Starting a house cleaning company in Texas: tax, permit and hiring

This page covers only what is different about starting a house cleaning company in Texas. The parts that are the same everywhere (picking a service list, buying a vacuum, finding your first clients) are in the national cleaning startup guide. The reason Texas deserves its own page is simple: most states do not tax a maid's labor, and Texas does.

Is house cleaning taxable in Texas?

Yes. Texas Tax Code section 151.0048 defines a "real property service" to include "building or grounds cleaning, janitorial, or custodial services," alongside landscaping, lawn care, trash removal, structural pest control and surveying. Real property services are taxable under that section.

The Comptroller's own publication on cleaning and janitorial services, Publication 94-111 (dated October 2006 on the Comptroller's site), is direct about homes. It says tax is due on the charge to clean a home, office, warehouse, garage or restaurant. Its list of taxable tasks includes washing windows, floors, walls and ceilings, cleaning chimneys or air ducts, and indoor or outdoor trash pickup. The Comptroller also states that you collect state tax plus any local taxes (city, county, special purpose district or transit) on the amount you bill.

The state rate is 6.25 percent. Local jurisdictions can add up to 2 percent, for a combined maximum of 8.25 percent, according to the Comptroller's sales tax page. On a $150 cleaning in a location at the 8.25 percent maximum, the tax line is $12.38. Look up the combined rate for each address you serve, because it varies.

What about a cleaner who works alone for a household?

Publication 94-111 contains one exemption that new owners misread. The Comptroller says self-employed people who provide traditional household services, such as housekeeping, babysitting or cooking, are exempt, but it conditions that on the person being an employee of the household. It also states that the person cannot be a subcontractor for a third party such as a maid service.

In practice, a company that sends crews, markets to many households and sets its own prices should assume it collects tax. A single person who works directly for one family on that family's terms is a different situation, and whether you fit it depends on facts the Comptroller decides. If you are close to that line, call the Comptroller before your first invoice. Do not assume the exemption covers a business with a logo, a booking page and a schedule of customers.

Subcontracting works in one direction. The Comptroller says that if a maid service cleans for you, you can give that service a resale certificate for the sales price, and you then collect tax from your customer on the total charge. This matters if you plan to sell cleanings before you have your own crew.

Get the sales tax permit before the first job

The Comptroller of Public Accounts issues the permit that lets you collect tax. The Comptroller's sales tax page links an online application and does not list an application fee. After it approves the application, it notifies you by letter whether you file monthly, quarterly or yearly. Keep every invoice and every certificate in one folder.

The same Comptroller pages say you pay tax on the soap, cleaners, chemicals, materials, supplies and equipment you use to perform a taxable service. You can give your supplier a resale certificate for items that pass to the customer as part of the service, such as wax, furniture polish, toilet paper, paper towels and restroom hand soap. Mops, vacuums and the spray bottles you refill are yours, so the tax you pay on them is a cost of doing business. Build it into your pricing, a topic our house cleaning pricing guide works through.

Forming the LLC and keeping it in good standing

A Texas LLC is created by filing a Certificate of Formation (Form 205) with the Secretary of State. The fee printed on the form in October 2026 is $300. Your name must include a phrase such as "limited liability company" or an accepted abbreviation, and you must name a registered agent in Texas. Our Texas startup guide has the full steps, and the LLC versus sole proprietor guide covers whether you need one at all.

The Comptroller expects a franchise tax report every May 15. For 2026 and 2027 reports, it lists a no tax due threshold of $2,650,000 in annualized revenue. An entity at or below that line files an information report instead of paying franchise tax. Skipping the filing can lead to forfeiture of the LLC's right to do business in Texas, according to the Comptroller.

Hiring cleaners: unemployment tax and optional workers' comp

Most house cleaning companies grow by hiring. Two Texas rules shape that.

First, unemployment tax. The Texas Workforce Commission says an employer becomes liable once it pays $1,500 or more in gross wages in a calendar quarter, or has at least one employee during twenty different weeks in a calendar year, whichever happens first. The twenty weeks need not be consecutive. TWC also says to register within ten days of becoming liable. A cleaning company with a part-time helper can cross the twenty-week test without ever crossing the dollar test.

Second, workers' compensation. The Texas Department of Insurance says it is optional for private employers in most cases. Employers who go without are called nonsubscribers. TDI says they must file a notice of no coverage with the Division of Workers' Compensation after hiring the first employee and every year between February 1 and April 30, and must give new employees written notice of no coverage. Employers with five or more employees must also report work-related injuries, illnesses and deaths that involve more than one day of lost time. Read the nonsubscriber guidance before you decide. Cleaners lift, bend and handle chemicals, so weigh the decision against the general guidance in business insurance for contractors.

The line between a helper and a contractor also matters. Our guide to employee versus independent contractor explains the federal tests. In Texas the sales tax rules above add a second reason to get it right.

What to do first, in order

1. Call or check the Comptroller about whether your arrangement is a household employee or a business, then apply for the sales tax permit.
2. File Form 205 for the LLC and open a business bank account.
3. Add "plus applicable sales tax" to your website, estimates and booking confirmations. A booking page that shows a total with tax avoids refund requests later.
4. Set up a resale certificate with your supply vendor for the items that go to the customer.
5. Decide on workers' comp before the first hire starts, and register with TWC when you cross either unemployment test.

Customers searching "house cleaning near me" in a Texas city compare prices. A clean, tax-inclusive total on your page helps you win those clicks without a surprise at checkout. Our guides on house cleaning marketing ideas and cleaning company SEO cover how to be found, and the house cleaning industry page shows the owned-lead setup we build.

What Texas does not require

As of October 2026, Texas does not issue a state license for house cleaning. The Texas Department of Licensing and Regulation and the plumbing, pesticide and other boards license specific trades, and cleaning is not among them. Cities can still have their own rules, so ask the city where you operate about local business registration. None of this is legal or tax advice. Because rules shift, run each point past the Comptroller, TWC and TDI.

Frequently asked questions