Bill > SB2166

This bill classifies money transmissions originating in Tennessee and sent to locations outside of the United States or its territories as service transactions subject to sales and use tax, meaning these transactions will now be taxed like other services. The bill also establishes a new fund called the "international money transmission tax fund" where the revenues generated from this new tax will be deposited and can be invested. After a refund application period, these revenues will be allocated, with 25% going to the state general fund, 25% to counties and metropolitan governments for capital improvement projects and infrastructure, 25% to a newly created K-12 education teacher compensation fund for salary increases or bonuses for teachers, and the remaining 25% to the Tennessee peace officer standards and training commission to provide pay supplements for law enforcement officers who complete in-service training. The bill takes effect for rule-making purposes upon becoming law and for all other purposes on January 1, 2027.

Business and Industry

https://wapp.capitol.tn.gov/apps/Billinfo/Default?BillNumber=SB2166&ga=114