The US state of Texas has finalised the regulations for the categorisation of micro-businesses and small businesses under its remote sales and use tax regulations for marketplace providers and remote sellers in accordance with the state’s Comptroller, Texas Register 28 June 2024 Issue, on 28 June 2024.
As per the finalised regulations, a micro-business has no more than 20 employees, while a small business has fewer than 100 employees. Both micro-businesses and small businesses are formed for the purpose of making a profit and are independently owned and operated.
The regulations establish that the location where a micro or small business operates also qualifies as its place of business. In addition, these regulations also allow micro businesses and small businesses to have legal entity status like partnerships, corporations, partnerships, or sole proprietorships because they generate profits and are independently owned and operated.
