State sales tax rate7%
* While the base rate applies statewide, it’s only a starting point for calculating sales tax in Tennessee. For an accurate tax rate for each jurisdiction, add other applicable local rates on top of the base rate.
What is Tennessee's sales tax?
The Tennessee (TN) state sales tax rate is 7.0%. Depending on local tax jurisdictions, the total sales tax rate can be as high as 10%.
Other, local-level tax rates in the state of Tennessee are quite complex compared against local-level tax rates in other states. Tennessee sales tax may also be levied at the city/county/school/transportation and SPD (special purpose district) levels.
Amazon.com owns and operates several fulfillment centers in Tennessee. This physical presence, or nexus, creates a sales tax obligation for Amazon and many sellers participating in Amazon’s Seller Central and Fulfillment By Amazon (FBA) programs.
Tennessee sales tax is one of the most challenging states to monitor and maintain due to the complex levels of local and special purpose taxes. Maintaining accuracy for this state is demanding and time consuming.
Taxable goods delivered to buyers in Tennessee are subject to sales and use tax. Some services are also subject to sales tax. Online and catalog sales are subject to Tennessee use tax. As a Streamlined Sales Tax state, Tennessee encourages out-of-state sellers without a sales tax obligation to register with the state and collect.
How to register to collect sales tax in Tennessee
Businesses must submit an application (instructions) for a business license to the Taxpayer Services Division. Applications are available online or upon request from the Taxpayer Service
Businesses selling into multiple states may also register with the Streamlined Sales Tax Project.
How to file sales tax returns in Tennessee
All sales and use tax returns and payments must be submitted electronically. All sales and use tax forms are available online, including Zero Sales Returns, which are required.
Businesses must file tax returns monthly, quarterly, or annually, depending on the amount of tax owed. Accounts filing payments in excess of $1,000 may have special filing requirements. Additional information.
Deadlines for filing sales tax returns in Tennessee
Sales and use tax returns are due on or before the 20thday of the month following the reporting period. Additional information.
Are you looking for tax rates within a certain county? We have a list of all the counties in Tennessee along with their sales tax rate.
Each city or town in Tennessee may charge additional sales tax. Find the local tax rate for each city.
Get a grip on sales tax compliance
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