Hair salon licenses
in Austin, Texas
Start with the main licenses and permits below. For a checklist based on your own business, tell us what you’re opening and how it will operate.
Researched Sep 2026
About this example
The business is a hair salon located in Austin, Texas, operating in a physical commercial space with W-2 employees and retail sales of tangible goods. It is subject to federal, state, county, and city regulations, including licensing and tax requirements.
Requirement labels below refer to this setup. Conditional items depend on additional details.
Authorities researched
- County
- Travis County
- City
- City of Austin
Details to confirm before you apply
- Will the salon operate as an LLC or sole proprietorship?
- What specific retail products will be sold, and are they taxable?
- Is there an existing Certificate of Occupancy for the location?
- Will the salon have outdoor signage?
- Will an alarm system be installed?
- What is the exact address to confirm zoning compliance?
- Confirm with the responsible agencies whether additional requirements apply in these areas: Individual salon practitioner licensing; City business license or tax registration; Business personal-property filing or exemption; Construction permits for the commercial premises. These areas remain unresolved in this guide.
The main licenses and permits
6 of 16- 01Cosmetology Establishment LicenseTexas Department of Licensing and Regulation (TDLR), Barbering and Cosmetology program · Texas
A physical hair salon where cosmetology services are performed must hold a TDLR establishment license; this is the state-level industry license for the business (detailed requirements are covered in a separate industry-license pass).
RequiredLicense valid for 2 years from date of issue; renew before expiration - 02Certificate of Occupancy (CO) / Change of UseAustin Development Services Department (DSD) · Austin
The salon is a commercial space with staff and customers; a CO proves the structure is habitable for its legal use, and the space must have a CO reflecting a salon (personal services) use before opening.
RequiredOne-time per use; a new CO is required on a change of use or occupant/business change - 03Texas Sales and Use Tax PermitTexas Comptroller of Public Accounts · Texas
The salon sells tangible personal property (retail products such as shampoo, styling products) at a physical Texas location, which requires a sales tax permit; the permit holder must collect and remit sales tax on taxable sales.
RequiredNo fixed renewal cycle published — the permit remains valid while the business is actively engaged in business at that location; returns must be filed even with no taxable sales - 04Texas Franchise Tax registration and annual reportTexas Comptroller of Public Accounts · Texas
Every taxable entity formed or doing business in Texas — including the LLC that will operate this salon — is subject to franchise tax and must register and file an annual report, even when below the no-tax-due threshold.
RequiredAnnual (report due May 15) - 05Employer Identification Number (EIN)U.S. Internal Revenue Service (IRS) · Federal
The salon will hire W-2 employees, and the IRS requires an EIN for any business that hires employees (and for LLCs and corporations).
RequiredOne-time; no renewal - 06Federal employment taxes (income tax withholding, FICA/Social Security/Medicare, FUTA)U.S. Internal Revenue Service (IRS) · Federal
The salon will have W-2 employees, so it must withhold, deposit, and report federal income tax and Social Security/Medicare taxes and pay federal unemployment (FUTA) tax.
RequiredQuarterly and annual filing cycles per IRS schedule
This example includes 10 other potential requirements. A report based on your business explains which apply, how to file, published fees and timing, and what to complete first.
Make the checklist yours
Your location, activities, and business structure can change the list. Get a free preview for your business, then decide whether to unlock the full report for $49.
Questions people ask
What city business licenses or registrations should a hair salon in Austin check?
This guide does not establish whether Austin requires a stand-alone general business license or registration. Confirm that question with the city, in addition to reviewing the industry permits and registrations below.
How much do licenses and permits cost for a hair salon in Austin?
Most fees vary by item; see report. Several items have fees that depend on your entity type, square footage, or payroll, so the full report lists each fee as the agency publishes it.
What should I do first?
Review Employer Identification Number (EIN) (U.S. Internal Revenue Service (IRS)), then Federal employment taxes (income tax withholding, FICA/Social Security/Medicare, FUTA) (U.S. Internal Revenue Service (IRS)), then Business entity formation (Certificate of Formation — LLC) (if applicable) (Texas Secretary of State). Confirm each item's applicability and prerequisites before applying; the report provides a suggested order for the full checklist.
Is this legal advice?
No. It is a research summary of public requirements published by government agencies, each linked to its official page. Confirm with the issuing agency before filing.
Related guides
Researched from official government sources on September 2, 2026 for a typical hair salon. Requirements change and depend on your facts; this page is not legal advice. Confirm with the issuing agency before filing.