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Sales & Use Tax Rate Changes Effective January 1, 2021 
 
Tennessee  Seller's permit  Information:  You will need a TN  Seller's permit   for all retail sales, leases and rentals of most goods, as well as taxable services (see below for taxable services).  For example, you start a Tennessee home business selling stuff online such as apparel merchandise. You will need to obtain a  Seller's permit . 
    Tennessee cities and counties have the option of imposing an additional local option  Sales Tax (get Seller's Permit)  but first get the  Seller's permit  here and you will pay the tax for counties and cities as well as the state through it. 
    Note that the 45 states that impose a  Sales Tax (get Seller's Permit)  also levy a use tax as well. 
When Do I Have to Pay the  Sales Tax (get Seller's Permit)  I Collect for TN taxable sales? 
    Due Dates for submitting your  Sales Tax (get Seller's Permit)  are the following: Monthly - 20th day of the month following the end of the reporting period  Quarterly - 20th of the month following the end of the quarter Annually - January 20 Use Tax - Depending upon the frequency of your purchases, you may file quarterly or annually  
 Sales Tax (get Seller's Permit)  Rates: State Tax - The  Sales Tax (get Seller's Permit)  rate on food is 5%. All other tangible personal property, unless specifically exempted, is 7%. State Single Article Rates - 2.75% on any single item sold in excess of $1,599.99 but not more than $3,199. 
 
 
 
 
Services Taxed in Tennessee 
 
    Important: If the service is taxed, you will need to obtain a  Seller's permit :  
 
Tax Rate:  E - Exempt from Tax, T - taxable at various unspecified rates, or a  number indicates percentage tax rate applicable.  
 
 
ServiceTax RateNotes 
001 - Soil prep., custom baling, other ag. servicesE 
002 - Veterinary services (both large and small animal)E 
003 - Horse boarding and training (not race horses)E 
004 - Pet grooming7   
005 - Landscaping services (including lawn care)E 
006 - Metal, non-metal and coal mining servicesE 
007 - Seismograph & Geophysical ServicesE 
008 - Oil Field ServicesE 
009 - Typesetting service; platemaking for the print tradeE 
010 - Gross Income of Construction ContractorsE   
011 - Carpentry, painting, plumbing and similar trades.E   
012 - Construction service (grading, excavating, etc.)E 
013 - Water well drillingE 
014 - Income from intrastate transportation of personsE 
015 - Local transit (intra-city) busesE 
016 - Income from taxi operationsE 
017 - Intrastate courier serviceE 
018 - Interstate air courier (billed in-state)E 
019 - Automotive storage7   
020 - Food storageE 
021 - Fur storageE 
022 - Household goods storageE 
023 - Mini -storageE 
024 - Cold storageE 
025 - Marina Service (docking, storage, cleaning, repair)E   
026 - Marine towing service (incl. tugboats)E 
027 - Travel agent servicesE 
028 - Packing and crating7   
029 - Intrastate telephone & telegraph7   
030 - Interstate telephone & telegraph7   
031 - Cellular telephone services7   
032 - Electricity1.5   
033 - Water1   
034 - Natural gas1.5   
035 - Other fuel (including heating oil)1.5   
036 - Sewer and refuse, industrialE 
037 - Intrastate telephone & telegraph7 
038 - Interstate telephone & telegraph7   
039 - Cellular telephone services7   
040 - ElectricityE 
041 - Water7 
042 - Natural gasE 
043 - Other fuel (including heating oil)E 
044 - Sewer and refuse, residentialE 
045 - Service charges of banking institutionsE 
046 - Insurance servicesE 
047 - Investment counselingE 
048 - Loan broker feesE 
049 - Property sales agents (real estate or personal)E 
050 - Real estate management fees (rental agents)E 
051 - Real estate title abstract servicesE 
052 - Tickertape reporting (financial reporting)E 
053 - Barber shops and beauty parlorsE 
054 - Carpet and upholstery cleaning7   
055 - Dating servicesE 
056 - Debt counselingE 
057 - Diaper service7   
058 - Income from funeral servicesT 
059 - Fishing and hunting guide services7 
060 - Garment services (altering & repairing)7 
061 - Gift and package wrapping service7 
062 - Health clubs, tanning parlors, reducing salons7   
063 - Laundry and dry cleaning services, coin-opE 
064 - Laundry and dry cleaning services, non-coin op7 
065 - Massage servicesE   
066 - 900 Number services7 
067 - Personal instruction (dance, golf, tennis, etc.)E 
068 - Shoe repair7 
069 - Swimming pool cleaning & maintenanceE   
070 - Tax return preparationE 
071 - Tuxedo rental7 
072 - Water softening and conditioningE   
073 - BillboardsE 
074 - Radio & television, national advertisingE 
075 - Radio & television, local advertisingE 
076 - NewspaperE 
077 - MagazineE 
078 - Advertising agency fees (not ad placement)E 
079 - Armored car servicesE 
080 - Bail bond feesE 
081 - Check & debt collectionE 
082 - Commercial art and graphic design.7 
083 - Commercial linen supply7 
084 - Credit information, credit bureausE 
085 - Employment agenciesE 
086 - Interior design and decoratingE   
087 - Maintenance and janitorial servicesE 
088 - Lobbying and consultingE 
089 - MarketingE 
090 - Packing and cratingE   
091 - Exterminating (includes termite services)E 
092 - Photocopying services7 
093 - Photo finishing7 
094 - Printing7 
095 - Private investigation (detective) servicesE 
096 - Process server feesE 
097 - Public relations, management consultingE 
098 - Secretarial and court reporting servicesE 
099 - Security servicesE 
100 - Sign construction and installation7   
101 - Telemarketing services on contractE 
102 - Telephone answering serviceE 
103 - Temporary help agenciesE 
104 - Test laboratories (excluding medical)E 
105 - Tire recapping and repairing7 
106 - Window cleaningE 
107 - Software - package or canned program7 
108 - Software - modifications to canned program7 
109 - Software - custom programs - material7 
110 - Software - custom programs - professional serv.7   
111 - Internet Service Providers-DialupE   
112 - Internet Service Providers-DSL or other broadbandE   
113 - Information servicesE 
114 - Data processing servicesE 
115 - Mainframe computer access and processing serv.E 
116 - Online Data processing services NewE 
117 - Software - Downloaded New7 
118 - Books - Downloaded New7 
119 - Music - Downloaded New7 
120 - Movies/Digital Video - Downloaded New7 
121 - Other Electronic Goods - Downloaded New7 
122 - Automotive washing and waxing.7   
123 - Automotive road service and towing services7   
124 - Auto service. except repairs, incl. painting & lube7 
125 - Parking lots & garages7   
126 - Automotive rustproofing & undercoating.7 
127 - Pari-mutuel racing events.7 
128 - Amusement park admission & rides7 
129 - Billiard parlors7 
130 - Bowling alleys7 
131 - Cable TV services7   
132 - Direct Satellite TV8   
133 - Circuses and fairs -- admission and games7 
134 - Coin operated video gamesE 
135 - Admission to school and college sports events7   
136 - Membership fees in private clubs.7 
137 - Admission to cultural events7 
138 - Pinball and other mechanical amusementsE 
139 - Admission to professional sports events7 
140 - Rental of films and tapes by theatersE 
141 - Rental of video tapes for home viewing7 
142 - Accounting and bookkeepingE 
143 - ArchitectsE 
144 - AttorneysE 
145 - DentistsE 
146 - EngineersE 
147 - Land surveyingE 
148 - Medical test laboratoriesE 
149 - Nursing services out-of-hospitalE 
150 - PhysiciansE 
151 - Personal property, short term (generally)7 
152 - Personal property, long term (generally)7 
153 - Bulldozers, draglines and const. mach., short term7 
154 - Bulldozers, draglines and const. mach., long term7 
155 - Rental of hand tools to licensed contractors.7 
156 - Short term automobile rental7 
157 - Long term automobile lease7 
158 - Limousine service (with driver)E 
159 - Aircraft rental to individual pilots, short term7 
160 - Aircraft rental to individual pilots, long term7 
161 - Chartered flights (with pilot)E 
162 - Hotels, motels, lodging houses7   
163 - Trailer parks - overnight7   
164 - Custom fabrication labor7 
165 - Repair material, generally7 
166 - Repair labor, generally7   
167 - Labor charges on repair of aircraftE   
168 - Labor charges - repairs to interstate vessels7   
169 - Labor charges - repairs to intrastate vessels7 
170 - Labor - repairs to commercial fishing vessels7 
171 - Labor charges on repairs to railroad rolling stockE 
172 - Labor charges on repairs to motor vehicles7 
173 - Labor on radio/TV repairs; other electronic equip.7 
174 - Labor charges - repairs other tangible property7 
175 - Labor - repairs or remodeling of real propertyE   
176 - Labor charges on repairs delivered under warrantyE 
177 - Service contracts sold at the time of sale of TPP.7 
178 - Installation charges by persons selling property7 
179 - Installation charges - other than seller of goods7   
180 - Custom processing (on customers property)7 
181 - Custom meat slaughtering, cutting and wrappingE 
182 - TaxidermyE 
183 - Welding labor (fabrication and repair)7 
184 - Other Services-not listed7   
185 - Other Services-not listed (2) 
 
 
 
 
 
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