Opening a restaurant in Texas: the permits and paperwork checklist

The order that actually works

Most of this can run in parallel, but a couple of pieces gate everything else. You can't open a Comptroller sales tax account or a business bank account without an entity and an EIN. You can't get a health inspection scheduled without a physical address and a menu concept locked down enough to describe your operation. And TABC won't move on a permit until your entity and lease are settled. Start the entity and the health permit application the same week — they run on different clocks and both take longer than expected.

Pick your entity and get your EIN first

Whether you file as an LLC, a corporation, or something else is a decision for your accountant or attorney based on liability and how you want to be taxed — that's not a call this page will make for you. What matters here is sequencing: file with the Texas Secretary of State, get your federal EIN from the IRS, and only then open your business bank account and your Comptroller tax accounts. Trying to do it in the other order is the most common self-inflicted delay owners run into.

Register for a Texas sales tax permit

Texas has no separate "restaurant tax." Prepared food and drinks are taxed under the general Texas sales and use tax: a 6.25% state rate, plus up to 2% in local city, county, transit, and special-purpose district taxes, for a maximum combined rate of 8.25% anywhere in the state. Register for your sales tax permit through the Comptroller before you sell a single plate, and set your actual combined rate for your address — not a guess — the first time you configure your point of sale or online checkout.

Health permit: DSHS or your city — check which one runs your address

This is the step people get backwards. Texas DSHS enforces the Texas Food Establishment Rules directly only in areas of the state that do not already have their own city or county ordinance covering retail food establishments — and most Texas cities and counties do regulate locally through their own health department. So your first move is finding out which authority actually covers your address, not assuming it's DSHS. Where DSHS is the permitting authority, its published fee tiers run by gross annual volume: $258 under $50,000, $515 from $50,000–$149,999.99, and $773 at $150,000 or more, plus a $150 inspection application fee. A local health department that regulates its own jurisdiction may charge different fees entirely — confirm with them directly.

TABC: only if you're pouring alcohol

If you plan to serve beer, wine, or spirits, you'll need a TABC permit that matches what you're pouring — a Mixed Beverage Permit for spirits, wine, and malt beverages on-premise; a Wine and Malt Beverage Retailer's Permit for on- and off-premise wine and malt beverage sales; or a Retail Dealer's On-Premise License for malt beverages only. If you want to serve past midnight, that's a separate Late Hours Certificate. And if alcohol is a meaningful share of your revenue, know the current rule going in: a Food and Beverage Certificate requires you to either qualify as a restaurant or keep alcohol at 60% or less of total sales.

A certified food manager, and food handler training for the crew

Texas requires many food service employees to complete an accredited food handler course within 30 days of starting the job — build that into your onboarding checklist, not an afterthought. Separately, get a Certified Food Manager on staff; the credential is valid for five years, and a certificate from an ANSI-CFP-accredited or a DSHS-approved provider must be honored by county and city health departments regardless of where you got it. Some larger counties add their own requirement to have a manager on duty during operating hours — ask your local health authority directly rather than assuming your county's rule.

Signage, occupancy, and the fire marshal: always check with the city

Sign permits, maximum occupancy, parking, and fire marshal sign-off are all local matters that vary by city and zoning district — there's no statewide number to hand you here. Call your city's building department before you order signage or finalize your dining room layout, not after.

Have your site and online ordering live before day one

Whatever else is still in progress, get your menu published with real prices and photos and at least pickup ordering working before you open the doors. Your first web searches, your first reviews, and your first regulars all show up faster than most owners expect, and a site that's still "coming soon" on opening week costs you exactly the traffic you spent the most effort earning.

What this checklist doesn't cover

This page is the paperwork order, not tax or permit-type detail — see the linked guides on Texas sales tax, TABC permits, and the DSHS-versus-local health permit split for the specifics behind each step above.