Tennessee SB1702 amends tax rates for cities and metropolitan governments, affecting food sales tax.

Tennessee SB1702 modifies the tax rates for cities and metropolitan governments, specifically addressing the city tax rate for food sales. It allows cities and towns to set a lower tax rate for food and food ingredients if their county has not adopted the maximum rate of 2.75%. For metropolitan governments, the tax rate is based on revenue. The changes apply to tax periods starting from October 1, 2024, for cities and towns, and October 1, 2026, for metropolitan governments.

Tennessee SB1702 amends tax rates for cities and metropolitan governments, affecting food sales tax.

Tennessee SB1702 modifies the tax rates for cities and metropolitan governments, specifically addressing the city tax rate for food sales. It allows cities and towns to set a lower tax rate for food and food ingredients if their county has not adopted the maximum rate of 2.75%. For metropolitan governments, the tax rate is based on revenue. The changes apply to tax periods starting from October 1, 2024, for cities and towns, and October 1, 2026, for metropolitan governments.