Taxes, Privilege

Plain English Breakdown

The bill summary and text do not provide specific details about revenue loss or impacts on other professions, so these points remain speculative.

Tax Changes for Tennessee Attorneys

This bill changes how some lawyers in Tennessee pay a special tax called the professional privilege tax.

What This Bill Does

• Changes the law to say that only lawyers who have been practicing for 20 years or less must pay this tax.
• Makes these changes effective after May 31, 2027.

Who It Names or Affects

• Lawyers in Tennessee who have been practicing for more than 20 years will no longer need to pay the professional privilege tax.

Terms To Know

Professional Privilege Tax

A special tax that certain professionals, like lawyers, have to pay in Tennessee.

Limits and Unknowns

• The bill does not specify how much money the state and local governments will lose from this change.
• It is unclear if there are any other professions besides lawyers who might be affected by similar tax changes.

Official Summary Text

Abstract summarizes the bill.

Current Bill Text

SENATE BILL 1963
By Walley

HOUSE BILL 1880
By Hicks T
HB1880
011511
- 1 -

AN ACT to amend Tennessee Code Annotated, Title 67,
Chapter 4, Part 17, relative to taxation.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Section 67-4-1702(3), is amended by adding
the following at the end of the subdivision immediately preceding the period:
who have practiced for twenty (20) years or less
SECTION 2. This act takes effect upon becoming a law, the public welfare requiring it,
and applies to privilege taxes due and payable after May 31, 2027.