The State of Tennessee is allowing a deduction for accounting and remitting sales tax for dealers registered in Tennessee, effective July 1, 2022. Dealers are eligible for vendor’s compensation deduction equal to 2% of the state tax due, not to exceed $25 on returns filed for tax periods beginning or after 7/1/2022 and ending on or before 6/30/2023. This does not apply to local sales tax.
Returns must be filed timely and taxes paid timely. Instructions can be found on the Tennessee Department of Revenue site here (see Line 18).
Smith and Howard stays on top of sales and use tax filing requirements in every state, including Tennessee. We would be happy to speak with you about how businesses are spending more time focusing on growth because we’re doing the work on their sales tax compliance. Click the Contact An Advisor button to connect with our team.
If you have any questions and would like to connect with a team member please call 404-874-6244 or contact an advisor below.CONTACT AN ADVISOR