What Texas Form 05-167 (2017) Is For
Taxable entities in Texas must use Texas Form 05-167 (2017) to report ownership information to the Texas Comptroller. This form is part of the Texas Franchise Tax process, explicitly used for reporting Beneficial Ownership Information. It helps maintain the transparency of business ownership and ensures compliance with the Texas Business Organizations Code.
Entities must submit detailed ownership information annually to the Texas Secretary of State. This requirement is crucial for limited partnerships, limited liability companies (LLCs), and other business entities in the state of Texas. Filing this report ensures compliance with Texas law.
When You’d Use Texas Form 05-167 (2017)
Use Form 05-167 when your business files the Texas Franchise Tax Report and provides ownership information. This form applies to all taxable entities, including LLCs and professional associations. If your business is subject to franchise tax or if you are required to report ownership information, this form must be filed annually.
Filing Form 05-167 is necessary for reporting Beneficial Ownership Information, including common owners and other ownership details. Whether you are a veteran-owned LLC or a reporting company, this form helps fulfill the filing requirements outlined in the Texas Tax Code.
Key Rules or Details for 2017
Form 05-167 follows the same filing deadlines as in previous years. The form must be submitted by May 15, which is the deadline for annual Franchise Tax Reports. Entities must include principal office information and beneficial ownership information reports, if applicable.
Entities with no tax due must file the No Tax Due Report, which includes the Franchise Tax and Public Information Report (PIR). The Texas Comptroller provides detailed instructions for completing Form 05-167, which is available through the Your Texas Comptroller eSystems portal for online filing.
Step-by-Step (High Level)
- Step 1: Access Form 05-167 from the Texas Comptroller website or through Your Texas Comptroller eSystems. Visit the official Texas Comptroller site to access Form 05-167. You can also file it through the Texas Comptroller eSystems portal, which offers an easy way to submit your reports online.
- Step 2: Gather ownership information, including names, addresses, and Federal Employer Identification Numbers (FEINs) of the beneficial owners. Prepare the ownership details of all beneficial owners, including their full legal names, residential addresses, and Federal Employer Identification Numbers (FEIN), ensuring compliance with the Texas Tax Code and the Texas Business Organizations Code.
- Step 3: Enter total revenue and Cost of Goods Sold (COGS), if applicable, to determine your tax liability. Report your business’s total revenue and Cost of Goods Sold (COGS). These details help calculate your franchise tax liability and support the Franchise Tax Report.
Common Mistakes and How to Avoid Them
Here are the common mistakes taxpayers make when filing Form 05-167 and how to avoid them.
- Missing Ownership Information: This mistake occurs when you fail to include all beneficial owners, including their full legal names, residential addresses, and Texas taxpayer identification numbers. You must provide complete ownership details for all owners as required by the Texas Tax Code.
- Incorrect Filing: This mistake occurs when Form 05-167 is not submitted with the Franchise Tax Report. You must file Form 05-167 alongside the Franchise Tax Report to meet all filing requirements.
- Failure to File Timely: This mistake occurs when you file Form 05-167 after the deadline of May 15. You must submit Form 05-167 on or before May 15 to avoid late fees and penalties.
- Inconsistent or Incomplete Reports: This mistake occurs when ownership information or other required details are missing or incorrect, such as NAICS Codes or Comptroller File Numbers. You must ensure that all sections of the form are filled out accurately and completely, and double-check for any missing data.
- Forgetting Amended PIR: This mistake occurs when changes to the Public Information Report (PIR) are not filed after the original submission. You must file an amended PIR if there are any updates or corrections to your previously submitted report.
What Happens After You File
Once you submit Form 05-167, the Texas Comptroller will review your filing for accuracy. If all ownership details and franchise tax information are correct, the filing will be processed. A confirmation receipt is provided once your report is accepted.
If the Franchise Tax Report and ownership information are in order, you’ll receive a Tax Clearance Certificate if no taxes are owed. However, if issues arise, you may be asked to submit additional supporting documents or file amendments to correct any discrepancies.
FAQs
Who needs to file Form 05-167?
All taxable entities in Texas, including LLCs, limited partnerships, and professional associations, must file Form 05-167 to report ownership information.
When is the deadline for filing Form 05-167?
The deadline for filing Form 05-167 is May 15 each year. Please ensure your report is submitted by this date to meet the filing requirements.
What happens if I file late?
Late filings may result in penalties or interest charges. To avoid issues, submit Form 05-167 by the due date and ensure that the ownership details are accurate and complete.
Do I need to include Beneficial Ownership Information?
Yes, if your entity is required to report Beneficial Ownership Information, you must include it in Form 05-167 along with the Franchise Tax Report.
Can I file Form 05-167 online?
Yes, you can file Form 05-167 online through the Texas Comptroller eSystems portal. This is the most efficient method to submit your Public Information Report.
