Start Amazon FBA in Texas: full reference guide

Texas-specific friction

Texas draws a hard line between Texas sellers and remote sellers. If you are based in Texas, Amazon's marketplace collection does not remove the need for a Texas sales tax permit.

• Texas draws a hard line between Texas sellers and remote sellers. If you are based in Texas, Amazon's marketplace collection does not remove the need for a Texas sales tax permit.
• Texas splits assumed-name work by entity type: sole proprietors and general partnerships use the county clerk path, while LLCs and corporations use Form 503 with the Secretary of State.
• Texas LLC maintenance is easy to misread because there is no ordinary Secretary of State LLC annual report, but annual Comptroller filings still matter. For 2026, the no-tax-due threshold is $2.65 million, the No Tax Due Report is discontinued, and taxable entities at or below that threshold still file PIR or OIR.
• Texas workers' compensation is optional for most private employers, but the non-subscriber notice and reporting duties are real and can surprise small operators.
• Houston not having zoning does not remove deed restrictions, business-type permits, or code triggers.

Amazon FBA-specific friction

Amazon identity verification can stall a launch if your records do not match.

• Amazon identity verification can stall a launch if your records do not match.
• FBA eligibility is narrower than basic seller-account eligibility.
• Plan fees, referral fees, and FBA costs stack quickly if you send inventory before validating demand.
• Restricted-category and authenticity reviews can block listings after you already bought stock.

Insurance reality

If you sell physical products, commercial general liability and product liability insurance become practical early, even before Amazon requires it.

• If you sell physical products, commercial general liability and product liability insurance become practical early, even before Amazon requires it.
• Public Amazon forum materials say commercial liability insurance may be required within 30 days after exceeding USD 10,000 in gross proceeds in one month, or earlier if Amazon requests it.
• Public Amazon forum materials also reference at least USD 1,000,000 in commercial liability coverage, but the live policy text sits in Seller Central and is login-gated.
• Re-check the live Seller Central insurance language on the actual launch date before acting on the public forum baseline.

Do these before you spend money

• Pick your entity.
• Pick your business name.
• Decide your product lane.
• Avoid regulated or high-risk categories for your first launch unless you deliberately want a harder compliance build.
• Confirm the product is not blocked by Texas law, safety rules, or Amazon policy.
• Make sure you can document supplier legitimacy and authenticity.

Do these before your first sale

• Form the business or file your assumed name if needed.
• Get an EIN from the IRS if applicable.
• Open a dedicated business bank account.
• Get the Texas sales tax permit branch right before relying on marketplace collection or resale treatment.
• Check county and local permit, deed-restriction, and home-business rules.
• Create your Amazon seller account and complete verification.

Do these before launch goes live

• Finish the Amazon account and FBA operations branch.
• Confirm category, product, and FBA eligibility.
• Build the first listing correctly.
• Prep, label, and ship a small first batch.
• Start small so you can test demand and catch compliance mistakes early.

1. EIN

A typical single-member LLC needs an EIN.

• A typical single-member LLC needs an EIN.
• A sole proprietor commonly needs one once employees are hired and may still want one for operations even when not strictly required.

2. Texas sales tax, seller permit, or equivalent registration

Texas uses the online sales-tax registration system or Form AP-201.

• Texas uses the online sales-tax registration system or Form AP-201.
• There is no permit fee, but a security bond may be required.
• You must obtain a permit if you are engaged in business in Texas and sell taxable goods or taxable services.
• A seller needs a permit for each active place of business as Texas defines that term.
• Permit holders must file sales-tax returns even when they have no taxable sales or purchases to report.

3. Marketplace or platform tax rule

Marketplace providers engaged in business in Texas must collect, report, and remit state and local sales and use tax on marketplace sales.

• Marketplace providers engaged in business in Texas must collect, report, and remit state and local sales and use tax on marketplace sales.
• Remote sellers that only sell through a certified marketplace provider generally do not need a Texas tax permit.
• A Texas seller living or operating in Texas still needs an active sales and use tax permit even if it sells only through a marketplace provider that certifies it will collect and remit tax.
• Remote-seller inventory storage has a separate warehouse nuance:
• if the remote seller is below the $500,000 safe-harbor threshold and its only Texas presence is inventory temporarily stored in a marketplace provider's Texas facility, it does not need a permit if the provider certified collection;
• if the remote seller is above the $500,000 safe-harbor threshold and has inventory temporarily stored in a marketplace provider's Texas facility, it must obtain a permit and collect tax on its own direct sales.

4. Resale purchases or exempt purchasing

Texas uses Form 01-339, Texas Sales and Use Tax Resale Certificate.

• Texas uses Form 01-339, Texas Sales and Use Tax Resale Certificate.
• The purchaser's Texas taxpayer number appears on the certificate.
• A copy of a sales tax permit is not a substitute for a resale certificate.
• Sellers should keep resale certificates in their books and records for at least 4 years.

5. Entity tax treatment

Texas LLCs are subject to state franchise-tax laws.

• Texas LLCs are subject to state franchise-tax laws.
• The legal formation of the entity, not its federal tax classification, drives Texas franchise-tax filing responsibility.
• A sole proprietorship that is not legally organized in a liability-limiting form is not a taxable entity for Texas franchise-tax purposes.

6. Entity filing-fee or franchise-tax rule

The Texas franchise-tax annual due date is May 15.

• The Texas franchise-tax annual due date is May 15.
• For reports due in 2026, the no-tax-due threshold is $2.65 million.
• Effective for reports due on or after January 1, 2024, the No Tax Due Report is discontinued.
• A taxable entity at or below the no-tax-due threshold still files PIR or OIR.
• Separate Texas local-tax maintenance can also apply: business owners must report a rendition of personal property to the county appraisal district, and the general property deadline is April 15.

7. If the founder changes entity type later

Texas says a new sales-tax permit is needed if ownership changes.

• Texas says a new sales-tax permit is needed if ownership changes.
• If you operate as a sole proprietor and then form an LLC or corporation, Texas treats that as a change of ownership.
• The new entity must obtain its own permit, and the obsolete sole-proprietor permit should be closed if no longer needed.

Local permits and location checks

Texas pushes many permit and location questions down to counties, cities, appraisal districts, and activity-specific agencies.

• Texas pushes many permit and location questions down to counties, cities, appraisal districts, and activity-specific agencies.
• For any place where the business will operate:
• use the 2026-2027 Texas Business Licenses & Permits Guide,
• contact the county clerk if you need a sole-proprietor or general-partnership assumed-name filing,
• contact the city or county office where the business will operate,
• ask zoning, permitting, planning, or code offices whether home activity, storage, or alterations trigger review,
• and check the county appraisal district if you will hold taxable business personal property in Texas.
• Typical local risk areas:
• assumed-name filing
• home occupation restrictions
• deed restrictions
• zoning or no-zoning misunderstandings
• inventory storage
• delivery or carrier traffic
• fire-code or building-code triggers
• appraisal-district rendition duties

Houston Appendix

If the business operates in Houston, add one more review layer.

• If the business operates in Houston, add one more review layer.
• The City of Houston says it does not have zoning, but development is still governed by ordinances and subdivision rules.
• Houston's business-location guidance says that if you are considering a home-based business, you should check whether it is allowable under existing deed restrictions.
• Houston's deed-restriction guidance says deed restrictions may legally prohibit some businesses from operating from a home.
• Houston's permits and inspections page says not every business activity is licensed, but some activities do require city permits or licenses through the Houston Permitting Center and permit portal.
• The Harris County Clerk assumed-name branch is the local search and filing path for unincorporated Houston-area businesses in Harris County. The current clerk page says the filing term can be 1 to 10 years and lists notarized filing at $24.00 for the first owner plus $0.50 for each additional owner, or non-notarized filing at $25.00 for the first owner plus $0.50 per additional owner and a $1.00 witnessing fee per filed document.
• Public-record caveat: Houston's startup guide says all entity types must file a DBA, but the Texas Secretary of State's statewide assumed-name guidance is narrower and says LLCs and corporations file with the Secretary of State, not the county clerk. This pack follows the state filing rule first and treats the city wording as overbroad.
• Public-record caveat: the reviewed Houston pages do not give one clean city-level yes-or-no answer on whether a plain home-based general-merchandise ecommerce seller needs a standalone city permit. Treat that narrow permit answer as unverified unless the address, inventory pattern, or specific business activity triggers a known permit branch.

1. Employer registration

TWC says liable employers must register within 10 days of becoming liable for unemployment tax.

• TWC says liable employers must register within 10 days of becoming liable for unemployment tax.
• The first $9,000 paid to each employee in a calendar year is taxable for Texas unemployment-tax purposes.
• TWC says quarterly wage reports and payments are due by the last day of the month following the end of the calendar quarter.
• For 2026, TWC says the entry-level unemployment-tax rate is 2.70% for all groups with no exceptions.
• Texas new-hire reporting goes to the Office of the Attorney General within 20 calendar days of the date the employee starts earning wages.
• TWC says liable employers must register within 10 days of becoming liable, the first $9,000 paid to each employee in a calendar year is taxable, and quarterly wage reports and payments are due by the last day of the month following each quarter.

2. Workers' compensation

Texas private employers can choose whether to carry workers' compensation in most cases.

• Texas private employers can choose whether to carry workers' compensation in most cases.
• All Texas governmental entities must have workers' compensation coverage.
• Private employers on certain government building or construction projects must provide workers' compensation for workers on the public project.
• If a private employer does not provide coverage, it becomes a non-subscriber.
• Non-subscribers must:
• post a notice of no coverage in the workplace,
• give written notice of no coverage to new employees,
• file notice of no coverage with DWC between February 1 and April 30 each year,
• file again after hiring the first employee or after terminating a workers' compensation policy,
• and, if they have at least 5 employees, report covered workplace injuries, illnesses, and deaths with more than one day of lost time.
• TWC says liable employers must register within 10 days of becoming liable, the first $9,000 paid to each employee in a calendar year is taxable, and quarterly wage reports and payments are due by the last day of the month following each quarter.
• Texas private employers can choose whether to carry workers' compensation in most cases, but non-subscribers still have notice and reporting obligations.
• All Texas governmental entities must have workers' compensation coverage, and private employers on certain government building or construction projects must provide it for project workers.

3. Disability, paid leave, or similar coverage

No separate Texas statewide private-employer disability insurance or paid-leave registration requirement was identified in the reviewed public sources as of April 26, 2026.

• No separate Texas statewide private-employer disability insurance or paid-leave registration requirement was identified in the reviewed public sources as of April 26, 2026.
• Re-check if your workforce facts are unusual or if local rules change.

4. Exemption certificate if applicable

No Texas public equivalent to a New York CE-200-style broad employer exemption certificate was identified in the reviewed sources for an ordinary Amazon FBA business.

• No Texas public equivalent to a New York CE-200-style broad employer exemption certificate was identified in the reviewed sources for an ordinary Amazon FBA business.
• Public-project building or construction work has separate workers' compensation certificate and notice mechanics, but that is outside this pack's default Amazon seller path.

Insurance reality

If you sell physical products, commercial general liability and product liability insurance become practical early, even before Amazon requires it.

• If you sell physical products, commercial general liability and product liability insurance become practical early, even before Amazon requires it.
• Public Amazon forum materials say commercial liability insurance may be required within 30 days after exceeding USD 10,000 in gross proceeds in one month, or earlier if Amazon requests it.
• Public Amazon forum materials also reference at least USD 1,000,000 in commercial liability coverage, but the live policy text sits in Seller Central and is login-gated.
• Re-check the live Seller Central insurance language on the actual launch date before acting on the public forum baseline.

Before first sale

• Finish entity or assumed-name setup.
• Get EIN if applicable.
• Open bank account.
• Get the Texas sales tax permit branch right for your facts.
• Check county and local permits, deed restrictions, and home-business rules.
• Complete Amazon verification.

Before first live launch

• Finish the Amazon FBA branch.
• Confirm category and FBA eligibility.
• Build accurate listings.
• Complete prep, labeling, and inbound shipment setup.

Monthly

• Reconcile payouts, fees, refunds, and reimbursements.
• Review cash reserves for taxes.
• Review margins and inventory age.
• Check account health and listing issues.

Quarterly

• If the Comptroller assigns quarterly Texas sales-tax filing, returns are generally due on April 20, July 20, October 20, and January 20, with the due date shifting to the next business day if the date falls on a weekend or federal legal holiday.
• If you are a Texas unemployment-tax employer, TWC says quarterly wage reports and payments are due by the last day of the month following each quarter.
• Review estimated-tax planning for federal income taxes and any Texas-specific cash obligations that are building.

Annual or periodic

• File the Texas franchise-tax and PIR or OIR cycle on or before May 15 each year if your entity is in scope. The 2026 due date is May 15, 2026.
• If you own taxable business personal property used to produce income, check the county appraisal-district rendition deadline. Texas says property generally is due April 15, with extensions available in some cases.
• File annual federal income tax returns as applicable to your entity and tax election.
• Renew or replace assumed-name filings before expiration if you keep using the trade name.
• If you are a Texas workers' compensation non-subscriber, file the annual notice of no coverage between February 1 and April 30, and make the other notice filings triggered by hiring or policy changes.
• Re-check Houston local rules if your address, storage pattern, employees, or home-business intensity changes.
• Re-check Amazon insurance language and your policy limits as sales scale.