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How to Reinstate a Forfeited Texas LLC or Corporation

  • Writer: Aureus Advisory Partners
    Aureus Advisory Partners
  • 4 days ago
  • 3 min read

A forfeited Texas LLC or corporation has lost its legal right to operate. Owners can face personal liability and contracts may be unenforceable. Here is exactly how to fix it fast.


If your Texas LLC or corporation is listed as forfeited, your business is no longer in good standing with the State of Texas. This usually happens when franchise tax filings or Public Information Reports were not submitted. 


The good news is that most forfeited Texas businesses can be reinstated quickly. 

This guide explains how to reinstate your Texas LLC or corporation and restore your business to active status. 


If your Texas business is forfeited and you want help fixing it, click here and we can reinstate your Texas entity.


1. Why Texas LLCs and Corporations Become Forfeited


Texas businesses typically become forfeited because required franchise tax filings were not submitted. 


Common reasons include: 

  • Franchise tax report not filed 

  • No Tax Due Report not filed 

  • EZ Computation Report not filed 

  • Public Information Report missing 

  • Multiple years not filed 

  • Penalties not paid 


Even businesses that owe zero tax must still file. 

Once filings are missed, the Texas Comptroller may forfeit your right to transact business. 



2. What Happens When Your Texas LLC or Corporation Is Forfeited


When your Texas entity is forfeited, several things happen. 


Your business: 

  • Loses right to transact business in Texas 

  • Is no longer in good standing 

  • May expose owners to personal liability 

  • May not be able to sign contracts 

  • May not be able to sue in Texas 

  • May have issues with banks or vendors 

  • May be forfeited by Secretary of State 

These risks increase the longer the entity remains forfeited.



3. Step by Step: How to Reinstate a Forfeited Texas Business


Reinstating a Texas LLC or corporation usually involves completing missing filings and requesting reinstatement. 


Step 1: 

  • Identify missing franchise tax reports 

  • Determine which years were not filed. 

Step 2:

  • Prepare missing franchise tax filings 

This may include: 

  • No Tax Due Reports 

  • EZ Computation Reports 

  • Long Form Reports 

Step 3:

  • File Public Information Reports 

These are required for most entities. 

Step 4:

  • Pay penalties and interest if applicable 

Some businesses owe only penalties. Others owe nothing. 

Step 5:

  • Request reinstatement 

Once filings are complete, the reinstatement request can be submitted. 

Step 6:

  • Confirm active status 

Your business returns to active once processed.



4. How Long Does Texas Reinstatement Take

Timing depends on: 

  • Number of missing years 

  • Whether taxes are owed 

  • Whether Secretary of State forfeiture occurred 

  • Comptroller processing time 


Many reinstatements can be completed quickly once filings are submitted.



5. Can You Reinstate a Texas Business Yourself


Yes, but many business owners find the process confusing.


You must determine: 

  • Which reports are missing 

  • Which forms to file 

  • Which entity type applies 

  • Whether Secretary of State reinstatement is required 

  • Whether taxes are owed 

  • Whether penalties apply 


Errors can delay reinstatement. 



6. We Can Reinstate Your Forfeited Texas Business


If your Texas LLC or corporation is forfeited, we can handle the reinstatement for you. 


We will: 

  • Review your Texas entity 

  • Identify missing filings 

  • Prepare franchise tax reports 

  • File Public Information Reports 

  • Request reinstatement 

  • Restore good standing 


Click here to reinstate your Texas business now. 

We will review your entity and tell you exactly what needs to be done. 



Final Thoughts


A forfeited Texas LLC or corporation does not mean your business is gone. In most cases, it can be reinstated quickly once filings are completed. 


The key is acting quickly before additional risks arise. 

If your Texas business is forfeited, click here and we will help you restore your entity today. 



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