# Tex. Tax Code § 171.0005: DEFINITION OF NEW VETERAN-OWNED BUSINESS

> Texas · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0005

## Section

- **Citation:** Tex. Tax Code § 171.0005
- **Heading:** DEFINITION OF NEW VETERAN-OWNED BUSINESS
- **Jurisdiction:** Texas
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** TX Code / Code tx / Chapter 171 / Section 171.0005

## Text

(a) A taxable entity is a new veteran-owned business only if the taxable entity is a new business in which each owner is a natural person who:

(1) served in and was honorably discharged from a branch of the United States armed forces; and

(2) provides verification to the comptroller of the person's service and discharge required by Subdivision (1).

(b) The Texas Veterans Commission shall provide to a person who meets the requirements of Subsection (a)(1) written verification of that status in a form required by the comptroller. The comptroller shall adopt rules prescribing the form and content of the verification and the manner in which the verification may be provided to the comptroller.

(c) For purposes of Subsection (a), a new business is a taxable entity that:

(1) is chartered or organized or otherwise formed in this state; and

(2) first begins doing business in this state on or after January 1, 2022.

## Nearby sections

- [Tex. Tax Code § 171.0001 § 171.0001. GENERAL DEFINITIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0001.md)
- [Tex. Tax Code § 171.001 § 171.001. TAX IMPOSED.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.001.md)
- [Tex. Tax Code § 171.0002 § 171.0002. DEFINITION OF TAXABLE ENTITY.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0002.md)
- [Tex. Tax Code § 171.002 § 171.002. RATES; COMPUTATION OF TAX.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.002.md)
- [Tex. Tax Code § 171.003 § 171.003. INCREASE IN RATE REQUIRES VOTER APPROVAL.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.003.md)
- [Tex. Tax Code § 171.0003 § 171.0003. DEFINITION OF PASSIVE ENTITY.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0003.md)
- [Tex. Tax Code § 171.0004 § 171.0004. DEFINITION OF CONDUCTING ACTIVE TRADE OR BUSINESS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0004.md)
- [Tex. Tax Code § 171.0005 § 171.0005. DEFINITION OF NEW VETERAN-OWNED BUSINESS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0005.md)
- [Tex. Tax Code § 171.006 § 171.006. ADJUSTMENT OF ELIGIBILITY FOR NO TAX DUE, DISCOUNTS, AND COMPENSATION DEDUCTION.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.006.md)
- [Tex. Tax Code § 171.0011 § 171.0011. ADDITIONAL TAX.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0011.md)
- [Tex. Tax Code § 171.051 § 171.051. APPLICATION FOR EXEMPTION; EFFECTIVE DATE.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.051.md)
- [Tex. Tax Code § 171.052 § 171.052. CERTAIN CORPORATIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.052.md)
- [Tex. Tax Code § 171.053 § 171.053. EXEMPTION--RAILWAY TERMINAL CORPORATION.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.053.md)
- [Tex. Tax Code § 171.055 § 171.055. EXEMPTION--OPEN-END INVESTMENT COMPANY.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.055.md)

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TX_Ctx_C171_S171.0005. Check the current official text before relying on it. Not legal advice.