Federal Tax Deductions for Small Business Charitable Donations. Small businesses can receive a tax deduction for making charitable donation. The IRS has specific reporting requirements when a small business donates: Non-food inventory; Food; Intellectual property; You won't receive a tax deduction for donating services.
The Governor's Office Small Business Handbook (PDF): A start-up guide for small businesses provided by the Texas Economic Development Division within the Governor's Office. Small Business USA.gov: An official site of the U.S. Government that provides access to federal, state, and local information for small business owners.

Here’s an overview of the key steps you’ll need to take to start your own business in Texas.

1. Choose a Business Idea

Take time to explore and research ideas for your business. At this stage, take into consideration your own interests, skills, resources, availability, and the reasons why you want to form a business. You should also consider the likelihood of success based on the interests of your community, and whether your business idea will meet an unmet need. Read our article for more tips on how to evaluate business ideas.

After you select an idea, consider drafting a business plan to determine your chances of making a profit. When you create a plan, you will have a better idea of the startup costs, your competition, and strategies for making money. Investors and lenders will want to review your business plan before providing financial assistance, and you can be prepared by drafting a plan before you start soliciting funding. To learn more about the benefits of business plans, and how to create one for your enterprise see Why You Need to Write a Business Plan.

2. Decide on a Legal Structure

Small businesses are an important part of the state’s mission in helping keep Texas a very business-friendly, fair, dynamic and flourishing economy — one of the best, healthiest and fastest-growing in the country.

The most common legal structures for a small business are:

sole proprietorship
partnership
limited liability company (LLC), and
corporation

There also are special versions of some of these structures, such as limited partnerships and S corporations. You’ll want to consider which business entity structure offers the type of liability protection you want and the best tax, financing, and financial benefits for you and your business. Read our article for information on how to choose the best ownership structure for your business.

3. Choose a Business Name

For LLCs and corporations, you will need to check that your name is distinguishable from the names of other business entities already on file with the Texas Secretary of State (SOS). You can check for available names by doing a name search on the SOSDirect website. You can reserve an available name for 120 days by filing an Application for Reservation or Renewal of Reservation of an Entity Name form with the Texas SOS. There are certain name requirements for LLCs and corporations (like including a word such as “LLC” for LLCs or “Company” for corporations). See How to Form an LLC in Texas and How to Form a Corporation in Texas for more information.

Is your business is a sole proprietorship or partnership that uses a business name that is different from the name of the business owner (for a sole proprietorship) or names of the individual partners (for a partnership)? If so, you must register an assumed business name with the county clerk in the county where you will do business.

If you plan on doing business online, you may want to register your business name as a domain name. In addition, to avoid trademark infringement issues, you should do a federal and state trademark check to make sure the name you want to use is not the same as or too similar to a name already in use. See the Texas SOS site for the forms you'll need to reserve and register a name.

Guide To Houston Small Business Taxes

4. Register Your Texas Business Entity

Sole proprietorship: To establish a sole proprietorship in Texas, you don’t need to file any organizational documents with the state. For more information, see How to Establish a Sole Proprietorship in Texas.
Partnership: To create a general partnership in Texas, you don’t need to file any organizational documents with the state. Although not legally required, all partnerships should have a written partnership agreement. The partnership agreement can be very helpful if there is ever a dispute among the partners. For more information, see How to Form a Partnership in Texas. To form a limited liability partnership (often used by professionals), you must file a Registration with the Texas SOS. For more information, see How to Form a Limited Liability Partnership in Texas.
LLC: To create an LLC in Texas, you must file a Certificate of Formation with the Texas SOS. You will also need to appoint a registered agent in Texas for service of process. In addition, while not required by law, you also should prepare an operating agreement to establish the basic rules about how your LLC will operate. The operating agreement is not filed with the state. For more information, see How to Form an LLC in Texas and How to Form a Professional LLC in Texas(for professionals).
Corporations: To create a corporation in Texas, you must file a Certificate of Formation with the Texas SOS. You will also need to appoint a registered agent in Texas for service of process. Although not legally required, you also should prepare bylaws to establish your corporation’s internal operating rules. Bylaws are not filed with the state. S Corporations must also file IRS Form 2553, Election by a Small Business Corporation, with the IRS. For more information, see How to Form a Corporation in Texas.

5. Apply for Texas Licenses and Permits

Tax Registration. If you will be selling goods in Texas, you must apply for a sales tax permit with the Comptroller of Public Accounts (CPA). More generally, any business operating in Texas should register with the CPA. You can register online or on paper.

EIN. If your business has employees or is taxed separately from you, you must obtain a federal Employer Identification Number (EIN) from the IRS. Even if you are not required to obtain an EIN, there are often business reasons for doing so. Banks often require an EIN to open an account in the business’s name and other companies you do business with may require an EIN to process payments. You can get an EIN by completing an online application on the IRS website. There is no filing fee. Cyanogenmod 7.2 htc wildfire s download.

Regulatory licenses and permits. These cover areas such as:

health and safety
the environment
building and construction; and
specific industries or services.

You can find guidance on state licenses and permit from the SOS Guides and Resources webpage. Many business licenses and permits in Texas are issued at the city or county level. For information about these local licenses and permits, check the websites for any cities or counties where you will do business.

Professional and occupational licenses. These cover people who work in various fields. The Texas Department of Licensing and Regulation handles licensing for certain specialized professions and industries. Businesses that provide professional services generally must apply for a Certificate of Authority through the Secretary of State. You can file the application through the SOSDirect website.

6. Pick a Business Location and Check Zoning Laws

You’ll need to pick a location for your business and check local zoning regulations. Consider the needs of your customers, and if you have the kind of business that could benefit from foot or highway traffic. Before you commit to a location, take time to calculate the costs of running your business in the desired spot, including rent and utilities. You can refer back to your busi