Missing the deadline alone doesn’t mean a specific amount owed.
The bill bars any notice sent to a business that missed its franchise tax report deadline from claiming the business owes a specific tax amount just because it failed to file. It touches businesses subject to the Texas franchise tax and the state office that sends them notices. On the ground, late-filer notices can no longer demand a set dollar figure based only on the missed filing.
Labels
Labels: ZOMBIE BILL. Died 2 times: 88R HB 3706 (Died in committee) and this bill (Died in committee). Checked against 88R only.BACK FROM THE DEAD. Same text as a bill filed before that died: 88R HB 3706 (Died in committee). Filed in 2 sessions, counting this one. Checked against 88R only.TRY NO. 2. Filed in 2 sessions: 88R and 89R. Checked against 88R only.NEVER GOT A HEARING. Filed Feb 7, 2025 and referred to the House Ways & Means committee. No public hearing. The bill died.
relating to the contents of a notice provided to a taxable entity
that fails to file a franchise tax report when due.
WHAT IT DOES
Missing the deadline alone doesn’t mean a specific amount owed.
The bill bars any notice sent to a business that missed its franchise tax report deadline from claiming the business owes a specific tax amount just because it failed to file. It touches businesses subject to the Texas franchise tax and the state office that sends them notices. On the ground, late-filer notices can no longer demand a set dollar figure based only on the missed filing.
Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.
House committee · Ways & Means · Final status: Died in committee
Subjects
Taxation--Franchise
Text
The text as introduced · 164 words
89R3217 JBD-D
By: Harrison
H.B. No. 2577
A BILL TO BE ENTITLED
AN ACT
relating to the contents of a notice provided to a taxable entity
that fails to file a franchise tax report when due.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter E, Chapter 171, Tax Code, is amended
by adding Section 171.213 to read as follows:
Sec. 171.213. NOTICE OF FAILURE TO TIMELY FILE REPORT. A
notice sent to a taxable entity may not state that the taxable
entity is required to pay a specific amount of franchise tax based
solely on the taxable entity's failure to file a report under this
subchapter when due.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.