It’s that time again—if your business paid $10,000 or more in franchise taxes last year, this reminder is for you.
The August 15 deadline is fast approaching for the second extension of the Texas Franchise Tax report. And yes—this second extension comes with some strings attached.
Here’s How It Works:
If you’re a mandatory EFT payor (meaning you paid $10,000 or more in franchise tax during the prior year), you may have already filed an extension back in May, which moved your due date to August 15.
Now, by August 15, you need to:
- File for the second extension, extending your filing deadline to November 17.
- Pay any remaining balance to bring your total franchise tax payments up to 100% of your current year’s total tax liability.
Example:
Let’s say you paid 100% of last year’s tax on May 15 to qualify for the extension. Now, it’s time to crunch the numbers for this year:
- If you owe more than you paid in May, you’ll need to pay the difference by August 15 to get the second extension.
- If you paid enough already, you’re good to go—just file the extension by August 15.
Why This Deadline Matters:
Missing this August 15 deadline can trigger:
- A 5% late payment penalty, plus interest.
- The loss of your good standing with the Texas Comptroller’s office.
Key Tip:
- Payments must be made electronically through Webfile or TEXNET.
- Filing electronically helps ensure your extension is processed correctly—no paper checks allowed for EFT-required taxpayers!
How to File & Pay the Texas Franchise Tax Second Extension
There are two main ways to file your Texas Franchise Tax second extension:
1. File Online with the Texas Comptroller’s Webfile System (Recommended)
This is the easiest and fastest method for most businesses. You’ll need:
- Your 11-digit Texas taxpayer number
- Your Webfile (XT) number from your Franchise Tax notice
Simply log in, select your franchise tax account, and follow the prompts to:
- Submit the extension form
- Make your payment via electronic funds transfer (required for mandatory EFT payors)
👉 File your extension here (Texas Comptroller’s Webfile)
2. Use Approved Tax Software
If you already use tax preparation software that supports Texas Franchise Tax filings, you may be able to:
- Submit the extension request directly through the software
- Pay electronically through the integrated system
Check with your provider to confirm whether they support second extensions for Texas Franchise Tax.
The Texas Comptroller also lists approved providers here: Texas Approved Software Providers
Important:
For mandatory EFT payors, payments must be made electronically via Webfile or TEXNET. Paper forms and checks aren’t allowed for these extensions.
Final Reminder:
If you’re a mandatory EFT payor, August 15 is your chance to lock in your extension through November 17—but only if your tax is fully paid.
Don’t wait until the last minute—review your numbers and make your payment today.
✅ Need Help?
If you have questions or need assistance navigating the Texas Franchise Tax process, feel free to reach out.