Texas has no state income tax — one of the most tax-friendly states for freelancers and 1099 workers. Here is what you still owe and what to watch out for.
Texas has no state income tax. As a 1099 worker in Texas, you only owe federal self-employment tax and federal income tax. This makes Texas one of the most tax-friendly states for freelancers.
Use our 1099 calculator — select California from the state dropdown for your exact federal + state total.
If you operate as a Texas LLC, you may owe the Texas franchise tax (0.375% of gross revenue for most businesses). Sole proprietors filing Schedule C are exempt.
You only make quarterly estimated tax payments to the IRS — there is no Texas state quarterly payment. Use IRS Direct Pay at irs.gov/payments.
Most Texas freelancers do not file a state income tax return. You only file your federal Form 1040 with Schedule C.
A Texas freelancer earning $100K saves $8,000–$12,000/year vs the same income in California or New York.
Federal mileage deduction (67¢/mile) still applies. Track every business mile — it reduces your federal tax bill.
Without state tax, SEP-IRA only reduces federal taxes. But at 25% federal bracket, $20K contribution still saves $5,000+.
Federal home office deduction still reduces your federal tax. Use our home office calculator for your amount.
Quarterly deadlines: Apr 15, Jun 16, Sep 15, Jan 15. Pay only at irs.gov/payments — no state site needed.
These are estimates. Use the 1099 tax calculator with California selected for your exact number based on your deductions.
California has progressive rates from 1% to 13.3%. Most freelancers earning $50,000–$100,000 pay a 9.3% marginal rate. Use our 1099 tax calculator with California selected for your exact amount.
Yes. Pay federal quarterly estimated taxes at irs.gov/payments and California taxes at ftb.ca.gov. Same 4 deadlines: Apr 15, Jun 16, Sep 15, Jan 15.
Only $5,202 for single filers versus the federal $14,600. This means California taxes $9,398 more of your income than the IRS. At 9.3%, that costs you an additional $874 in state tax.
No. California does not conform to the federal 20% Qualified Business Income (QBI) deduction. Your California taxable income will be higher than your federal taxable income as a result.
At $80,000 net income: save 38–42%. This covers federal SE tax (~14%), federal income tax (~18%), and California state tax (~8–9%). Use the 1099 calculator for your exact number.
ClickTaxEasy calculates your federal + Texas quarterly payments automatically based on your tracked income.
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