States / Tennessee

Tennessee

Last checked Oct 22, 2026

Tennessee has no tax on wage income, so practitioner work centers on franchise and excise, sales and use, business tax and unemployment insurance. FAST Enterprises built both of the state's big systems: the Department of Revenue's GenTax system (TR3, with TNTAP as the taxpayer portal), bought by special request in 2015 for $33 million and kept by sole-source maintenance contracts ever since, and the Department of Labor's new unemployment system, bought by two competitive RFPs and live for claimants in February 2024 and for employers on May 27, 2025. The two Labor contracts now total about $64.6 million. FAST replaced Geographic Solutions, whose 2014 claims contract had grown from $39.5 million to $59.7 million when employer tax modules were added in 2016. The Secretary of State replaced TNBEAR with TNCaB, built by Dorger Software Architects under a contract of under $3 million. Tennessee has no state paid family and medical leave program.

Who administers what

Every fact links to its source and carries a label: Public record Vendor claim Press / secondary

What the state has spent

Contract totals are the approved ceilings or current contract values the sources state, not money paid, and they are added up only where a plain contract figure exists. The yearly average spreads each system's payments over the years they cover (marked p), or, where no payment data was found, its contract total over the contract term (marked c); systems with neither are left out; it is an estimate of the yearly cost, not a reported figure. Payments to date and project budgets or estimates are added up in their own tiles, from the figures shown in the table; the three kinds of figure overlap and are never added together. Follow each system below for its sources.

Portals practitioners use

Leadership and contacts

Checked Oct 30, 2026. People change roles often; confirm on the agency's site before relying on a name.

Chain of command

• Voters
  • Governor: Bill Lee
    • Commissioner of Revenue: David Gerregano Tennessee Department of Revenue
    • Commissioner of Labor and Workforce Development: Deniece Thomas Tennessee Department of Labor and Workforce Development
    • Commissioner of Human Services: Clarence H. Carter Tennessee Department of Human Services

Employer account numbers

Checked Oct 24, 2026. No state income tax on wages, so no withholding account.

Tennessee has no state income tax withholding on wages. The Department of Revenue says the Hall income tax was imposed only on interest from bonds and notes and dividends from stock, and it was repealed for tax periods beginning on or after January 1, 2021, so there is no withholding account. The only state employer payroll tax account is unemployment insurance, issued by the Department of Labor and Workforce Development. No state paid family leave or disability insurance program with its own employer account was found on the agency pages read.

Layout: 9 is a digit, A is a letter, other characters are shown as the agency writes them. No real account numbers appear on this site.

Employer tax ID numbers for every state researched

Unemployment insurance tax

Checked Nov 3, 2026. Tennessee Department of Labor and Workforce Development, Division of Employment Security (unemployment insurance)

Tennessee's taxable wage base is $7,000 for 2026, as it has been since 2018; it varies with the Unemployment Trust Fund balance. A new employer pays 2.7%, and Premium Rate Table 6, the lowest of six, is in effect for both halves of 2026, with rates of 0.01% to 10.00% per the U.S. Department of Labor's July 2026 summary. Tennessee's premium rate year runs July 1 to June 30, not the calendar year.

Taxable wage base

2026: $7,000
2025: $7,000
Varies with the balance in the Unemployment Trust Fund (the Department's wage base table: $9,000 for 2014 and 2015, $8,000 for 2016 and 2017, $7,000 since 2018). The statutory trust fund levels that set it were not read. source Public record

New employer rate

2026: 2.7% From DOL's Significant Provisions of State UI Laws, effective July 2026 (Tennessee's own rate pages and support articles were blocked to automated reads). The statute as amended by Public Chapter 927 (2004) sets the new employer premium rate at 2.7% for each rate year beginning July 1, except that an employer in a 2-digit NAICS industry with a reserve ratio below zero gets that industry's rate from the premium rate tables; whether any industry is above 2.7% for the year beginning July 1, 2026 was not found. DOL notes its new employer figure is the base rate. source Public record

Rate range

2026: 0.01% to 10%, Premium Rate Table 6 for January 1, 2026 and for July 1, 2026 (the trust fund balance on each June 30 and December 31 picks one of six tables under T.C.A. 50-7-403 for the next six months) Minimum and maximum from DOL's Significant Provisions of State UI Laws, effective July 2026, which footnotes that Tennessee's rate year is July 1 through June 30 and that the rate shown is reduced in some circumstances; DOL's rates exclude surtaxes and non-UI taxes. The table in effect is from the Department's UI Tax Rates page. The Department's Premium Rate Chart PDF was blocked (HTTP 403). source Public record

Filing

Quarterly premium and wage report, filed in Employer e-Services
Electronic filing: Wage reports are filed in Employer e-Services since May 27, 2025; paper amendment forms were removed and amendments are made in the system. Payment accounts must be set up in e-Services separately from TNTAP (Department of Revenue).
Employer e-Services (jobs4TN) source Public record

FUTA credit reduction

None. Not listed by the U.S. Department of Labor as having a Title XII advance balance on January 1, 2026, and not a credit reduction state in any year from 2010 to 2025. source Public record

Recent and coming changes

• May 27, 2025 Employer e-Services replaced TNPAWS for UI premium and wage reports, account registration and payments; TNPAWS logins do not carry over. source Public record

Tennessee calls the tax a premium. Because the rate year starts July 1, an employer's rate for January to June 2026 was set for the year beginning July 1, 2025, and a new rate took effect July 1, 2026. Tennessee's employer support articles (lwdsupport.tn.gov), its Premium Rate Chart PDF and its 2019 employer handbook all returned HTTP 403 to automated reads, and the main UI tax page was blocked by a web filter; the rates page itself loaded.

Not confirmed: Needs a browser: the Premium Rate Chart (tn.gov/content/dam/tn/workforce/documents/employers/Premium_Rate_Chart.pdf) for the Table 6 minimum and maximum from the Department itself, and lwdsupport.tn.gov articles on the premium rate and the new employer rate. When rate notices are issued and the deadline to protest them: not found in the sources that loaded. Voluntary contributions: not found in the sources that loaded. Quarterly report due dates and form name in Employer e-Services: not stated in the FAQ PDF read. Any separate assessment charged with premiums (none found); T.C.A. 50-7-403 text as currently in force not read (the code is published by LexisNexis, not on a state site).

Unemployment insurance tax in every state

Income tax withholding

Checked Nov 3, 2026

Tennessee does not tax wages, so employers withhold no state income tax. The Hall income tax reached only interest and dividends and was repealed for tax periods beginning on or after January 1, 2021. No city or county income tax is withheld.

Unemployment insurance, with the Department of Labor and Workforce Development, is paid by the employer and not withheld from wages, so it is left out here. The summary rests on the Department of Revenue Hall income tax page already cited on the site (data/taxids/tennessee.json, https://www.tn.gov/revenue/taxes/hall-income-tax.html); that page could not be saved again on this run.

Not confirmed: tn.gov and revenue.support.tn.gov returned 403 or a Cloudflare challenge on 2026-11-03, so no Tennessee page was saved and quoted this run. Re-read https://www.tn.gov/revenue/taxes/hall-income-tax.html and https://revenue.support.tn.gov/hc/en-us/articles/360057595051-GEN-34-Income-Tax-Withholding in a browser and add the quote to the evidence.

Withholding rules in every state

Credits for other states' taxes and part-year residents

Checked Nov 3, 2026

Tennessee has no individual income tax, so there is no resident credit, part-year rule or reverse credit. Tennessee is an associate member of the Multistate Tax Commission. The Department of Revenue site could not be read on this run, so how Tennessee's business taxes interact with other states' credits is left open.

Multistate Tax Compact

Associate member. source Public record

Other interstate rules

• Arkansas lists Tennessee among the states without a tax similar to its pass-through entity tax for tax years beginning in 2026, and as a state with no owner-level personal income tax on PET income. source Public record

The absence of an individual income tax rests on the Hall income tax repeal already cited on the site (data/ptet/tennessee.json and data/withholding/tennessee.json, https://www.tn.gov/revenue/taxes/hall-income-tax.html); that page was not saved on this run.

Not confirmed: Tennessee government sites (tn.gov, revenue.support.tn.gov) are blocked by a local web filter, so no Tennessee page was fetched or quoted on this run. Re-read https://www.tn.gov/revenue/taxes/hall-income-tax.html and https://www.tn.gov/revenue/taxes/franchise---excise-tax.html in a browser and add the quotes: the Hall income tax repeal for tax periods beginning on or after January 1, 2021, and whether the excise tax on net earnings interacts with other states' credits.

Multistate rules in every state

Business return deadlines and annual reports

Checked Nov 4, 2026

Corporations, LLCs, limited partnerships and business trusts file the franchise and excise tax return by the 15th day of the fourth month after the year closes (April 15, 2026 for calendar 2025), with a seven-month extension; the minimum franchise tax is $100. Tennessee has no individual income tax. Corporations file an annual report with the Secretary of State for $20 and LLCs for $300 to $3,000; an LLC report is due by the first day of the fourth month after its year closes.

Corporate return

Franchise tax. Franchise and excise tax return (filed by corporations, limited partnerships, LLCs and business trusts). Due: The 15th day of the fourth month following the close of the books and records (April 15 for a calendar year). For tax year 2025: Apr 15, 2026. Fiscal years: Same rule: the 15th day of the fourth month after the year closes. source Public record

Corporate extension

By request. Seven months.

Other business returns with a fixed date

• Franchise and excise tax estimated payments: The 15th day of the fourth, sixth and ninth months of the tax year and the first month of the next year. Taxpayers with a combined liability of $5,000 or more in both the prior and current years. source Public record

Annual report

Filed with the Tennessee Secretary of State through TNCaB (file annual reports).

Fees are from the Secretary of State FAQ, read in a browser. The LLC due date and dissolution timing are from the 2005 LLC Act as enacted; the corporation due date, and the nonprofit and limited partnership rules, were not read.

The startup page (data/startup/tennessee.json, citing sos.tn.gov and tn.gov) lists an April 1 annual report date for calendar-year entities, a $20 corporate annual report fee, and a franchise and excise tax return due the 15th day of the fourth month after the close of the books; none of these could be re-read in this run.

Not confirmed: Franchise and excise return form number (FAE 170) and the extension form and payment rule were not on the due dates page read. How S corporations and general partnerships are treated for franchise and excise filing. Business tax (gross receipts) annual return due dates by classification. The corporation annual report due date, and nonprofit and limited partnership annual report rules (sos.tn.gov blocks automated reads; the instructions page redirects to a site that did not load).

Deadlines and annual reports in every state

Electronic payment, penalties and interest

Checked Nov 4, 2026

Tennessee requires business tax, franchise and excise tax, sales and use tax and several other returns to be filed online, under a law that also lets the Department require electronic payment. A late or short payment draws a penalty of 5% of the unpaid amount for each month or part of a month, up to 25%. Interest is 10.75% for July 1, 2026 to June 30, 2027 (13% on installment payment agreements).

Interest on unpaid tax

Set for each fiscal year (July 1 to June 30); installment payment agreements carry a separate rate (13% for July 1, 2026 to June 30, 2027). Tenn. Code Ann. 67-1-801; 47-14-102(7). source Public record

When tax must be paid electronically

• Other: business, franchise and excise, sales and use and other listed taxes: All returns must be filed online; Tenn. Code Ann. 67-1-115 lets the Department require payments electronically too. Methods: Tennessee Taxpayer Access Point (TNTAP). source Public record

Penalties

Late payment

Covers: Any delinquent or deficient payment of a tax the Department administers. 5% of the unpaid amount for each month or part of a month. Maximum: 25%. source Public record

Penalty relief

Reasonable cause listed in Tenn. Code Ann. 67-1-803(c) and (d); in delinquency cases also a good two-year filing record with no willful disregard or gross negligence. The Attorney General must approve waivers of $100,000 or more. First-time or good history: A good two-year filing record can support a waiver in delinquency cases. How: Petition for Penalty Waiver in TNTAP (or by email to the Department if TNTAP is not available). source Public record

Read in a browser that reaches tn.gov; automated reads are refused.

Not confirmed: Late filing penalty separate from the late payment penalty, estimated tax underpayment rules for franchise and excise tax, the penalty for not filing or paying electronically, and other penalties were not read.

Electronic payment, penalties and interest in every state

Disaster relief rules

Checked Nov 4, 2026

Tennessee has no tax on wages; for disasters, Tenn. Code Ann. 67-1-114 lets the Commissioner extend a state due date whenever the IRS extends a federal one for disaster victims, and the Department has issued a Natural Disaster Tax Relief Notice for each recent IRS postponement. Franchise and excise tax returns and payments (including estimates) are extended automatically for accounts with a primary location in the area, with no penalty or interest; sales and use, business and other taxes need an emailed request to Revenue.DisasterExtension@tn.gov.

When the IRS postpones deadlines

Announces relief case by case "Tennessee law authorizes the Commissioner of Revenue to extend a state filing due date whenever the IRS extends a federal filing due date for a group of taxpayers impacted by a natural disaster." Earlier notices add: "Under this authority, the state extension cannot exceed the federal extension." The Department announces each extension in a notice. Taxpayers in the disaster area for whom the IRS has issued an extension (Notice 26-10 listed 23 counties for Winter Storm Fern). Extensions run to the IRS date and do not move due dates after it. Tenn. Code Ann. 67-1-114 (cited in Notices 20-13 and 26-10). source Public record

Taxes covered

Franchise and excise tax returns and payments, including quarterly estimated payments, and (Hurricane Helene) the franchise tax property measure (Schedule G) refund due date. The 2020 notice also covered the Hall income tax, since repealed. Not covered: Sales and use tax, business tax and other taxes are not extended automatically; the Department approves extension requests for them case by case. source Public record

How to get relief

Franchise and excise: automatic for accounts with a primary location address on record in the designated area. Other taxes: email Revenue.DisasterExtension@tn.gov with the business name, entity ID or Tennessee account number, business location and a brief description of the impact. A practitioner in the area who cannot file for clients may also ask by that email. Penalties: Penalties and interest do not apply to returns filed and payments made by the extended date; a taxpayer who receives a penalty notice should contact the Department. source Public record

Where relief is posted

Tennessee Department of Revenue news (Natural Disaster Tax Relief Notices are posted here; no standing disaster page found)

Other disaster tax rules

• Natural disaster sales tax refund (Tenn. Code Ann. 67-6-396): a person who receives FEMA assistance for a primary residence damaged or destroyed by a natural disaster in Tennessee may claim a refund of sales tax on major appliances and residential furniture bought for $3,200 or less and building supplies bought for $500 or less after the disaster, up to $2,500 per residence, within one year of the FEMA decision letter, in TNTAP or on paper. source Public record

Notice 26-10 (April 2026) describes the area as the disaster area designated by the State of Tennessee and for whom the IRS has issued an extension; earlier notices refer to FEMA-designated areas.

Not confirmed: The text of Tenn. Code Ann. 67-1-114 was not read; the official code is hosted by LexisNexis. Whether Tennessee gives relief for a disaster declared only by the governor was not found. No standing Department disaster relief page was found; the notices are reached through the news page and the notices folders.

Current disaster relief and every state's rules

Federal tax picture

From the IRS's own statistics: the Data Book for fiscal 2025 and Statistics of Income for tax year 2023. Every state

Collected by type: Individual income tax withheld and FICA tax $71.6B; Individual income tax payments and SECA tax $14.8B; Business income taxes $4.3B; Excise taxes $2.3B; Estate and trust income tax $916M; Unemployment insurance tax $218M; Estate tax $181M; Gift tax $37M; Railroad retirement tax $2.3M. source Public record

Filers moving in and out, 2022 to 2023

113,788 returns (198,430 people) with $9.0B of income moved in from other states; 89,684 returns (155,531 people) with $6.3B moved out, a net gain of $2.8B in income. source Public record

Minimum wage

Checked Nov 3, 2026. U.S. Department of Labor, Wage and Hour Division (Tennessee has no state minimum wage law)

Tennessee has no state minimum wage law, so the federal $7.25 an hour applies to employers covered by the Fair Labor Standards Act, in 2026 and 2027. The federal tipped cash wage of $2.13 applies. A 2013 law (Public Chapter 91) bars local governments from requiring private employers to pay more than the federal or state minimum wage.

Rate

$7.25 from Jul 24, 2009 Federal minimum wage; no state minimum wage law.
$7.25 from Jul 24, 2009 Federal minimum wage; no change enacted.
The federal $7.25 applies to employers covered by the Fair Labor Standards Act. source Public record

How it is set

No state law source Public record

Tipped employees

2026: cash wage $2.13, tip credit $5.12 Federal FLSA amounts.
2027: cash wage $2.13, tip credit $5.12 Federal FLSA amounts; no change scheduled. source Public record

Local minimum wages

Not allowed: state law preempts them source Public record

HB 501 / SB 35 of the 108th General Assembly became Public Chapter 91, effective April 11, 2013. As introduced, it adds a section to Tennessee Code Title 50, Chapter 2, Part 1 under which no local government, as a condition of doing business in its boundaries or contracting with it, may require a private employer to pay an hourly wage above the federal or state minimum. A 2022 legislative fiscal note states that Tennessee has no set minimum wage.

Not confirmed: Tennessee's executive branch sites (tn.gov, including the Department of Labor and Workforce Development's wage pages) are blocked by a local web filter for this researcher, so no Department page on minimum wage, tipped wages or required posters was saved. The Secretary of State's public chapter PDF (publications.tnsosfiles.com) returned 403. Not worked around. The enacted text of Public Chapter 91 (2013) and its Tennessee Code section number were not read; the local preemption line rests on the bill as introduced and the Legislature's bill history. Poster: the Department's required poster list could not be reached.

Minimum wage in every state

Paid family and medical leave

Checked Nov 3, 2026. No program

No Tennessee state paid family and medical leave or temporary disability insurance program funded by payroll contributions was found, so no contribution rate or wage base is recorded for 2026 or 2027. This could not be confirmed on a primary source in this run: Tennessee government sites are blocked by the local web filter.

Not confirmed on a primary source in this run (Tennessee government sites blocked by the local web filter). The site's Tennessee tax ID page, researched earlier, records that the only state employer payroll tax account is unemployment insurance and that no state paid family leave or disability insurance account was found on the agency pages read.

Not confirmed: Tennessee government sites (tn.gov, the General Assembly at capitol.tn.gov and wapp.capitol.tn.gov) are blocked by the local web filter; not worked around. Nothing for Tennessee was read on a primary source. Secondary sources (insurers, a bill tracker) describe a 2023 Tennessee law, SB 454 / HB 609, letting insurers offer paid family leave insurance on a voluntary basis from January 1, 2024. Left out of the facts until the public chapter is read on the General Assembly site. No Tennessee Department of Labor and Workforce Development page was read stating that Tennessee has no state paid family and medical leave or disability insurance payroll contribution.

Paid leave in every state

Sick leave and time off

Checked Nov 5, 2026. No paid sick leave law

Tennessee does not require private employers to give paid sick leave or paid leave for any reason, and state law bars local governments from mandating leave policies (Tenn. Code 7-51-1802(b), since 2013) and, since March 6, 2026, from setting any term or condition of employment beyond state or federal law (Public Chapter 552). Employers with 100 or more full-time employees at a job site must give up to four months of job-protected leave, paid or unpaid at the employer's choice, for adoption, pregnancy, childbirth and nursing an infant (Tenn. Code 4-21-408); otherwise the federal FMLA applies. Unused vacation or PTO is paid at separation only if the employer's policy or labor agreement says so.

Paid sick leave

No state law requires private employers to give paid sick leave.

Local laws: No local government may, by ordinance, resolution, contract or any other means, as a condition of doing business in its boundaries or contracting with it, require employers to establish a leave policy that deviates from or adds to state statutory requirements such as those under 4-21-408 (Public Chapter 91 of 2013, HB 501, effective April 11, 2013). Since March 6, 2026, the General Assembly also preempts and occupies the entire field of regulating the terms and conditions of employment: unless state law expressly provides, a local government may not adopt or enforce any requirement for a term or condition of employment that exceeds or conflicts with state or federal law (Public Chapter 552 of 2026, SB 674). Neither applies to a local government's own employees. (Tenn. Code 7-51-1802(b) and (g)) source Public record

Family and medical leave

The law

Leave for adoption, pregnancy, childbirth and nursing an infant (Tennessee parental leave law), Tenn. Code 4-21-408 (restated by Public Chapter 471 of 2025) source Public record

Employers covered

Employers with 100 or more full-time employees on a permanent basis at the job site or location.

Who is eligible

Employees employed by the same employer for at least 12 consecutive months as full-time employees. An employee who gives at least three months' advance notice of the leave dates, its length and the intent to return full time must be restored to the previous or a similar position with the same status, pay, service credit and seniority; a medical emergency or adoption notice received on shorter notice does not forfeit the right.

How long

Up to four months; for adoption, the period begins when the employee receives custody of the child.

Reasons

Adoption, pregnancy, childbirth and nursing an infant. The employer need not pay for benefits during the leave unless it does so for all employees on leave; it is not liable for failing to reinstate an employee whose position is so unique it could not be filled temporarily, or who used the leave to seek other work or worked for another employer. The section must be included in any employee handbook published after May 27, 2005.

Paid?

With or without pay at the employer's discretion.

Vacation and PTO at the end of employment

Employer policy controls The Department of Labor and Workforce Development says Tennessee has no law regulating fringe benefits, including PTO, vacation, sick pay and holiday pay, and that company policy is the determining factor. Unless the employer's policy or labor agreement specifically requires paying unused vacation or other compensatory time at termination, Tenn. Code 50-2-103(a)(3) does not require final wages to include it. (Tenn. Code 50-2-103(a)(3)) source Public record

Other leave the law requires

Recent and coming changes

• Mar 6, 2026 Public Chapter 552 (SB 674 / HB 900, 2026) added Tenn. Code 7-51-1802(g): the General Assembly preempts and occupies the entire field of regulating the terms and conditions of employment, and local governments may not require terms or conditions of employment beyond state or federal law. in effect source Public record
• May 12, 2025 Public Chapter 471 (HB 910 / SB 861, 2025) terminated the Tennessee Human Rights Commission on July 1, 2025, moved its employment discrimination duties to the Attorney General's new civil rights enforcement division, and rewrote Title 4, Chapter 21, Part 4, restating the parental leave law (4-21-408). in effect source Public record

What was checked: tn.gov and lwdsupport.tn.gov refuse automated reads from this machine (503 and 403), so the Department of Labor and Workforce Development pages and Attorney General Opinion 11-82 were read as text from the Firecrawl government index, saved with their tn.gov URLs. Read on the General Assembly's site: HB 501 (2013) as introduced, its adopted amendment HA0070 and bill history (Public Chapter 91); SB 674 (2026) and its history (Public Chapter 552); HB 910 (2025), its history and the adopted amendment HA0214 (Public Chapter 471), which carries the current text of 4-21-408. The jury statute was read as posted by the Metro Nashville jury office. The voting statute (2-1-106) and 8-33-110 were read only in the law.justia.com copy the government index returned; the voting entry is marked secondary. HB 2004 / SB 2300 (2026), which would have required paying out accrued paid leave at separation, was taken off notice in a House subcommittee and assigned to the General Subcommittee of the Senate Commerce and Labor Committee, so it is not listed. No statute was found requiring private employers to give domestic violence, crime victim, bereavement, school, donation, volunteer responder or holiday leave. Firecrawl government index results did not report a creditsUsed figure.

Not confirmed: The Tennessee Code is published on LexisNexis, which blocks automated reads; 2-1-106 (voting) and 8-33-110 (state military leave) were read only in law.justia.com copies through the Firecrawl government index. A browser read of the official code would confirm them. The current text of 7-51-1802(b) was not read; the leave preemption rests on HB 501 as introduced and its adopted amendment, which did not change that section. Department of Labor and Workforce Development pages (tn.gov/workforce and lwdsupport.tn.gov) were read only as government index snippets; tn.gov returns 503 to curl here: https://www.tn.gov/workforce/employees/labor-laws/labor-laws-redirect/wages-breaks.html and https://www.tn.gov/workforce/employees/labor-laws/labor-laws-redirect/employee-rights.html The Tennessee Pregnant Workers Fairness Act (Title 50, Chapter 10) was not checked for any leave as an accommodation. No Tennessee crime victim or witness leave statute for private employers was found; this was searched only on the government index.

Federal law adds unpaid FMLA leave at employers with 50 or more employees and paid sick leave for federal contractors. Sick leave and time off in every state

Sales and use tax

Checked Nov 3, 2026

Tennessee taxes retail sales at a 7 percent state rate, with local option taxes that average about 2.5 percent (Fiscal Review Committee). A dealer with no physical presence in Tennessee must register and collect once its sales to Tennessee consumers exceed $100,000 in a 12-month period (Public Chapter 759 of 2020, effective October 1, 2020), and marketplace facilitators collect on the same threshold. The Department of Revenue site refused automated reads, so filing rules and certificates are not recorded yet.

State rate

7% Tennessee General Assembly, Fiscal Review Committee fiscal note on SB 188/HB 813 (2025) source Public record

Local taxes

Yes. Fiscal notes estimate the average local option sales tax rate at 2.5 percent. Who collects it and the single article rules were not confirmed (Department of Revenue site blocked). source Public record

Remote sellers

$100,000; counts other: sales to consumers in Tennessee, as the bill summary puts it sales; 12-month period (the bill summary says the previous 12-month period); since Oct 1, 2020. Public Chapter 759 lowered the threshold from $500,000 to $100,000 and did not change the substantial nexus criteria for business, excise or franchise tax. A House amendment that would have added a test of 200 or more separate sales transactions was not concurred in by the Senate, and the bill went to a conference committee whose report was not read; no transaction test is recorded here. The Department's guidance on when to register after crossing the threshold could not be read. source Public record

Marketplace facilitators

Must collect (Sales made or facilitated to Tennessee consumers exceeding $100,000 a year (lowered from $500,000 by Public Chapter 759 of 2020).), since Oct 1, 2020 source Public record

Streamlined Sales Tax

Associate member source Public record

www.tn.gov, revenue.support.tn.gov (a Cloudflare check) and publications.tnsosfiles.com all returned 403 or a bot check to automated requests, so no Department of Revenue page could be saved. The facts recorded come from the Tennessee General Assembly's bill page and the Fiscal Review Committee's 2020 cumulative fiscal note. The marketplace effective date given is the date the $100,000 threshold took effect; the original effective date of Public Chapter 646 was not read.

Not confirmed: The statute section and effective date for the 7 percent rate, and the food rate from the Department: Department of Revenue pages blocked; the rate is from the legislature's fiscal notes. Local option sales tax: which jurisdictions levy it, the single article cap, administration and the rate lookup: blocked. When a remote dealer must register after crossing $100,000, and the final enacted wording of Public Chapter 759 (conference committee report): not read. Registration (name, fee, TNTAP link), filing frequencies and thresholds, due dates, electronic filing mandate and any vendor discount: blocked. Resale certificate, exemption certificates, and whether the Streamlined certificate is accepted (Tennessee is an associate SST member): blocked. Recent changes: not checked (Department legislative summaries blocked).

Sales tax in every state

Credit card surcharges

Checked Nov 4, 2026. No state surcharge law

No Tennessee statute was found that allows, limits or bars a business adding a surcharge for credit card payments. The Attorney General issued a 2021 warning about deceptive card surcharges that could not be read from this machine. Whether the Department of Revenue treats a card surcharge as part of the taxable sales price was not found.

The rule

No state law on credit card surcharges was found.

Cash discounts

No state law found.

Sales tax on the surcharge

Not stated No Department of Revenue notice, ruling or manual section on seller card surcharges was found; tn.gov refuses automated reads from this machine, so the Department's pages and the definition of sales price in Tenn. Code 67-6-102 were not read.

What was checked: Read the Legislature's bill pages: SB 1991 (2026), which would have barred advertising a price without the total price including all mandatory fees from July 1, 2027, failed in the Senate Commerce and Labor Committee on February 17, 2026. A search of the Tennessee Code on its free LexisNexis site (surcharge within 15 words of card) found only 55-2-113 and 67-1-703, which let state officials accept cards and charge a surcharge or convenience fee; no section on a seller's card surcharge.

Not confirmed: Attorney General press release of February 12, 2021, "AG Slatery Warns against Deceptive Credit Card Surcharges," could not be read (tn.gov refuses automated reads); a web search snippet says it warns that failing to disclose surcharges and differences between credit, debit and cash prices may violate state law. Read it in a browser and add it under pricing if it names the Consumer Protection Act. Department of Revenue sales tax guidance on card surcharges (tn.gov) was not read.

Federal law and the card networks' own rules apply in every state. Surcharge rules in every state

Pass-through entity tax

Checked Nov 3, 2026

Tennessee has no pass-through entity tax election because it has no individual income tax: the Hall income tax, which reached only interest from bonds and notes and dividends from stock, was repealed for tax periods beginning on or after January 1, 2021. Corporations, limited partnerships, LLCs and business trusts doing business in Tennessee already pay franchise and excise taxes at the entity level, the excise tax on net earnings.

Recent and coming changes

• Jan 1, 2021 Hall income tax repealed for tax periods beginning on or after January 1, 2021. source Public record

Sources: Department of Revenue (https://www.tn.gov/revenue/taxes/hall-income-tax.html and https://www.tn.gov/revenue/taxes/franchise---excise-tax.html). Arkansas DFA lists Tennessee among states without a tax similar to its pass-through entity tax for tax years beginning in 2026 (https://www.dfa.arkansas.gov/wp-content/uploads/States_with_Similar_Tax_PET_2026.pdf).

Not confirmed: No bill to create an entity-level election was searched for in the 2025 or 2026 sessions; none is expected, since Tennessee has no individual income tax. The first request for the Hall income tax page was refused by the network (TLS reset); a second request succeeded.

Pass-through entity tax in every state

Conformity to the 2025 federal tax law

Checked Nov 3, 2026. Business tax: franchise and excise taxes (the excise tax is on net earnings)

Tennessee has no individual income tax; its excise tax on net earnings starts from federal taxable income before the net operating loss and special deductions. For assets purchased on or after January 1, 2023, Tennessee applies the Code's depreciation rules as they existed under the 2017 federal law, so the 2025 return to 100 percent bonus depreciation does not carry over. A 2025 bill to allow 40 percent bonus depreciation, or the federal percentage if higher, stalled in committee; the Department of Revenue's own notices could not be read because its site refused automated access.

Follows the Code

Rolling: follows the Code as it changes. Tenn. Code Ann. 67-4-2006(a)(12) (net earnings), as described in Notice 25-36 and the General Assembly summary for SB0032/HB0477
Net earnings are defined by reference to federal taxable income with no Code date, except that for assets purchased on or after January 1, 2023, the Code is applied as it existed and applied under the Tax Cuts and Jobs Act of 2017 for depreciation. The Department of Revenue's guidance could not be read (tn.gov returned 403). source Public record

Starting point

Corporations: federal taxable income source Public record

Response to Public Law 119-21

None yet. Years: 2025 and 2026
No act responding to Public Law 119-21 was found. The existing rule tying depreciation to the 2017 federal law (assets purchased on or after January 1, 2023) predates it. SB0032/HB0477 (114th General Assembly), which would have allowed a 40 percent or higher bonus deduction for assets purchased on or after January 1, 2026, passed Senate second reading and was referred to the Senate Finance, Ways and Means Committee; its last action was assignment to that committee's general subcommittee on April 22, 2025. source Public record

Provision by provision

Guidance from the state

• Dec 1, 2025 Franchise and Excise Tax Notice 25-36, Federal Bonus Depreciation Conformity

Recent and coming changes

• SB0032/HB0477 would have let taxpayers elect to deduct 40 percent of the cost of depreciable assets purchased on or after January 1, 2026, or the federal bonus percentage if higher; no action is shown after April 2025. source Public record

The absence of an individual income tax is taken from the Department's Hall income tax page already cited elsewhere on this site; that page could not be re-read for this check (tn.gov returned 403).

Not confirmed: Treatment of section 179, section 174A and section 163(j) for excise tax not confirmed from a primary source. The Tennessee Code section defining net earnings was not read directly; the rule is taken from the General Assembly's bill summary of present law. The Hall income tax page and the Secretary of State's public chapter files (publications.tnsosfiles.com) both returned 403. Notice 25-36 is dated December 2025 without a day; the guidance date is recorded as 2025-12-01.

Conformity in every state

Pay in job postings

Checked Nov 2, 2026. No state pay range law

No Tennessee law requiring employers to put pay in job postings or to disclose pay to applicants or employees was found. The Department of Labor and Workforce Development's wage pages cover breaks, fringe benefits, sex-based pay discrimination, final paychecks, paydays and deductions, with no posting or disclosure rule. The Tennessee Code itself could not be read: its public LexisNexis version needs a browser.

Salary history ban: No. No state salary history ban was found, but the Tennessee Code was not read (see open).

What was checked: Checked the Tennessee Department of Labor and Workforce Development's Labor Laws and Wages and Breaks pages. The Wages and Breaks page says the Wage Regulations Act section covers breaks and meal periods, fringe benefits, sex discrimination, final paychecks, payday regulations and deductions; on pay, it says employers generally may not pay employees of one sex more or less than the opposite sex for comparable skill, effort and responsibility under similar working conditions, citing Tenn. Code Ann. 50-2-202(a) (this is the department's summary). Neither page describes a pay posting or disclosure rule. The Tennessee Code itself was not read: its public version is on LexisNexis, which did not load without a browser, and the department's TN Laws and Codes page returned 403.

Not confirmed: Read Tennessee Code Title 50, Chapter 2 (the department cites 50-2-202(a) for equal pay) on LexisNexis in a browser to confirm no posting, disclosure or salary history rule. Tenn. Code 7-51-1802 (part of what a legal listing calls the Equal Access to Intrastate Commerce Act) may limit local employment rules; not read. Salary history bills were introduced in 2023 (HB 0417 / SB 0383, 113th General Assembly, per a web search); their status was not read on the General Assembly's site, and 2026 bills were not checked. Local ordinances: none found in a web search; no city or county code (Nashville, Memphis, Knoxville, Chattanooga) was read. tn.gov returned 403 and 503 errors on some requests; the Labor Laws and Wages and Breaks pages loaded on retry, the TN Laws and Codes page did not: https://www.tn.gov/workforce/employees/labor-laws/labor-laws-redirect/tn-laws-and-codes.html

Pay transparency rules in every state

For tax professionals

Checked Nov 3, 2026. Tennessee Department of Revenue

Not yet verified: every Tennessee Department of Revenue page tried (tn.gov/revenue, its forms PDFs, the revenue.support.tn.gov help center and the Secretary of State's rules site) refused automated reads, so no fact here is sourced yet. Tennessee has no tax on wage income, so the questions that matter are the power of attorney form, third party access in TNTAP and the Department's electronic filing rules for business taxes.

Preparer registration

Not determined

Online access for professionals

TNTAP (Tennessee Taxpayer Access Point)

The portal name and URL match data/states/tennessee.json. Nothing else was filled because no primary page could be saved.

Not confirmed: tn.gov/revenue pages and PDFs returned 403 Forbidden to curl; revenue.support.tn.gov returned a Cloudflare challenge; sos.tn.gov and publications.tnsosfiles.com returned 403; tntap.tn.gov redirects to a load balancer token step. None was bypassed. Power of attorney form, submission and renewal: to read on the General Purpose Forms page and in help center article TR-4 (Tax Ruling, Power of Attorney) Whether the Department accepts federal Form 2848 TNTAP third party access: help center article TNTAP Login-13 and the January 2023 TNTAP Third Party Access webinar slides describe adding a client through Gain Access to a Tax Account and access levels (file, file and pay, pay only, view only); not read from a saved copy Electronic filing requirements for franchise and excise, sales and use and business tax returns, and any preparer mandate How a taxpayer or representative gets copies of returns or account records Whether Tennessee has any paid preparer registration rule (registration left null)

Rules for tax professionals in every state

Federal tax data sharing

11 IRS data-sharing agreements with agencies in Tennessee, for any purpose (TIGTA, as of March 2026) source Public record. FUTA: Exhibit 6 names only units ("Strategic Technology Solutions", "Employer Accounting Unit") at a Nashville tn.gov address; no department is named, so the field is left null. How the IRS shares tax data with the states

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