Tax Structure
Local
CityCounty
Property Taxes
(Rate per $100 value):$ 0.3456$ 2.5004
Ratio of Assessment:
Residential25%25%
Industrial40%40%
Personal (Equipment)30%30%
Other Taxes:
Lebanon Special School District Tax$0.39
Sales Tax2.25%2.25%
Hotel-Motel Tax2.0%5.0%

State
Sales Tax
6% for food and food ingredients
7% on all other tangible personal property unless specifically exempted
Income Tax
  • Personal - 6% on Interest and Dividends exceeding $1,250 ($2,500 filing jointly)
  • Excise - 6.5% of Tennessee taxable income
  • Franchise Tax - $0.25 of the greater of net worth or real and tangible property in Tennessee, with a minimum tax of $100
  • Unemployment Tax - New Employers 2.7% of first $9,000, except construction, mining and manufacturing
additional information can be found at www.tennessee.gov/revenue and www.doingbiz.org/Tax-Information