Does TechBrot serve Tennessee businesses?
Yes. TechBrot delivers bookkeeping, Certified QuickBooks ProAdvisor services, payroll, and sales-tax tracking to Tennessee businesses statewide — remote-first from our Delaware headquarters. All 95 counties covered across the three Grand Divisions, from Nashville’s healthcare-management and music economy to Memphis’s logistics hub, Knoxville, Chattanooga, Clarksville, Murfreesboro, Franklin, and the Tri-Cities. Independent firm — not affiliated with Intuit Inc.
Does Tennessee have a state income tax?
No. Tennessee has no individual income tax. The old Hall income tax, which applied only to certain interest and dividend income and never to wages, was fully repealed for tax years beginning January 1, 2021. Because there’s no individual income tax, Tennessee employers do not withhold state income tax from payroll — payroll is federal income tax, FICA, and state unemployment only. The taxes that matter are at the business level: the Franchise & Excise tax, the business (gross-receipts) tax, and the sales tax.
What is the Tennessee Franchise & Excise (F&E) tax?
It’s Tennessee’s two-part business tax, filed together on the FAE 170 by corporations, LPs, LLCs, and business trusts doing business in the state. The excise tax is 6.5% of Tennessee net earnings, and the franchise tax is 0.25% of Tennessee net worth ($0.25 per $100, with a $100 minimum). For tax years ending on or after January 1, 2024, the old property measure (the “minimum measure,” Schedule G) was repealed, so the franchise tax is now computed on net worth only. We keep the books F&E-ready — clean net-worth and net-earnings figures — and your CPA files the return.
What is the Tennessee business tax, and do I have to register?
The business tax is a gross-receipts tax — separate from F&E — structured as a state business tax plus a city business tax. If your business grosses $100,000 or more in a county and/or incorporated municipality, you must register for and remit it. Rates are low and vary by business classification. We track your gross receipts by jurisdiction in QuickBooks so the obligation is visible and the return reconciles to the books; you or your CPA file it.
How high is Tennessee’s sales tax?
Among the highest in the country. The state general sales-tax rate is 7%, and counties and cities add a local option of up to 2.75% (in multiples of 0.25%). Every Tennessee locality has a local rate, so the combined rate commonly lands near 9.25–9.75% depending on location. Groceries are taxed at a reduced state rate. We configure QuickBooks for the correct combined rate by location and sub-reconcile the sales-tax liability monthly so it ties out; confirm specific local rates against the Tennessee Department of Revenue.
Does Tennessee have a local or city income tax?
No. Tennessee has no individual income tax at the state level and no local or city income tax either — so payroll income-tax withholding is simply not part of Tennessee payroll. That’s simpler than Ohio’s municipal tax or Michigan’s city tax. The local layer in Tennessee is on the sales-tax side (the local-option rate) and the business-tax side (the city business tax), not income. We handle both the no-withholding payroll setup and the local sales-tax and business-tax tracking.
Does TechBrot file Tennessee tax returns?
No. TechBrot is an independent Certified QuickBooks ProAdvisor firm — we do not file Tennessee or federal returns, the Franchise & Excise (FAE 170) return, the business (gross-receipts) tax return, or the sales-tax return, and we do not represent clients before the Tennessee Department of Revenue. We deliver clean, CPA-ready bookkeeping, configure the sales-tax tracking and keep the books F&E-ready, and coordinate with your Tennessee CPA or EA and the Department of Revenue, who file.
How does a Tennessee engagement start, and how fast can we begin?
Book a free 30-minute discovery call. We review your Tennessee operational context — whether you cross the $100,000 business-tax threshold, where your combined sales-tax rates land by location, how your F&E figures should be kept clean, and where your multi-state footprint runs — recommend the right engagement, and deliver a written fixed-fee scope within 3 business days. Prefer to talk it through first? Call a Certified ProAdvisor at (877) 751-5575 — not a call center — for a same-day diagnostic.
How much does Tennessee bookkeeping or QuickBooks work cost?
Fixed fees against a written scope — no hourly billing. Starting ranges: monthly bookkeeping from $400/mo; cleanup and catch-up from $1,200; QuickBooks setup from $750; QuickBooks cleanup from $1,200; sales-tax help from $250/mo; payroll setup from $300; fractional CFO from $1,500/mo. Final pricing depends on volume, employee count, the number of sales-tax jurisdictions you report, whether you cross the $100,000 business-tax threshold, and how far behind the books are. To scope it now, call (877) 751-5575 and a Certified ProAdvisor will walk through it with you.