Tennessee Sales Tax Guide for E-commerce Sellers

Rate structure

Tennessee's state rate is 7%; the combined state + local rate ranges from 7–9.75%. Sourcing: Destination (remote).

COMPONENTRATENOTES

State rate7%TNTAP general statewide rate

Local taxes7–9.75%State 7% + local option 1.5–2.75% by delivery location; single-article caps apply to some items.

ReturnSLS-450SLS-450 (Sales & Use Tax Return) + Schedule E (destination sales by situs)

Economic nexus threshold

You must register and collect once your Tennessee sales reach $100,000, measured over the preceding 12 months. There is no transaction-count threshold. Retail sales; threshold lowered from $500k on 2020-10-01. MKT: Marketplace sales excluded from the remote-seller threshold (eff. 2020-10-01). Sales made through a marketplace facilitator do not count toward the remote seller's threshold — only your direct sales do.

Where you stand: SalesTax50 tests your imported sales against this exact rule and flags Tennessee as Approaching or Exceeded on your Nexus page — check my nexus free →

Filing frequency

TNTAP assigns a filing frequency at registration based on expected tax liability and adjusts it over time. Frequencies used in Tennessee: Monthly · Quarterly · Annual.

Due dates

Returns are due on the 20th of the month following the period. When the due date falls on a weekend or holiday it moves to the next business day.

Late filing: 5% per month up to 25% (min $15), plus interest.

Marketplace facilitator rules

Since October 2020, marketplace facilitators (Amazon, eBay, Walmart, Etsy, TikTok Shop) collect and remit Tennessee tax on your marketplace sales. How Tennessee treats them:

Who collects?Facilitatoron marketplace orders; you collect on direct Shopify store orders (not TikTok / Facebook & Instagram orders routed through Shopify), WooCommerce, or your own site.

Count toward nexus?Noonly your direct sales are tested against the remote-seller threshold.

Do you still file?YesYes — a registered seller still files, even for periods where all sales were through marketplaces (a zero or marketplace-only return).

How reported?DeductionDeduction if registered.

Direct salesYou collectdirect Shopify store orders, WooCommerce, your own site, invoices — you collect and remit on your return.

Marketplace treatment changes state by state and year by year — SalesTax50 separates marketplace and direct sales automatically, but confirm with Tennessee Dept. of Revenue when in doubt.

Filing portal & AutoFile

Tennessee returns are filed through tntap.tn.gov/eservices. Login verification: May require verification. SalesTax50 AutoFile prepares the SLS-450 from your imported sales — you review and approve every return before it is submitted.

FAQ

Do I need a Tennessee permit if I only sell on Amazon?

If you exceed the $100,000 threshold with your direct (non-marketplace) sales or have physical presence (including inventory in Tennessee warehouses), yes — you must register even though Amazon collects for you.

What if I sell on Shopify and TikTok Shop?

TikTok Shop collects as a marketplace facilitator; Shopify does not. You collect on Shopify orders and report both streams on your TNTAP return — SalesTax50 separates them automatically.

What about WooCommerce and Etsy?

Same split: Etsy collects as a marketplace facilitator; WooCommerce is your own store, so you collect on WooCommerce orders. Connect both and SalesTax50 keeps the marketplace and direct streams separate on your TNTAP return.

Does SalesTax50 file Tennessee returns automatically?

Yes — AutoFile prepares your SLS-450 from imported sales; you approve every return before it is submitted, and setting up your existing Tennessee permit is included at no extra charge.

This guide is general information for e-commerce sellers, not tax advice. Rates, thresholds and due dates change — confirm with Tennessee Dept. of Revenue before relying on them.

Let AutoFile handle your Tennessee returns

Prepared and checked for you — you approve before anything is filed.

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