Bass, Berry & Sims attorneys Michael Sontag, Stephen Jasper and Robert Guth authored an article for the Journal of Multistate Taxation and Incentives about Tennessee’s increased enforcement of the “business tax,” requiring “the vast majority of businesses selling goods or services to Tennessee customers” to pay the tax. As the authors point out in the article, until this recent enforcement and despite being in existence for more than 45 years, most businesses in Tennessee were unaware of the state’s business tax. 

The article answers several key questions about this tax, including:

  • What is the business tax?
  • What businesses are subject to the business tax?
  • What’s the tax rate?
  • What sales are included in the tax base?

The full article, “Wait, Tennessee Has a Gross-Receipts Tax?” was published in the January 2017 issue of the Journal of Multistate Taxation and Incentives and is available in the PDF below.