When Is Tennessee Sales Tax Due? Filing Deadlines
Ensure timely compliance with Tennessee sales tax. This guide clarifies key requirements for businesses.
Ensure timely compliance with Tennessee sales tax. This guide clarifies key requirements for businesses.
Sales tax in Tennessee is an obligation for businesses that sell taxable goods and services. Businesses collect this tax from customers and then remit it to the Tennessee Department of Revenue. Understanding the sales tax process, including when payments are due, is important for financial compliance.
Businesses determine their sales tax filing frequency based on their sales volume or tax liability. When a business registers for a sales tax account, the Tennessee Department of Revenue assigns a filing frequency. This assignment can be monthly, quarterly, or annually, reflecting expected sales tax collections.
Businesses with higher sales tax collections are required to file more frequently. For example, those collecting significant sales tax often file monthly. Smaller businesses or those with lower taxable sales may file quarterly or annually. Businesses must confirm their assigned filing frequency directly with the Department of Revenue, as this dictates their tax return and payment due dates.
Tennessee sales tax returns and payments are due on the 20th day of the month following the close of the reporting period. This applies to all filing frequencies: monthly, quarterly, or annually. If the 20th day falls on a weekend or state holiday, the due date shifts to the next business day.
For monthly filers, sales tax for a given month is due by the 20th day of the subsequent month. For example, sales tax collected in January would be due by February 20th. Quarterly filers have specific due dates: January 20th for the fourth quarter (October-December), April 20th for the first quarter (January-March), July 20th for the second quarter (April-June), and October 20th for the third quarter (July-September). Annual filers must submit their sales tax return and payment by January 20th of the following year.
The Tennessee Department of Revenue requires electronic submission of all sales and use tax returns and payments. The primary platform for this process is the Tennessee Taxpayer Access Point (TNTAP). This online system allows businesses to file their returns and make payments securely.
To use TNTAP, businesses must register for an account when applying for their sales tax permit. Once registered, filers can log in to access their sales tax accounts and begin filing. The system guides users through entering sales data and other required information for their return. After preparing the return, payment can be submitted directly through TNTAP, often via ACH debit from a bank account. Some third-party software vendors are also approved for electronic filing, offering an alternative for businesses that prefer to integrate tax compliance with existing accounting systems.