Contingent Liability Insurance Definition - What does Contingent Liability Insurance mean? Contingent liability insurance is insurance protection against potential perils or obligations that may or may not come to be, depending on how a particular event turns out. Companies often purchase it to protect against the possibility that an event would result in the party owing a large sum of money.
Texas: Franchise Tax Is Not an Income Tax; Compact Election Not Allowed. In the latest decision addressing the availability of the Multistate Tax Compactâs three-factor apportionment election, a Texas appeals court ruled that the election was not allowed in computing Texas franchise (margin) tax liability.
Franchise Tax at Incorporation. â¢ The initial franchise tax is assessed at the rate. of 15/100 of 1 percent ($1.50 per $1,000) on. the paid-in capital represented in this state. (The minimum initial franchise tax is $25.).