Taxes / Develop Richmond

Texas has built a reputation as the best state in the nation for business being selected as the best state for business a record 13 times in a row by Chief Executive Magazine. A major factor in this ranking is the lack of a corporate or personal income tax and the low levels of state and local taxes.

"Best State for Business"

Chief Executive Magazine, 2017

Businesses locating in Richmond will enjoy a business climate that is among the most competitive in the nation.

Tax Rates & Information

State of Texas	6.25%
City of Richmond	1.5%
Development Corp. of Richmond	0.5%
Total	8.25%

New Rates to be Approved in early September to as Low as $0.66.

City of Richmond	$0.69
Fort Bend County	$0.4447
Lamar Consolidated ISD	$1.32
Fort Bend Drainage District	$0.01335
Total Rate	$2.4547

State of Texas	6%
City of Richmond	7%
Total Rate	13%

Texas does not have any form of personal or corporate income tax.

In fact, Texas is 1 of 7 states in the nation that do not levy an income tax.

0.75% of margin for most taxable entities or 0.375% for entities primarily engaged in retail or wholesale trade.
0.331% for entities with $20 million or less in total revenue.
Tax does not apply to sole proprietorships, general partnerships with individual owners, nonprofits or other specific entities
More information on the franchise tax is available from the State Comptroller Website.

2.7% general entry rate charged on the first $9,000 of wages per employee.
Reassessed after 6 quarters and charged at own experience rate.
Effective tax rate ranges from 0.26% to 6.25%.