TN SB1702

Cities, towns, and metropolitan governments may levy a reduced local sales tax rate on food and food ingredients, or exempt groceries entirely from their local sales tax

Metropolitan governments retain the ability to continue collecting surcharges on food sales under § 67-4-3202 even if they exempt groceries from the city tax rate

Local governments must submit a certified copy of the adopted ordinance or resolution to the Department of Revenue, with changes taking effect 60 days after receipt

Incorporated cities and towns may implement reduced rates or exemptions for tax periods beginning on or after October 1, 2024

Metropolitan governments may implement reduced rates or exemptions for tax periods beginning on or after October 1, 2026