Bill > SB1081

This bill requires the Tennessee Commissioner of Revenue to create a new sales tax remittance schedule that helps dealers offset the costs of processing sales tax payments, particularly transaction fees associated with credit and debit card payments. The proposed schedule would allow dealers to hold onto accumulated sales tax for a specific period before remitting the funds to the state, giving them time to recoup transaction costs. The holding time would be calculated based on several factors, including the state's total sales tax remittance in the previous year, the percentage of credit and debit card transactions, the fees Tennessee residents pay for such transactions, and the federal funds rate. The Commissioner must review and monitor this holding time every six months to ensure its appropriateness. Importantly, the bill does not require changes to the current sales tax collection processes, only the extension of the remittance timeframe. The legislation would take effect immediately upon becoming law, with the stated purpose of benefiting the public welfare by reducing the financial burden on businesses collecting sales tax.

Budget and Finance

https://wapp.capitol.tn.gov/apps/Billinfo/default.aspx?BillNumber=SB1081&ga=114