Exempts school supplies and art supplies from sales tax for teachers in Tennessee.

Tennessee HB1540 amends the state's sales and use tax code to exempt school supplies and art supplies priced at $100 or less from sales tax for teachers employed by local education agencies or public charter schools. The exemption does not apply to clothing, computers, software, video game consoles, personal use items, or business use items. Teachers must apply for and obtain an exemption certificate from the Department of Revenue to claim the exemption. The act takes effect July 1, 2026.

Exempts school supplies and art supplies from sales tax for teachers in Tennessee.

Tennessee HB1540 amends the state's sales and use tax code to exempt school supplies and art supplies priced at $100 or less from sales tax for teachers employed by local education agencies or public charter schools. The exemption does not apply to clothing, computers, software, video game consoles, personal use items, or business use items. Teachers must apply for and obtain an exemption certificate from the Department of Revenue to claim the exemption. The act takes effect July 1, 2026.