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TN SB1095

TN SB1095
AN ACT to amend Tennessee Code Annotated, Title 67, Chapter 6, Part 3, relative to exemptions from sales and use tax.


summary

Introduced
02/05/2025
In Committee
Crossed Over
Passed
Dead

Introduced Session

114th General Assembly

Bill Summary

As introduced, exempts from sales tax, the first $20 of the sales price on a sale of tangible personal property paid for with physical cash declared legal tender, including gold and silver. - Amends TCA Title 67, Chapter 6, Part 3.

AI Summary

This bill amends Tennessee's sales tax law to create a new exemption where the first $20 of any sale paid for with physical cash will be exempt from sales tax. The bill specifically defines "physical cash" as tangible coins, paper money, and notes declared legal tender by state or federal law, and notably includes physical gold and silver as qualifying as cash. The exemption only applies to the state sales tax and does not impact other taxes that might be imposed, such as those related to alcohol or other specific goods. The new provision will take effect on July 1, 2025, and is intended to provide a small tax break for consumers paying with physical currency. By specifically mentioning gold and silver, the bill appears to recognize these as legitimate forms of payment and give them equal status with traditional paper currency for tax exemption purposes.

Committee Categories

Budget and Finance

Sponsors (1)

Last Action

Placed on Senate Finance, Ways, and Means Committee calendar for 4/21/2025 (on 04/17/2025)

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