Texas has no state income tax. If you owe, it is likely the IRS or a Texas business tax. State tax debt in Texas is collected by Texas Comptroller of Public Accounts, not the IRS. Payment plans are case by case. A lien is still filed while you pay.
Key facts for Texas
- State income tax
- Texas has no state income tax. If you owe, it is likely the IRS or a Texas business tax. Source
- Payment plan
- Payment plans are case by case. A lien is still filed while you pay. Source
- Collection tools
- Texas can require a bond, file liens, freeze or seize assets and file criminal charges. Source
- Liens
- State law requires a lien for all past due state taxes, filed in the counties. Source
- License risk
- Permits and licenses from the Comptroller can be suspended after a hearing. Source
Two debts, two sets of rules
- The IRS collects federal taxes, with its own letters and plans.
- Texas Comptroller of Public Accounts collects Texas taxes, with its own rules.
- A plan with the IRS does not stop the state from collecting, and the other way around.
Common questions in Texas
Who collects state taxes in Texas?
The Texas Comptroller of Public Accounts. It is separate from the IRS. A plan with one does not stop the other from collecting.
Can I get a payment plan for Texas taxes?
Payment plans are case by case. A lien is still filed while you pay.
Can Texas suspend a license for tax debt?
Permits and licenses from the Comptroller can be suspended after a hearing.
Can TaxTruce help with Texas tax debt?
Yes. TaxTruce is a free service that connects you with tax resolution firms that work in Texas. Answer a few questions, confirm your phone with a text code, and a firm reviews your situation and calls you back. We are not the IRS or a state agency.
Results depend on your situation. Not every case qualifies.
Sources
Facts on this page come from Texas Comptroller of Public Accounts and are linked. Rules change. Check with Texas Comptroller of Public Accounts or a licensed tax pro before you act. We are not affiliated with Texas Comptroller of Public Accounts.