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SB0397 • 2026

Taxes

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

Taxes
Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Briggs, Gant
Last action
2026-04-14
Official status
Placed on Senate Finance, Ways, and Means Committee calendar for 4/21/2026
Effective date
Not listed

Plain English Breakdown

The bill summary does not provide specific details on the compensation plan for lost revenue by local governments or state.

Repealing Professional Privilege Tax in Tennessee

This act removes the professional privilege tax for tax years beginning on or after June 1, 2026.

What This Bill Does

  • Removes the professional privilege tax for tax years beginning on and after June 1, 2026.
  • Sets the tax amount to $400 for tax years ending before May 31, 2026.
  • Allows individuals licensed or registered in multiple professions to pay only one tax of $400 if applicable.

Who It Names or Affects

  • People who have professional licenses or registrations in Tennessee.
  • Local and state governments receiving revenue from the professional privilege tax.

Terms To Know

Professional Privilege Tax
A tax that professionals must pay for their licenses or registrations.
Tax Year
The period used to calculate and file taxes, in this case from June 1 to May 31.

Limits and Unknowns

  • Does not specify the exact impact on local government revenue.
  • Does not provide details about how the loss of tax revenue will be compensated for by the state.

Bill History

  1. 2026-04-14 Tennessee General Assembly

    Placed on Senate Finance, Ways, and Means Committee calendar for 4/21/2026

  2. 2026-04-09 Tennessee General Assembly

    Sponsor(s) Added.

  3. 2026-04-08 Tennessee General Assembly

    Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/14/2026

  4. 2026-03-19 Tennessee General Assembly

    Sponsor(s) Added.

  5. 2026-03-18 Tennessee General Assembly

    Placed behind the budget

  6. 2026-03-17 Tennessee General Assembly

    Refer to Senate F,W&M Committee w/ negative recommendation, as amended

  7. 2026-03-11 Tennessee General Assembly

    Placed on s/c cal Finance, Ways, and Means Subcommittee for 3/18/2026

  8. 2026-03-10 Tennessee General Assembly

    Placed on Senate FW&M Revenue Subcommittee calendar for 3/17/2026

  9. 2026-02-27 Tennessee General Assembly

    Sponsor change.

  10. 2025-03-18 Tennessee General Assembly

    Assigned to General Subcommittee of Senate FW&M Revenue Subcommittee

  11. 2025-03-12 Tennessee General Assembly

    Taken off notice for cal in s/c Finance, Ways, and Means Subcommittee of Finance, Ways, and Means Committee

  12. 2025-03-11 Tennessee General Assembly

    Placed on Senate FW&M Revenue Subcommittee calendar for 3/18/2025

  13. 2025-03-05 Tennessee General Assembly

    Placed on s/c cal Finance, Ways, and Means Subcommittee for 3/12/2025

  14. 2025-03-05 Tennessee General Assembly

    Sponsor(s) Added.

  15. 2025-02-18 Tennessee General Assembly

    Refer to Senate F,W&M Revenue Subcommittee

  16. 2025-02-12 Tennessee General Assembly

    Passed on Second Consideration, refer to Senate Finance, Ways, and Means Committee

  17. 2025-02-10 Tennessee General Assembly

    Introduced, Passed on First Consideration

  18. 2025-02-03 Tennessee General Assembly

    Assigned to s/c Finance, Ways, and Means Subcommittee

  19. 2025-02-03 Tennessee General Assembly

    P2C, ref. to Finance, Ways, and Means Committee

  20. 2025-01-28 Tennessee General Assembly

    Filed for introduction

  21. 2025-01-27 Tennessee General Assembly

    Intro., P1C.

  22. 2025-01-16 Tennessee General Assembly

    Filed for introduction

Official Summary Text

Abstract summarizes the bill.

Current Bill Text

Read the full stored bill text 
HOUSE BILL 189
By Gant

SENATE BILL 397
By Briggs
SB0397
001769
- 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 67-4-1703, is amended by deleting
subsections (a) and (b) and substituting instead the following:
(a)
(1) For purposes of this part, the tax year begins on June 1 of each year
and ends on May 31 of the following year. The privilege tax established by this
part is due and payable on June 1 of each tax year. Taxes paid after June 1 are
delinquent.
(2) The privilege tax imposed by this part is:
For a tax year ending on or before May 31, 2026 $400
For a tax year ending after May 31, 2026 $0
(b) A person who is licensed or registered for two (2) or more professions taxed
pursuant to this part is not required to pay more than one (1) tax in an amount set by
subsection (a).
SECTION 2. Tennessee Code Annotated, Section 67-4-1703, is amended by adding
the following new subsection:
(e) The tax shall not be levied upon the privilege of engaging in a vocation,
profession, business, or occupation listed in § 67-4-1702 on or after June 1, 2026. This
subsection (e) does not absolve a taxpayer of liability for a tax duly levied by this part
during a tax year ending before June 1, 2026.

- 2 - 001769

SECTION 3. This act takes effect upon becoming a law, the public welfare requiring it,
and applies to privilege taxes due and payable after May 31, 2026.