Tennessee Sales Tax Guide

A step-by-step guide to understanding Tennessee sales tax rules.


Collecting, filing, and remitting sales tax in Tennessee can be complicated for small business owners and online sellers. Our guide to Tennessee sales tax will help you establish a foundation for sales tax compliance and explain the ins and outs of registration, collecting tax, and filing ongoing tax returns with the Tennessee Department of Revenue.

I would rather automate my Tennessee sales tax filing

Table of Contents

An Overview of Tennessee Sales Tax

Understanding where, when, and how to collect Tennessee sales tax is no easy task. Whether you're collecting tax dollars at the point-of-sale or collecting Tennessee internet sales tax, our guide will break down the sales tax compliance process into focused, easy to understand chapters.

Tennessee Sales Tax Nexus

Understanding whether you need to collect, file, and remit Tennessee sales tax depends on a concept known as nexus. In this chapter, we'll take a look at situations that may trigger in Tennessee such as storing inventory in the state, hiring state residents, and click-through nexus.

Registering to Collect Tennessee Sales Tax

You'll want to get started establishing Tennessee sales tax compliance by understanding how to get your business registered for the necessary sales tax permit. We'll walk you through the process and help you understand when is the best time to get your business registered in Tennessee.

Collecting Sales Tax in Tennessee

After you've registered your business with the Tennessee Department of Revenue, you're ready to begin collecting sales tax. We'll review topics such as Tennessee sales tax exemptions, sales tax holidays, and determining state and local sales tax rates.

Filing Tennessee Sales Tax Returns

Now that you're business is registered with the Tennessee Department of Revenue and collecting sales tax, you'll need to file tax returns in an ongoing basis. We'll help you gain a deep understand of the process of filing sales tax returns. Topic covered include filing frequencies, filing on behalf of a client, and what happens if you file late.

Tennessee Sales Tax Filing Due Dates

Every business that registers to collect Tennessee sales tax will be assigned a filing frequency. In this chapter, we'll take a look at the filing frequencies and associated due dates supported by the Tennessee Department of Revenue.

Late Filing Penalties, Fines & Interest

We know, mistakes happen and, from time to time, sales tax filing deadlines are missed. In this chapter, we'll take a look at what penalties you may be required to pay should you miss your assigned Tennessee sales tax filing date. We'll also consider interest charges for late sales tax payments.

Sales Tax on Tennessee Shipping & Handling

The rise of the internet economy has made it possible for buyers around the world to order your products. Did you know shipping and handling may be taxable? In this chapter we'll cover sales tax on shipping and handling in Tennessee. You'll want to pay attention here because there are some important details pertaining to invoicing you'll want to understand.