Quarterly Contribution and Wage Report in Dallas, Texas (2026)
Your restaurant won't receive its full tax credit and your Unemployment Insurance (UI) tax rate won't be accurately calculated, causing surprise charges, if you don't file the Quarterly Contribution and Wage Report with the Texas Workforce Commission (TWC). This mandatory report, also called the Employer's Quarterly Tax and Wage Report, is how the TWC in Dallas calculates your unemployment tax obligations and credits based on your payroll. Key facts:
- 22 fields — ApronPrep auto-fills 18
- $0–$0 government filing fees
- Varies processing time
Analyzed from Quarterly Contribution and Wage Report
82% from one compliance interview
Manual entry or document upload required
Why You Need a Quarterly Contribution and Wage Report
Texas law requires all employers, including restaurant owners, to report employee wages and pay unemployment insurance taxes. The legal basis for the Quarterly Contribution and Wage Report is the Texas Unemployment Compensation Act (Texas Labor Code, Title 4, Subtitle A). This Act mandates that the Texas Workforce Commission (TWC) collect contributions to fund the state’s unemployment trust fund. The City of Dallas does not administer this program but enforces business registration and tax compliance; failure to file this state report can trigger local audits and penalties from the Dallas Office of Financial Services. As an employer, you are the 'reporting agent' responsible for submitting this data to the TWC every quarter, even if you have no wages to report for that period.
Missing or late reports carry significant financial and operational consequences. Based on TWC penalty schedules and Dallas compliance actions, common repercussions include:
- Penalty assessments for late filing/payment: Fixed monetary penalties are applied for each late report, which escalate if delinquency continues. Interest accrues on any unpaid contributions from the due date.
- Fraud penalties (Texas Labor Code § 207.053): Willful misrepresentation of wage data can result in penalties up to 15% of the contributions due, plus potential criminal prosecution.
- Business operation freezes: The TWC can file a lien on your business assets. The City of Dallas may also suspend or refuse to renew your Certificate of Occupancy or other local business licenses until state tax obligations are cleared, effectively halting your ability to operate.
- Insurance and lease implications: A tax lien or delinquent status can violate the terms of commercial leases and make business insurance policies more expensive or difficult to obtain.
Legal code: State unemployment insurance act, employer registration requirements
Who Needs a Quarterly Contribution and Wage Report?
| Type | Required | Notes |
|---|---|---|
| Restaurant (Full-Service) | Required | All employers with one or more employees are required to file, per Texas Labor Code § 203.006 and local ordinance, with no exemption for restaurant payroll size. |
| Bar / Nightclub | Required | Required for any establishment with employees, as defined by the Texas Unemployment Compensation Act § 201.027; tipped wages must be reported. |
| Food Truck | Required | Required if operating with a payroll, as mobile food vendors are considered employers under the same state labor code; filing is based on business location or home base in Dallas. |
| Coffee Shop / Café | Required | Mandatory for any business with employees, as there is no minimum wage threshold for filing the quarterly report under Dallas city code. |
See which restaurant types need this requirement — and which don't.
See Full Requirements →Field-by-Field Guide (22 Fields)
18 of 22 auto-filledEmployer's Legal Business Name
textEnter the exact, full legal name of your business as it is registered with the Texas Secretary of State or the IRS—this must match the name on your federal EIN and Texas Workforce Commission account documents exactly.
COMMON MISTAKE: Using a trade name (DBA), a shortened or abbreviated version of the name, or the owner's personal name instead of the registered legal entity name.
Federal Employer Identification Number (EIN)
textEnter your 9-digit Federal Employer Identification Number assigned by the IRS in the format XX-XXXXXXX, making sure it matches the EIN used for all federal tax filings.
COMMON MISTAKE: Omitting the dash, using a Social Security Number instead of an EIN for a corporation or LLC, or transposing digits, which causes a mismatch with TWC records.
Texas Workforce Commission Account Number
textEnter your 7-digit TWC Unemployment Tax Account Number, which you received when you first registered your business for Texas unemployment insurance taxes.
COMMON MISTAKE: Leaving this field blank, entering an old or inactive account number, or confusing it with a tax permit number from the Texas Comptroller.
Business Mailing Address
textEnter the complete mailing address where you want official TWC correspondence and notices sent, including street address, city, state, and ZIP code—this can differ from your physical restaurant location.
COMMON MISTAKE: Including only a PO Box without a street address (if required by your account setup), using an outdated address from a previous business location, or omitting the suite or unit number.
Business Phone Number
textProvide a working, monitored business phone number with area code where the TWC can contact you regarding this report, typically the main restaurant line or an owner/manager's direct line.
COMMON MISTAKE: Providing a disconnected number, a personal cell phone that is rarely answered for business calls, or an incorrect area code.
Reporting Period - Quarter
textEnter the calendar quarter this report covers: First Quarter (January–March), Second Quarter (April–June), Third Quarter (July–September), or Fourth Quarter (October–December).
COMMON MISTAKE: Entering a fiscal quarter instead of the calendar quarter, misspelling the quarter (e.g., '3rd' instead of 'Third'), or reporting for a quarter that does not align with the entered year.
Reporting Period - Year
textEnter the four-digit year (e.g., 2026) for the reporting quarter, corresponding to the calendar year in which the quarter ends.
COMMON MISTAKE: Entering a two-digit year (e.g., '26'), entering the previous or upcoming year in error, or a mismatch with the quarter selected.
Total Number of Employees for the Quarter
textEnter the total number of individuals employed at any point during the quarter, including part-time, temporary, and seasonal workers, based on your payroll records.
COMMON MISTAKE: Entering the number of W-2s issued instead of a headcount, omitting owners who take a salary, or reporting an average number instead of the total unique individuals employed.
Employees Separated During Quarter
checkboxCheck this box if any employees were terminated, laid off, resigned, or otherwise left employment for any reason during the quarter reported.
COMMON MISTAKE: Failing to check the box when separations occurred (triggering an incomplete report) or checking it when no separations occurred (which may prompt unnecessary follow-up from TWC).
Employee Names and Social Security Numbers
textIf separations occurred, you must list the full legal name and Social Security Number of each separated employee exactly as it appears on their W-2 and I-9 forms.
COMMON MISTAKE: Providing nicknames or incomplete names, transposing SSN digits, listing current employees, or failing to provide this information when the 'separations' box is checked.
ApronPrep auto-fills 18 of 22 fields from a single compliance interview — no re-typing, no guessing what the government expects.
Top 5 Quarterly Contribution and Wage Report Mistakes
1. Incorrect or Missing Texas Workforce Commission (TWC) Account Number
Entering the wrong 8-digit TWC Account Number or leaving it blank is the most common cause of immediate rejection. This is the primary identifier for your business. Without the correct number, the TWC cannot credit payments or wages to your account, resulting in penalties for non-filing. Always use the account number printed on your TWC Tax Rate Notice or find it by logging into your TWC Unemployment Tax Services (UTS) online account.
2. Misreporting Employee Wages and Misclassifying Workers
Reporting only cash wages and omitting other taxable compensation like bonuses, commissions, or the cash value of meals and lodging will under-report your liability. Similarly, incorrectly classifying employees as independent contractors (1099 workers) to avoid unemployment taxes is a high-risk audit trigger. The TWC and IRS use common-law rules to determine worker status; misclassification can lead to back taxes, penalties, and interest. Report all compensation subject to Unemployment Insurance (UI) tax, which is typically the first $9,000 of each employee's annual wages.
3. Mathematical Errors in Total Wages or Tax Due
Manual calculation errors in total quarterly wages or the tax due (total wages x your assigned tax rate) are frequent. A discrepancy of even one dollar between the reported total wages and the sum of individual wage entries will flag the report for manual review. This adds 2–4 weeks to your processing timeline as the TWC contacts you for clarification. Use the TWC's UTS system or payroll software to auto-calculate totals, and always double-check that the figures on your report match your internal payroll registers.
Skip the Paperwork on Your Quarterly Contribution and Wage Report
ApronPrep auto-fills 18 of 22 fields from one compliance interview.
No credit card required
Quarterly Contribution and Wage Report by City in Texas
| City | Fee Range | Timeline |
|---|---|---|
| Dallas | ||
| Houston | ||
| San Antonio | No separate fee for filing; based on employer's UI tax rate contribution | Quarterly deadline typically 30 days after end of quarter; reports due last day of month following quarter end |
Timeline: Varies
Gather Quarterly Payroll Data
Compile your total wages paid, taxable wages (subject to Texas Unemployment Insurance tax), and the number of employees for each month of the quarter. You need your payroll register or reports from your accounting software like QuickBooks. The most common delay is missing one month’s data or using the wrong wage definition—Texas UI taxable wages often differ from federal wages.
Access the TWC Unemployment Tax Services Portal
Log into your Texas Workforce Commission (TWC) Unemployment Tax Services account using your TWC Tax Account Number and PIN. New employers must first register their business online through TWC's UI Online portal before filing. Bookmark the portal and ensure your browser allows pop-ups, as the wage report opens in a new window.
Complete and Submit Report Online
In the TWC portal, navigate to 'File Quarterly Wage Report' and enter the data for each month. You must report for all employees, even if they earned no taxable wages. Double-check that totals for 'Total Wages Paid' and 'Taxable Wages' are accurate; mismatches are a top cause of automated error notices and can trigger an audit.
Where to Apply
Applications go to the Texas department of unemployment assistance. Local procedures and fees may vary — select your city below.
Other Requirements You'll Need
This is one of 13 requirements for opening a restaurant in Texas.
ADA Compliance Self-Certification
federal
Alarm System Permit/Registration
local
Application for Employer Identification Number
federal
Articles of Organization (LLC) or Articles of Incorporation (Corporation)
state
See all co-required forms and how they connect to your compliance dossier.
See All RequirementsProcessing times vary. The Texas Workforce Commission does not publish a standard review timeline for submitted reports. After you file electronically, you receive a confirmation, but the agency reviews reports on a rolling basis. Contact the TWC Employer Hotline to confirm the current status of your report.
The government filing fee for the report itself is $0. This is mandated by Texas Labor Code § 201.081 for required quarterly submissions. However, you must still pay your calculated unemployment insurance taxes, which are separate. Not legal advice — verify tax calculations with the Texas Workforce Commission.
No, the report is specific to your employer account number and the quarter reported. If you move your business location, you must first update your business address with the Texas Workforce Commission. This process is distinct from local registrations like a City Business License/Registration, which must also be updated with the City of Dallas.
You do not renew it; you file it every quarter. Reports are due by the last day of the month following each calendar quarter (January, April, July, and October). Missing a quarterly filing triggers penalties. This regular reporting is a foundational business requirement, similar in frequency to other critical filings like your Application for Employer Identification Number updates with the IRS.
There is no physical inspection for this report. The Texas Workforce Commission conducts a desk audit of your submitted wage and tax data. They verify totals, employee classifications, and that contributions match reported wages. An audit discrepancy can lead to a penalty assessment, so accuracy is critical.
About This Data
This guide is generated from ApronPrep's compliance dossier system, which uses 53 parallel AI authority experts to discover requirements, then downloads actual forms and generates field-level intelligence for each one.
For Texas specifically, we have analyzed compliance dossiers for 3 cities (Dallas, Houston, San Antonio), generating Rich FILs (Form Intelligence Layers) with 22 form fields analyzed for this requirement. Fee data is sourced from actual county department fee schedules, not estimates.
Our data is verified against official government sources and updated when regulatory changes are detected. If you find an error, please report it — accuracy is our core commitment.
Sources
- State unemployment insurance act, employer registration requirements
- San Antonio — Department of Unemployment Assistance / Employment Security
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