CPA Office of K Mattarocci, PCFAQs
    Texas Entities Only

    Free Texas Entity Forfeiture Check

    Is your Texas business forfeited?

    Discovering your business is forfeited under Tax Code §171 can be alarming. Our free check verifies your exact status with the Texas Comptroller and Texas Secretary of State.

    We'll provide you with a clear summary and the next steps required to obtain your Certificate of Reinstatement.

    Why you must act quickly:

    A forfeited entity loses its right to transact business in Texas. Without a valid Certificate of Account Status, you risk bank account freezes, contract invalidation, and personal liability for business debts.

    Free Status Check
    No guessing
    Clear Summary

    Get Your Free Status Summary

    We'll verify your entity's current status and send you a clear summary.

    👉 No payment. No commitment.*

    *If you cannot locate this, leave blank. We can obtain it via Power of Attorney (a fee of $200 applies for a digitally signed and filed POA to the Comptroller).

    Learn more about the XT Webfile Number

    What Is Texas Forfeiture?

    Understanding the status and implications of a forfeited entity in Texas.

    Plain English

    In Texas, "forfeiture" means your business entity has lost its right to conduct business in the state. It is essentially a suspension of your corporate privileges. You cannot legally enter into contracts, sue, or defend your business in Texas courts.

    Consequences

    The consequences of ignoring a forfeiture are severe. Beyond losing the ability to operate legally, the most dangerous consequence is that the corporate veil is pierced. This means officers and directors can be held personally liable for any debts the business incurs while forfeited.

    Why it happens

    Forfeiture almost always occurs for one of two reasons: failing to file your required annual franchise tax report with the Texas Comptroller, or failing to pay the franchise tax owed. Sometimes, it can also result from failing to maintain a registered agent with the Texas Secretary of State.

    Your Path to Compliance

    A complete framework for Texas entity good standing.

    High Risk Warning

    What Happens If You Do Nothing?

    Under Tax Code §171, ignoring a forfeited or revoked status in Texas carries severe consequences that escalate over time.

    • Bank Account Freezes

      Financial institutions regularly check entity status. Forfeiture often triggers immediate account holds and loan defaults.

    • Contract Invalidity

      You lose the right to defend your business in Texas courts, and existing contracts may become unenforceable.

    • Personal Liability Exposure

      Officers and directors can become personally liable for business debts created during the forfeiture period.

    The Path to Reinstatement

    1-3 Business Days
    Free Status Check
    4-10 Business Days
    Identify Issues & File
    2-3 Weeks
    State Processing
    Done
    Certificate of Reinstatement Issued