Texas Notice of Intent To Forfeit Right To Transact Business FAQs

If you’re a business owner in Texas, you might have received a letter called a “Notice of Intent to Forfeit Right to Transact Business.” It may sound scary, but don’t panic.

This notice simply indicates that you might have forgotten about some important paperwork or payments for your business. However, if the process is leaving you perplexed, stick around. In this article, we’ll answer all your questions about Notices of Intent in Texas.

What Is a Notice of Intent in Texas?

This notice serves as a yellow flag from the state, and it means you may have forgotten to file certain reports or pay necessary taxes. Sometimes, businesses get this notice even when they don’t owe money. That’s because Texas wants all businesses to file reports, even if they have a lower income.

A common mistake is thinking that a Texas Notice of Intent is from the IRS. In reality, it’s not. Instead, it’s a matter of your business’ standing with the state of Texas, and ignoring this notice can have serious consequences. The state could prevent you from doing business in Texas or even hold you personally responsible for the company’s debts.

How To Respond to a Notice of Intent

Getting a Notice of Intent can feel overwhelming, but don’t worry. You can break down your response into manageable steps.

Here’s what you should do:

Don’t Ignore It

This notice is not the kind of mail you can ignore. It will tell you when you need to respond — put that deadline in your calendar and prioritize it.

Gather Your Files

The notice will tell you what reports or payments are missing. Find those documents or information. Documents can include your business’s financial records, tax returns, and other relevant paperwork.

File

If you missed filing reports, you must submit them as soon as possible. You can complete this step online through the Texas Comptroller of Public Accounts.

Pay Up

If you owe taxes or penalties, you’ll need to pay them to the state. Your notice should explain how to do this. If you’re unsure about the amount you owe, it’s a good idea to double-check your calculations or get help from a professional.

If you’re feeling lost or overwhelmed, don’t hesitate to seek help. A tax professional or attorney specializing in Texas business law can guide you through the process and ensure you do everything correctly.

What Are Other Compliance Tips and Resources?

Receiving a Notice of Intent can create stress and worry, but it doesn’t have to stay that way. In fact, remaining compliant in Texas doesn’t have to be a constant worry. Here are a few tips to help you stay on top of compliance:

Mark Your Calendar

Set reminders for important deadlines, like filing annual reports or paying taxes. A little organization goes a long way in reducing worry and keeping you one step ahead.

Get Help

If you’re unsure about any compliance requirements in Texas, don’t hesitate to ask for help. You can consult with a professional advisor or check out the resources on the Texas Comptroller of Public Accounts website.

Support From Mosey

Mosey can be your compliance partner. Our compliance management platform helps you track deadlines, file reports, and manage your payroll compliance in one place. We’ll even send you reminders so you never miss an important deadline.

Remember, staying compliant is an ongoing process, not a one-time event. By taking a proactive approach and utilizing available resources, you can ensure your business stays in good standing if you operate in the state of Texas.

Stay Compliant With Mosey

Getting a Texas Notice of Intent to Forfeit Right to Transact Business is no fun. But it’s also not the end of the road. With the correct information and a little support, you can tackle this challenge head-on and come out more compliant on the other end. Don’t let this notice sidetrack your business goals.

Let’s tackle state notices together. At Mosey, we’re happy to answer your questions or guide you through the process step by step. You can schedule a demo today to discover how compliance automation can help your business focus on what matters most.

The Platform for State and Local Compliance