Tennessee Tax Changes
Week Of 10.07.2024
The Tennessee Department of Revenue has extended the franchise and excise tax filing and payment due dates to May 1, 2025, for taxpayers affected by Hurricane Helene.
This extension applies to all taxpayers located in any disaster area designated by FEMA in Tennessee. Currently, this includes Carter, Cocke, Greene, Hamblen, Hawkins, Johnson, Unicoi, and Washington counties. Taxpayers located in other areas of Tennessee later designated as disaster areas will automatically receive the same filing and payment extensions.
This tax relief postpones all franchise and excise tax filing and payment due dates, including for estimated payments, that occur starting September 26, 2024, until May 1, 2025. This extension also applies to franchise tax property measure refunds, which were originally due on November 30, 2024. Requests for sales tax extensions will be considered on a case-by-case basis. Extensions may also apply if a taxpayer's returns are prepared by a practitioner located in the designated disaster area.
Week Of 09.30.2024
Tennessee Provides Sales Tax Relief for Victims of Hurricane Helene.
Tennessee is offering sales tax relief to residents whose primary residences were damaged or destroyed by Hurricane Helene. To qualify for a refund, individuals must have received financial assistance from FEMA for repairs or rebuilding their homes. They can file a claim with the Department of Revenue up to one year from the date on their FEMA decision letter.
Here are the eligible items for a sales tax refund:
- Major appliances: Purchased for $3,200 or less to replace damaged or destroyed items used in the primary residence.
- Residential furniture: Purchased for $3,200 or less to replace damaged or destroyed items used in the primary residence.
- Residential building supplies: Purchased for $500 or less and used for restoration, repair, replacement, or rebuilding the primary residence.
The maximum refund available for any one residence is $2,500. Individuals can also include the Tennessee sales or use tax paid by their contractor on eligible items purchased for repairs. They should ask their contractor for an invoice listing the items purchased and the amount of Tennessee sales tax paid.
To file a claim for refund:
- Gather: A copy of your FEMA decision letter and all receipts and invoices showing payment of Tennessee sales tax on eligible items. Include contractor invoices, if applicable, and any other payment documents if store receipts are not available.
- File electronically: In TNTAP by clicking on Information and Inquiries, then the Natural Disaster Refund link.
- Mail: A completed Natural Disaster Claim for Refund of Sales Tax form and a copy of your FEMA decision letter to: ATTN: Natural Disaster Refund Claim, Tennessee Department of Revenue, Andrew Jackson State Office Building, Nashville, TN 37242. Keep the original FEMA decision letter for your records.
- Retain: All receipts and invoices for a period of three years from December 31 of the year in which the claim for refund was filed. Do not send receipts and invoices with the claim for refund. The Department will request them if needed.
Important Notes:
- You can only file one claim per primary residence.
- The claim should include all Tennessee sales and use tax paid, up to $2,500, to all retailers for any eligible items.
- The refund claim should only include eligible items purchased after the date of the disaster.
Week Of 10.07.2024
Tennessee Franchise Tax—Tennessee provides extensions for Hurricane Helene storm victims.
The Tennessee Department of Revenue has announced that consistent with the IRS's decision, the Department has extended the franchise and excise tax filing and payment due dates to May 1, 2025. These extensions apply to all taxpayers (affected taxpayers) located in any disaster area designated by FEMA in Tennessee. Currently, this includes Carter, Cocke, Greene, Hamblen, Hawkins, Johnson, Unicoi, and Washington counties. Taxpayers located in other areas of Tennessee later designated as disaster areas will automatically receive the same filing and payment extensions. This tax relief postpones all franchise and excise tax filing and payment due dates, including for estimated payments, that occur starting September 26, 2024 until May 1, 2025, This extension also will apply to franchise tax property measure refunds which were originally due on November 30, 2024. Requests for sales tax extensions will be considered on a case-by-case basis. Extensions may also apply if a taxpayer's returns are prepared by a practitioner located in the designated disaster area. (Tennessee Important Notice No. 24-09, 10/01/2024.)
Tennessee General Administrative Provisions—Tennessee provides extensions for Hurricane Helene storm victims.
The Tennessee Department of Revenue has announced that consistent with the IRS's decision, the Department has extended the franchise and excise tax filing and payment due dates to May 1, 2025. These extensions apply to all taxpayers (affected taxpayers) located in any disaster area designated by FEMA in Tennessee. Currently, this includes Carter, Cocke, Greene, Hamblen, Hawkins, Johnson, Unicoi, and Washington counties. Taxpayers located in other areas of Tennessee later designated as disaster areas will automatically receive the same filing and payment extensions. This tax relief postpones all franchise and excise tax filing and payment due dates, including for estimated payments, that occur starting September 26, 2024 until May 1, 2025, This extension also will apply to franchise tax property measure refunds which were originally due on November 30, 2024. Requests for sales tax extensions will be considered on a case-by-case basis. Extensions may also apply if a taxpayer's returns are prepared by a practitioner located in the designated disaster area. (Tennessee Important Notice No. 24-09, 10/01/2024.)
Week Of 09.30.2024
Tennessee Provides Sales Tax Relief for Victims of Hurricane Helene.
Tennessee Governor Lee has provided an update on the state's ongoing multi-agency response to the impact of Hurricane Helene, noting that if a primary residence is damaged or destroyed due to a natural disaster occurring in Tennessee, the person may be entitled to a refund of Tennessee sales and use tax paid on major appliances, residential furniture, or residential building supplies purchased after the disaster. (Gov. Lee Provides Update on Multi-Agency Response to Hurricane Helene, 10/03/2024; Hurricane Helene--Natural Disaster Sales Tax Relief, Tenn. Dept. Rev., 10/03/2024.)
Persons qualified for sales tax refunds. Only people who receive financial assistance from the Federal Emergency Management Agency (FEMA) for the repair, replacement, or construction of their primary home that was damaged or destroyed in a natural disaster may qualify for a refund. To receive a refund, that affected person must file a claim with the Department of Revenue.
When to file claims. A claim can be filed up to one year from the date on the FEMA decision letter. A claimant should wait until they have made all purchases before filing a claim for refund. Receipts and invoices should be compiled and tracked so that all eligible items purchased after the date of the disaster from all retailers can be submitted at one time.
Items qualifying for sales tax refund. The Tennessee sales tax paid on eligible items can be refunded. Eligible items are major appliances purchased for $3,200 or less, residential furniture purchased for $3,200 or less, and residential building supplies purchased for $500 or less. To be eligible, major appliances and residential furniture must be purchased to replace damaged or destroyed items used in the individual’s primary residence. Residential building supplies must be used for the purposes of restoration, repair, replacement, or rebuilding the individual’s primary residence.
The Department has issued a document that lists items that are eligible for the refund, as well as items that do not qualify for the refund: Items Eligible/Ineligible for Sales Tax Refund on Natural Disaster Refund Claim, Tenn. DOR, 01/01/2016.
Maximum refund allowed. The maximum amount of refund available to any one residence is $2,500.
Sales tax paid by a contractor. People filing a claim for refund may also include the Tennessee sales or use tax paid by their contractor on eligible items purchased and used to making repairs to their home. Affected individuals should ask their contractor to provide them with an invoice listing the items purchased and the amount of Tennessee sales tax the contractor paid on those purchases.
How to claim the refund. A person can file only one claim for a primary residence. The claim should include all Tennessee sales and use tax paid, up to $2,500, to all retailers for any eligible items. The refund claim should only include eligible items purchased after the date of the disaster. To file a claim for refund, the claimant should follow these steps:
1. Gather a copy of the claimant's FEMA decision letter and all of the claimant's receipts and invoices showing payment of Tennessee sales tax on eligible items. Include contractor invoices, if applicable, and any other payment documents if store receipts are not available.
2. A claimant can file a claim for refund electronically in TNTAP by clicking on Information and Inquiries, then the Natural Disaster Refund link.
3. If a claimant does not want to use the Department’s website, the claimant can also mail the completed Natural Disaster Claim for Refund of Sales Tax form and a copy of the claimant's FEMA decision letter to: ATTN: Natural Disaster Refund Claim, Tennessee Department of Revenue, Andrew Jackson State Office Building, Nashville, TN 37242. The claimant should retain the original FEMA decision letter for their records.
4. Claimants should keep all receipts and invoices for a period of three years from December 31 of the year in which the claim for refund was filed. Claimants should not send receipts and invoices with the claim for refund. If needed, the Department will request the receipts and invoices.
Week Of 10.07.2024
Tennessee Franchise Tax—Tennessee provides extensions for Hurricane Helene storm victims.
The Tennessee Department of Revenue has announced that consistent with the IRS's decision, the Department has extended the franchise and excise tax filing and payment due dates to May 1, 2025. These extensions apply to all taxpayers (affected taxpayers) located in any disaster area designated by FEMA in Tennessee. Currently, this includes Carter, Cocke, Greene, Hamblen, Hawkins, Johnson, Unicoi, and Washington counties. Taxpayers located in other areas of Tennessee later designated as disaster areas will automatically receive the same filing and payment extensions. This tax relief postpones all franchise and excise tax filing and payment due dates, including for estimated payments, that occur starting September 26, 2024 until May 1, 2025, This extension also will apply to franchise tax property measure refunds which were originally due on November 30, 2024. Requests for sales tax extensions will be considered on a case-by-case basis. Extensions may also apply if a taxpayer's returns are prepared by a practitioner located in the designated disaster area. (Tennessee Important Notice No. 24-09, 10/01/2024.)
Tennessee General Administrative Provisions—Tennessee provides extensions for Hurricane Helene storm victims.
The Tennessee Department of Revenue has announced that consistent with the IRS's decision, the Department has extended the franchise and excise tax filing and payment due dates to May 1, 2025. These extensions apply to all taxpayers (affected taxpayers) located in any disaster area designated by FEMA in Tennessee. Currently, this includes Carter, Cocke, Greene, Hamblen, Hawkins, Johnson, Unicoi, and Washington counties. Taxpayers located in other areas of Tennessee later designated as disaster areas will automatically receive the same filing and payment extensions. This tax relief postpones all franchise and excise tax filing and payment due dates, including for estimated payments, that occur starting September 26, 2024 until May 1, 2025, This extension also will apply to franchise tax property measure refunds which were originally due on November 30, 2024. Requests for sales tax extensions will be considered on a case-by-case basis. Extensions may also apply if a taxpayer's returns are prepared by a practitioner located in the designated disaster area. (Tennessee Important Notice No. 24-09, 10/01/2024.)
Week Of 09.30.2024
Tennessee Provides Sales Tax Relief for Victims of Hurricane Helene.
Tennessee Governor Lee has provided an update on the state's ongoing multi-agency response to the impact of Hurricane Helene, noting that if a primary residence is damaged or destroyed due to a natural disaster occurring in Tennessee, the person may be entitled to a refund of Tennessee sales and use tax paid on major appliances, residential furniture, or residential building supplies purchased after the disaster. (Gov. Lee Provides Update on Multi-Agency Response to Hurricane Helene, 10/03/2024; Hurricane Helene--Natural Disaster Sales Tax Relief, Tenn. Dept. Rev., 10/03/2024.)
Persons qualified for sales tax refunds. Only people who receive financial assistance from the Federal Emergency Management Agency (FEMA) for the repair, replacement, or construction of their primary home that was damaged or destroyed in a natural disaster may qualify for a refund. To receive a refund, that affected person must file a claim with the Department of Revenue.
When to file claims. A claim can be filed up to one year from the date on the FEMA decision letter. A claimant should wait until they have made all purchases before filing a claim for refund. Receipts and invoices should be compiled and tracked so that all eligible items purchased after the date of the disaster from all retailers can be submitted at one time.
Items qualifying for sales tax refund. The Tennessee sales tax paid on eligible items can be refunded. Eligible items are major appliances purchased for $3,200 or less, residential furniture purchased for $3,200 or less, and residential building supplies purchased for $500 or less. To be eligible, major appliances and residential furniture must be purchased to replace damaged or destroyed items used in the individual’s primary residence. Residential building supplies must be used for the purposes of restoration, repair, replacement, or rebuilding the individual’s primary residence.
The Department has issued a document that lists items that are eligible for the refund, as well as items that do not qualify for the refund: Items Eligible/Ineligible for Sales Tax Refund on Natural Disaster Refund Claim, Tenn. DOR, 01/01/2016.
Maximum refund allowed. The maximum amount of refund available to any one residence is $2,500.
Sales tax paid by a contractor. People filing a claim for refund may also include the Tennessee sales or use tax paid by their contractor on eligible items purchased and used to making repairs to their home. Affected individuals should ask their contractor to provide them with an invoice listing the items purchased and the amount of Tennessee sales tax the contractor paid on those purchases.
How to claim the refund. A person can file only one claim for a primary residence. The claim should include all Tennessee sales and use tax paid, up to $2,500, to all retailers for any eligible items. The refund claim should only include eligible items purchased after the date of the disaster. To file a claim for refund, the claimant should follow these steps:
1. Gather a copy of the claimant's FEMA decision letter and all of the claimant's receipts and invoices showing payment of Tennessee sales tax on eligible items. Include contractor invoices, if applicable, and any other payment documents if store receipts are not available.
2. A claimant can file a claim for refund electronically in TNTAP by clicking on Information and Inquiries, then the Natural Disaster Refund link.
3. If a claimant does not want to use the Department’s website, the claimant can also mail the completed Natural Disaster Claim for Refund of Sales Tax form and a copy of the claimant's FEMA decision letter to: ATTN: Natural Disaster Refund Claim, Tennessee Department of Revenue, Andrew Jackson State Office Building, Nashville, TN 37242. The claimant should retain the original FEMA decision letter for their records.
4. Claimants should keep all receipts and invoices for a period of three years from December 31 of the year in which the claim for refund was filed. Claimants should not send receipts and invoices with the claim for refund. If needed, the Department will request the receipts and invoices.