Plano Personal Tax Preparation

Returns for a Corporate Suburb

Plano had about 293,000 residents in the Census Bureau's 2025 estimate. Many work at the corporate campuses in Legacy and along the Dallas North Tollway, and many moved here for those jobs from California, New Jersey, Michigan or other countries. Texas has no personal income tax, but stock compensation, relocations and foreign ties make Plano returns more complex than average. BOMCAS prepares returns for Plano households remotely.

Homestead and community property rules are explained on Texas personal tax preparation. Plano's stock, relocation and visa questions are below.

Stock Compensation

Restricted stock units are taxed as wages when they vest, and employers usually withhold by selling shares at the flat supplemental rate of 22 percent, which is often too low for high earners. When the shares are sold later, the cost basis on Form 1099-B is frequently reported as zero or incomplete, so the gain can be double counted unless the basis is corrected on Form 8949. Employee stock purchase plans and incentive stock options have their own rules, and exercising ISOs can trigger alternative minimum tax. We reconcile each brokerage statement with the W-2.

Moving to Plano From Another State

A move from California, New Jersey, New York or another income tax state means filing a part-year return in the old state. Stock awards granted while working there and vesting after the move may still be partly taxed by the old state based on the share of workdays spent there during the vesting period. California is known for reviewing residency claims after a move, so keeping evidence such as a Texas driver's licence, voter registration and home sale records helps. Employer-paid moving expenses are taxable wages for most employees.

H-1B and Other Visa Holders

Many Plano households are on H-1B, L-1 or other work visas, often with spouses on dependent visas. In the first year, they may be dual-status, with part of the year as nonresidents. Once resident, they report worldwide income, including interest on bank deposits and investments in India, China, Korea or elsewhere, and file FBAR and Form 8938 for foreign accounts. Spouses without SSNs may need ITINs to file jointly.

Homeowners in Collin and Denton Counties

Most of Plano is in Collin County, valued by the Collin Central Appraisal District, with a western portion in Denton County. The residence homestead exemption lowers school tax value by $140,000 and limits annual increases in taxable value to 10 percent. Protests are generally due by May 15. On the federal return, property tax and any sales tax deduction fall under the SALT cap, which was raised to $40,000 for most filers but phases down at higher incomes.

Families and Education

Plano families often pay for private schools, tutoring and childcare. Childcare costs may qualify for the dependent care credit or a dependent care FSA through an employer. Contributions to 529 plans have no Texas deduction since there is no state tax, but growth is tax free when used for education, including up to $10,000 a year of K–12 tuition, rising to $20,000 from 2026.

Selling the Old Home

Families who move to Plano often sell a house in their former state. The federal exclusion of $250,000, or $500,000 for married couples, applies if the house was owned and lived in for two of the last five years. States such as California may require withholding on a sale by a nonresident and tax the gain as income from property there, so a part-year or nonresident return is often needed even after the move.

Retirees

Retirees from the headquarters companies receive pensions, deferred compensation and 401(k) distributions. Nonqualified deferred compensation earned while working in another state is generally protected from that state's tax if paid out over at least 10 years, under a federal rule.

What to Send

W-2s and all brokerage statements, including supplemental stock statements.
Records of moves and prior state returns.
Foreign account and income information.
Property tax and mortgage statements.
Last year's return.