{"data":{"id":"us-tx/tex.-insurance-code-228.201","jurisdiction":"us-tx","citation":"Tex. Insurance Code § 228.201","heading":"DEFINITION OF QUALIFIED BUSINESS.","body":"(a) In this chapter, \"qualified business\" means a business that complies with this section at the time of a certified capital company's first investment in the business.\n(b) A qualified business must:\n(1) be headquartered in this state and intend to remain in this state after receipt of the certified capital company's investment; and\n(2) have the business's principal business operations located in this state and intend to maintain business operations in this state after receipt of the certified capital company's investment.\n(c) A qualified business must agree to use the qualified investment primarily to:\n(1) support business operations in this state, other than advertising, promotion, and sales operations which may be conducted outside of this state; or\n(2) in the case of a start-up company, establish and support business operations in this state, other than advertising, promotion, and sales operations which may be conducted outside of this state.\n(d) A qualified business may not have more than 100 employees and must:\n(1) employ at least 80 percent of the business's employees in this state; or\n(2) pay 80 percent of the business's payroll to employees in this state.\n(e) A qualified business must be primarily engaged in:\n(1) manufacturing, processing, or assembling products;\n(2) conducting research and development; or\n(3) providing services.\n(f) A qualified business may not be primarily engaged in:\n(1) retail sales;\n(2) real estate development;\n(3) the business of insurance, banking, or lending; or\n(4) the provision of professional services provided by accountants, attorneys, or physicians.\nAdded by Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 1B.001, eff. April 1, 2009.","path":["INSURANCE CODE","TITLE 3. DEPARTMENT FUNDS, FEES, SURCHARGES, AND TAXES","SUBTITLE B. INSURANCE PREMIUM TAXES","CHAPTER 228. PREMIUM TAX CREDIT FOR CERTAIN INVESTMENTS","SUBCHAPTER E. QUALIFIED BUSINESS"],"source_url":"https://statutes.capitol.texas.gov/Docs/IN/htm/IN.228.htm#228.201","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:47:21Z","sha256":"45e326865f0d1d4918271772a8d20c3136d6854477a3e8f027337cc3b941fc89","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-insurance-code-228.158","next":"us-tx/tex.-insurance-code-228.202"},"notice":"GroundRules: Original legal text. Not legal advice."}