts,
professional associations, business associations, joint
ventures and other legal entities.
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