The income tax in the Volunteer State does not apply to salaries and wages. It does apply to income from stocks and bonds. The tax rate is fixed at six per cent flat. All tax returns are to be filed by 15th of April or the next business day if the 15th is a holiday or if it falls on a weekend. Taxpayers in Tennessee have many electronic options for filing taxes. They can even make tax payments online.
Many find Tennessee Sales Tax laws complicated and hard to figure out. Tennessee levies seven per cent Sales and Use Tax. Food is taxed at a rate of 5.5 per cent and it excludes candy and dietary supplements. Local taxes add between 1.5 per cent to 2.75 per cent and vary greatly from location to location. Tennessee has a "bona fide coin operated amusement machines" tax.
Gasoline is taxed at 21.4 cents a gallon while diesel is taxed 18.4 cents per gallon. Local Government bodies exercise an additional cent per gallon on gasoline and diesel. A pack of 20 cigarettes is taxed at 62 cents while a pack of 25 cigarettes is taxed at 77.5 cents.
The great State of Tennessee imposes the following taxes:
All Tax assessments are measured in the hundreds of dollars. The great State of Tennessee is one of the few States in the Federation that levies an Inheritance Tax.
Presently Commissioner Reagan Farr heads the Office of Department of Revenue in Tennessee.
In 2004 The State of Tennessee collected $ 8,865,000,000 in revenue. This equated to average revenue per capita of $ 1,502.30 for the great State of Tennessee which is roughly 5.28 per cent. This places Tennessee at number 30 for the highest percentage of revenue collected per capita for 2004.