What is the sales tax in tennessee Ensure accurate and instant results for your transactions. * Denotes a city with boundaries in more than one county. 20, and find the row in the sales tax chart that shows the applicable tax for that amount. Find the 2025 Clarksville sales tax rate. Find all need-to-know information about sales and use tax in Tennessee here! TaxConnex covers rates, taxability, nexus, how to file, and services. 75% and must be a multiple of . Please be Jun 10, 2025 · Knoxville wants to increase its sales tax. Rates include state, county and city taxes. This rate forms the base for sales tax calculations across the Find the 2025 Nashville sales tax rate. 75%) is calculated on the second $1,600 of the sales price. We’ll explain the differences between state, county, and city sales tax rates, how to calculate sales tax in Nashville, and whether your business needs to collect sales tax. The local sales tax rate in Williamson County is 2. When a single article has a sales price of $1,600 or more the sales tax is calculated using the single article tax rate. 2020 rates included for use while preparing your income tax deduction. The general state tax rate is 7%. E-filing Information E-file & Pay The Tennessee Taxpayer Access Point (TNTAP) application allows you to create and manage your account, file and pay your taxes online, pay a tax bill, register a new business and more. 25. Mar 27, 2025 · Sales of food and food ingredients are subject to a reduced state sales and use tax rate of 4%, plus the applicable local tax rate. 5% to 2. The local sales tax rate in Nashville, Tennessee is 9. Sales tax: 9. Local collection fee is $1 Swiftly calculate sales tax in Tennessee with our user-friendly Sales Tax Calculator. In Tennessee, sales tax is a major source of funding for public services, infrastructure, and community programs. Click any locality for a full breakdown of local property taxes, or visit our Tennessee sales tax calculator to lookup local rates by zip code. How to register your business for sales […] The Tennessee sales tax rate is 7% as of 2025, with some cities and counties adding a local sales tax on top of the TN state sales tax. The local sales tax rate in Davidson County is 2. Simplify financial planning with our reliable tool – your go-to resource for precise Tennessee sales tax assessments. 56 percent (average combined state and local) A state sales tax rate of 7 percent is levied on the sales of goods and services, one of the highest rates in the country. 60 Mar 26, 2012 · Tennessee’s Department of Revenue has issued guidance clarifying when subscriptions to mobile healthcare services are subject to sales tax—explaining taxable components, exemptions, and filing requirements for providers. To compensate, Tennessee leans heavily on sales tax, making it one of the highest in the country. Contractors may include the sales tax they pay on materials in the price of the bid/invoice. The state sales tax rate in Tennessee is 7%, but you can customize this table as needed to reflect your applicable local sales tax rate This sales and use tax guide is intended as an informal reference for clerks who wish to gain a better understanding of Tennessee sales and use tax requirements regarding motor vehicles and boats. This sales tax guide for Tennessee offers essential tips for businesses and consumers to stay compliant and informed. More information on sales and use taxes related to car and boat transfers may be found here. Exemptions to the Tennessee sales tax will vary by state. Learn about Tennessee's sales tax rates, exemptions, and use tax obligations to ensure compliance and maximize savings for consumers and businesses. 25% of the first $1,600. The Tennessee General Assembly enacted the Tennessee Retailers’ Sales Tax Act (the “Act”) in 1947. 75%, leading to an average combined rate of approximately 9. The Tennessee alcohol taxes are levied in addition to traditional Tennessee taxes such as sales and use tax, franchise and excise tax, and business tax. Due Dates Sales Tax due dates depend on how frequently you file your return: Jun 16, 2025 · This guide provides a comprehensive overview of sales tax in Nashville, Tennessee. Navigate Tennessee's sales tax landscape with our comprehensive guide, covering compliance, rates, and regulations to keep your business on track. This effectively increases the local sales and food tax rates to 2. Find sales tax rates in Tennessee by address or ZIP code with the free Tennessee sales tax calculator from SalesTaxHandbook. Use our sales tax calculator to get rates by county, city, zip code, or address. The state also has discretionary taxes at the county and city levels. Use the Tennessee sales tax calculator to calculate the sales tax for any purchase in Tennessee. 5% local option transit surcharge in Davidson County beginning February 1, 2025. Food and food ingredients do not include alcoholic beverages, tobacco, candy, dietary supplements, or prepared food. Several examples of of items that exempt from Tennessee sales tax are medical supplies, certain groceries and food items, and items used in packaging. Get clarity on rates, taxable items, exemptions, and how your purchases are affected. The use tax rate is the same as the state sales tax rate. The local option portion is imposed by city and/or county governments and was first enacted under the 1963 Local Option Revenue Act. What is the sales tax in Tennessee? - The sales tax in Tennessee is 7 as of 2025. org Tennessee Sales Tax Calculator is a powerful tool you can use to quickly calculate local and state sales tax for any location in Tennessee. A swift and user-friendly 2025 sales tax tool catering to businesses and individuals in Nashville, Tennessee, United States. Local Sales Tax is 2. 25% and the city-specific tax is 0%, the minimum sales tax rate for Knoxville is 9. Look up 2025 Tennessee sales tax rates in an easy to navigate table listed by county and city. Explore Tennessee tax data, including tax rates, collections, burdens, and more. Customers should not be directly billed for sales tax by contractors for services to real property. 25%. Whether you’re selling goods or services, knowing when and how to collect sales tax is key to staying compliant. There are a total of 313 local tax jurisdictions across the state, collecting an average local tax of 2. The state has a base sales tax rate of 7%, with local rates ranging from 1. 75% local sales tax on top of the state’s 7%. The information in this guide is current as of the date of publication. The local tax rate varies by county and/or city. Discover our free online 2025 US sales tax calculator specifically for Nashville, Tennessee residents. Find out what's taxable, what's exempt, and how to register and file as a business. The base Tennessee sales tax is currently 7. For purchases in excess of $1,600, an additional state tax of 2. 25% as of February 2025. The local tax rate may not be higher than 2. Aug 6, 2025 · Sales tax in Tennessee serves as a significant source of revenue for both state and local governments, funding various public services. Just enter the five-digit zip code of the location in which the transaction takes place, and we will instantly calculate sales tax due to Tennessee, local counties, cities, and special taxation districts. Exceptions are Hamblen County $300 (City of Morristown is $1600), and Hancock County the first $375. Aug 6, 2025 · Navigate Tennessee’s sales tax landscape. 1 day ago · The final sales tax obligation for consumers is determined by adding a local option sales tax to the 7% state rate. Tennessee taxes sales of tangible Tennessee State Government - TN. Ensure adherence to state revenue laws. This amount is never to exceed $36. Use our tax calculator to get sales tax rates by state, county, zip code, or address. 75%. The due date for the sales and use tax return is the 20th of the month following the end of the reporting period. Avoid mistakes today! Feb 24, 2025 · Tennessee residents benefit from no Tennessee state tax on personal income. Learn how Tennessee's sales tax system combines state and local rates, affecting most items at 7% and some at 4%. Here's how Tennessee taxes five types of commonly-exempted goods: Find the 2025 Only sales tax rate. Jan 1, 2021 · The latest sales tax rates for cities in Tennessee (TN) state. This means that an individual in the state The local sales tax rate in Knox County is 2. The tax (2. 25% local sales tax, the maximum local sales tax allowed under Tennessee law Knox County has a lower sales tax than 69. 2025 Tennessee Sales Tax By County Tennessee has 779 cities, counties, and special districts that collect a local sales tax in addition to the Tennessee state sales tax. The local sales tax rate in Chattanooga, Tennessee is 9. So, if you are located in South Dakota but make a sale to a buyer in Knoxville, Tennessee, you would charge the sales tax rate at your buyer’s location in Knoxville, Tennessee. This page discusses various sales tax exemptions in Tennessee. Understanding Tennessee’s State Sales Tax Tennessee levies a statewide general sales tax rate of 7%. Municipal governments in Tennessee are allowed to collect local sales taxes, so the total sales tax rate varies between cities, counties, and special districts. The local sales tax rate in Memphis, Tennessee is 9. 5%, instead of the local tax rate in effect in a county/municipality. May 29, 2025 · Simplify your sales tax compliance with the Tennessee sales tax guide on rates, exemptions, and filing. Prepared food, di Oct 28, 2025 · Tennessee's tax system is a rare breed. Tennessee has a statewide sales tax of 7%. Are landscape services taxable for Tennessee sales tax? Services such as grass cutting, trimming, bush trimming, leaf raking, and similar activities are all services performed on real property. Interstate Tennessee sales: For interstate sales, Tennessee is a destination-based sales tax sourcing state. Feb 23, 2025 · Navigate Tennessee sales tax with ease. In Tennessee, the official term for a sales tax permit is a Sales and Use Tax Account, issued by the Tennessee Department of Revenue. County taxes cannot exceed 2. Please see the Department’s website for in-depth information on those taxes. 619%. A sales tax table is a printable sheet that you can use as a reference to easily calculate the sales tax due on an item of any price - simply round to the nearest $0. Jul 1, 2023 · In lieu of the LBD tax, these companies pay the wholesale gallonage tax on alcoholic beverages they bring into Tennessee. 75%, and the maximum rate (including Tennessee and city sales taxes) is 9. Find out what additional taxes Tennesseans have to pay on vehicles and how the tax rate compares to other states. Free sales tax calculator tool to estimate total amounts. Mar 14, 2025 · Tennessee ranks 40th in the country for average property tax, with No. Tennessee State Government - TN. Law: Tax Rate – Digital Specified Products Tennessee sales and use tax statutes provide that specified digital products are taxed at the state rate of 7% and a standard local tax rate of 2. Feb 20, 2025 · In Tennessee, sales tax on online sales is handled in a similar manner to traditional in-person sales. Sounds great, right? Not so fast. Online retailers with a physical presence in the state are required to collect and remit sales tax on purchases made by Tennessee residents. gov The Tennessee Sales Tax Handbook provides everything you need to understand the Tennessee Sales Tax as a consumer or business owner, including sales tax rates, sales tax exemptions, and more. May 22, 2025 · Many Tennessee municipalities and counties charge local sales taxes. Then subtract any The 2025 Nashville sales tax rate is 0. Nov 27, 2024 · From income and sales tax to how much property tax you’ll need to pay, this guide tells you everything you need to know about tax in Tennessee. From your weekly grocery run to big-ticket purchases, the Tennessee sales tax Aug 7, 2025 · This tax applies when tangible personal property is purchased without sales tax being paid, but is then used, consumed, distributed, or stored for use or consumption in Tennessee. 00. To learn more, explore this comprehensive guide to understanding Tennessee's sales tax. Tennessee sales tax serves as the primary source of state tax revenue and makes up approximately 60% of all tax collections. A swift and user-friendly 2025 sales tax tool catering to businesses and individuals in Tennessee, United States. Tennessee has state sales tax of 7%, and allows local governments to collect a local option sales tax of up to 2. Navigate Tennessee sales tax regulations with ease using Complyt's comprehensive guide for precise compliance and reporting. directly to a Tennessee qualified nonprofit entity; and directly to the federal government, the state of Tennessee, Tennessee county or municipality or an agency of these governments. 1 being the highest rate. **There is an 0. The Tennessee sales tax rate is 7% as of 2025, with some cities and counties adding a local sales tax on top of the TN state sales tax. Sales tax typically 7% but may rise to 10% with local additions. 1 The Act also imposed a complementary use tax that applies when a taxable product is used, consumed, distributed, or stored in this state and the seller did not collect sales tax Get the latest sales tax rates and filing information for Tennessee. Excise taxes on alcohol are implemented by every state, as are excises on cigarettes and motor fuels like gasoline. May 24, 2025 · Tennessee charges a vehicle sales tax of 7%. Tennessee sales tax calculator is used to calculate the sales tax to buy things in Tennessee. This account authorizes a business to collect state and local sales tax on taxable sales. Please note that special sales View our complete guide to Tennessee sales tax, with information about Tennessee sales tax rates, registration, filing, and deadlines. Local Sales Tax Any county or incorporated city, by resolution or ordinance, may levy the local sales and use tax on the same privileges that are subject to the state’s sales or use tax. Tennessee Sales Tax on Car Purchases: Vehicles purchases are some of the largest sales commonly made in Tennessee, which means that they can lead to a hefty sales tax bill. Tennessee Liquor, Wine, and Beer Taxes In addition to (or instead of) traditional sales taxes, alcoholic beverages like wine, beer, and liquor are subject to excise taxes on both the Tennessee and Federal levels. For example, sales of food and food ingredients are taxed at a state rate of 4%. Our free online guide for business owners covers Tennessee sales tax registration, collecting, filing, due dates, nexus obligations, and more. The Act imposed a sales tax on the privilege of engaging in the business of selling tangible personal property. 75% as of February 2025. While most states split their revenue between income and sales taxes, Tennessee takes a different routethere's no state income tax on wages here. New York, on the other hand, only raises about 20 percent of its revenues from the sales tax. gov Many states have special sales tax rates that apply to the purchase of certain types of goods, or fully exempt them from the sales tax altogether. 75% is added up to a maximum of $44. Charitable, nonprofit, or political organizations that hold a special occasion license and sell alcoholic beverages pursuant to that license do not owe LBD tax on those sales. Sales Tax State Sales Tax is 7% of purchase price less total value of trade in. Jul 25, 2025 · Explore Tennessee's 2025 state tax rates for income, sales, property, retirement, and more. Get answers to Tennessee sales tax! TN has a 7% state sales tax plus local taxes. Looking for information on sales tax in Tennessee? Use our comprehensive sales tax guide for the state of Tennessee. This state rate does not include any additional local taxes. 75% as of November 2025. The sales tax is comprised of two parts, a state portion and a local portion. 0%, but since the Knox County tax rate is 2. Paying Vehicle Sales Tax Vehicle sales tax in Tennessee is typically paid at the county clerk’s office during the process of titling and registering the vehicle. Understanding Tennessee sales tax is crucial for businesses operating in the state. Learn about state, county, and special tax rates for businesses in Memphis, Tennessee. See how this impacts your pricing, profit margins, and tax compliance. 50% - 7. Aug 5, 2025 · Sales to non-residents who remove the vehicle from the state within three days are also exempt. INSTRUCTIONS: Tennessee Sales and Use Tax Return These instructions apply to Tennessee’s sales and use tax return for periods beginning on or after February 1, 2025. Tennessee car sales tax calculator is used to calculate the sales tax to buy cars in Tennessee. The sales tax calculator will calculate the cost of an item with and without tax. Sales and use tax have two parts: a state portion and a local option portion. . 5% as of February 2025. What purchases are exempt from the Tennessee sales tax? While the Tennessee sales tax of 7% applies to most transactions, there are certain items that may be exempt from taxation. The vehicle sales tax calculator will calculate the total price with sales tax added when you buy a vehicle in Tennessee. To determine your taxable amount, add together all fees on your bill of sale except Gap Insurance, Finance Charges, and Sales Tax. For vehicles that are being rented or leased, see see taxation of leases and rentals. It is a significant component of the state’s revenue system, funding various state and local government services. Mar 27, 2025 · The state sales tax rate for most taxable items and services is 7%. The base state sales tax rate in Tennessee is 7. 0%. However, there are exceptions. Tennessee’s sales tax system is unique because it combines a statewide base rate with local add-on rates, resulting Sep 21, 2023 · Tennessee's state sales and use tax rate is 7 percent. SUT-13 - Sales and Use Tax Rates – Overview SUT-14 - Sales and Use Tax Rates – Manufacturers SUT-15 - Uniform Local Sales Tax Rate SUT-16 - Local Tax Collection by Out-of-State Dealers SUT-17 - Local Privilege Taxes are not Included in the Sales Price When Calculating Sales Tax SUT-18 Sales Tax and Business Tax Filing for Single Member LLCs Aug 12, 2025 · Sales tax is a consumption-based tax imposed on the sale of goods and certain services, playing a vital role in generating revenue for state and local governments. 55%. Find the 2025 Franklin sales tax rate. 9% of Tennessee's other cities and counties Knox County Tennessee Sales Tax Exemptions Find the 2025 Knoxville sales tax rate. Florida, Washington, Tennessee, and Texas all generate more than 50 percent of their tax revenue from the sales tax, and several of these states raise nearly 60 percent of their tax revenue from the sales tax. What transactions are generally subject to sales tax in Tennessee? In the state of Tennessee, sales tax is legally required to be collected from all tangible, physical products being sold to a consumer. All local jurisdictions in Tennessee have a local sales and use tax rate. Every county and municipality in Tennessee has implemented a local sales and use tax. The local sales tax rate in Knoxville, Tennessee is 9. The proposal exempts groceries, and Tennessee already doesn't put a sales tax on products such as gasoline and prescription drugs. What is the sales tax in Tennessee? What are the local rates? And how do I calculate Tennessee sales tax? All your Tennessee sales tax questions answered here. Jun 16, 2025 · Learn everything about sales tax in Tennessee from the sales tax rate to the rules around nexus. Learn how Tennessee compares nationwide. See a complete list of all Tennessee city and county sales tax rates on this official resource. Depending on where you live in Tennessee, you could end up paying from 1. Ensure your business remains compliant with Tennessee's tax laws. Aug 7, 2025 · Tennessee sales tax is a consumption tax applied to the sale of goods and certain services within the state. The Tax-Rates. Sales and Use Tax Overview The sales tax is Tennessee’s principal source of state tax revenue accounting for approximately 60% of all tax collections. It is not an all-inclusive document or a substitute for Tennessee sales or use tax statutes or rules and regulations. 25%, and the maximum rate (including Tennessee and city sales taxes) is 9. Chapter 5: Sales Tax Imposition on Services and Tangible Personal Property. Jun 16, 2025 · Explore the 2025 guide to Memphis sales tax rates. TN Sales Tax Basics The tax applies to dealers engaged in the business of making sales of taxable products/services in TN. The local sales tax rate in Shelby County is 2. Discover our free online 2025 US sales tax calculator specifically for Tennessee residents. May 20, 2025 · Understanding Tennessee sales tax is essential for businesses to maintain compliance and avoid penalties. 00% state. Read information about e-file and pay. This page covers the most important aspects of Tennessee's sales tax with respects to vehicle purchases. This consumption tax is applied to the sale of goods and certain services within the state. The local sales tax rate in Clarksville, Tennessee is 9. The Knox County Sales Tax is collected by the merchant on all qualifying sales made within Knox County Knox County collects a 2. In this article, we’ll explore topics such as: When you are required to collect tax in Tennessee. xxwqwnfn hfezfa riuf abhgyuw acaqfo hvuah xpir buatvbv ohbez vcvv jhc lgsutcek kalki lwoc ctx