If the foreign entity intends to or is already transacting business in Texas, what are the penalties for not filing an Application for Registration?
If a foreign entity transacts business in Texas without registering, • the entity cannot maintain an action, suit, or proceeding in a Texas court until it registers; • the attorney general can enjoin the entity from transacting business in Texas; • the entity is subject to a civil penalty equal to all fees, taxes, and penalties that would have been imposed if the entity had registered when it was first required to do so; and • if the entity has transacted business in the state for more than ninety (90) days, the Secretary of State will impose a late filing fee for an Application for Registration equal to the registration fee for each year or part of year of delinquency. Amnesty Period. A foreign entity that should have obtained a Certificate of Authority to transact business in Texas before January 1, 2006, but failed to do so will not be penalized so long as it files an Application for Registration on or before January 31, 2006. BOC § 402.012.
Related Questions
- If a foreign entity qualifies or registers to transact business in Texas and later dissolves in its home jurisdiction, does it need to file anything with the Texas Secretary of State?
- If a foreign entity intends to or is already transacting business in Texas, what are the penalties for not registering with the Secretary of State?
- If the foreign entity intends to or is already transacting business in Texas, what are the penalties for not obtaining a certificate of authority?
