Tennessee State Income Tax
As of 2020 the state had a 1 tax on income earned from interest and dividends though it has fully repealed it beginning on Jan. No cities in Tennessee levy local income taxes. Tennessee Income Tax Calculator Smartasset The Hall Income Tax instituted a six percent tax on interest and dividend income for individuals living in Tennessee. Tennessee state income tax . The Tennessee income tax has one tax bracket with a maximum marginal income tax of 100 as of 2021. 2 of taxable income for tax years beginning January 1 2019. Tennessee is one of nine states that does not collect a general income tax. Tennessee is one of nine states that does not collect a general income tax. The state does levy the Hall Income Tax though named after the Tennessee state senator who sponsored the legislation in 1929. The sales tax rate on food is 4. Tennessees Hall Tax was a 6 tax on dividends and interest income until state legislators passed a bill in 2016 that began a six year phaseout