Tennessee Business Tax Deadlines (2026)
Next: May 15 — Form 990 due for nonprofits; TN Franchise & Excise Tax return due April 15 (if not already filed)
Next Deadline: May 15 — Form 990 due for nonprofits; TN Franchise & Excise Tax return due April 15 (if not already filed)
Federal Tax Deadlines (2026)
| Form | Who Files | Due Date | Extension Deadline |
|---|---|---|---|
| Form 1040 (Schedule C) | Sole proprietors | April 15 | October 15 |
| Form 1065 | Partnerships, Multi-member LLCs | March 15 | September 15 |
| Form 1120-S | S-Corporations | March 15 | September 15 |
| Form 1120 | C-Corporations | April 15 | October 15 |
| Form 990 | Nonprofits | May 15 | November 15 |
| Estimated Taxes (Q1-Q4) | All | Apr 15, Jun 15, Sep 15, Jan 15 2027 | — |
Tennessee State Tax Deadlines (2026)
| Tax Type | Who Files | Due Date | Extension Deadline |
|---|---|---|---|
| Individual Income Tax | None — Tennessee has no personal income tax | N/A | N/A |
| Franchise & Excise Tax (FAE170) | Corporations, LLCs, LPs, LLPs doing business in TN | April 15 (calendar year) | October 15 |
| F&E Estimated Tax (Q1-Q4) | Entities owing $5,000+ | Apr 15, Jun 15, Sep 15, Jan 15 2027 | — |
| Sales & Use Tax | Businesses with taxable sales | Monthly (20th) or quarterly | — |
| Business Tax | Most businesses by gross receipts | April 15 (annually) or quarterly for large filers | — |
| Payroll — Employer Withholding | None — no state income tax to withhold | N/A | N/A |
| Payroll — Unemployment Insurance | Employers | Quarterly (last day of month following quarter) | — |
| Annual Report | Corporations and LLCs | April 1 | — |
Quarterly Estimated Tax Deadlines in Tennessee
Tennessee has no personal income tax, so there are no individual estimated tax payments at the state level. However, the Franchise & Excise Tax requires quarterly estimated payments:
| Quarter | F&E Estimated Due Date |
|---|---|
| Q1 | April 15 |
| Q2 | June 15 |
| Q3 | September 15 |
| Q4 | January 15, 2027 |
Estimated payments are required if the entity expects to owe $5,000 or more in combined franchise and excise tax for the year.
Tennessee-Specific Tax Requirements
Tennessee is one of the few states with no personal income tax. The Hall Tax on interest and dividend income was fully repealed effective January 1, 2021. This means sole proprietors and pass-through entity owners pay no state income tax on their business earnings — only federal income tax applies to individual business income. This makes Tennessee highly attractive for entrepreneurs and high-income earners.
However, Tennessee imposes a significant Franchise & Excise Tax on most business entities (corporations, LLCs, LLPs, limited partnerships). The excise tax is 6.5% of net earnings apportioned to Tennessee. The franchise tax is 0.25% of the greater of net worth or real and tangible personal property in Tennessee, with a minimum of $100. Sole proprietorships and general partnerships are exempt from the F&E tax, but LLCs (even single-member) are subject to it. Recent legislation has modified the franchise tax base — Tennessee now allows taxpayers to use the lesser of net worth or property, providing some relief.
Tennessee's Sales and Use Tax has a state rate of 7% — one of the highest in the nation — with local additions of 1.5%–2.75%, bringing combined rates to 8.5%–9.75%. Food is taxed at a reduced state rate of 4%. The state also imposes a Business Tax (a gross receipts-based tax) on most businesses, classified by business activity, with rates ranging from 0.1% to 0.3% depending on classification. Monthly sales tax returns are due by the 20th. Employers have no withholding obligation since there's no income tax, but must pay state unemployment insurance.
What Happens If You Miss a Tennessee Tax Deadline?
For the Franchise & Excise Tax, late filing incurs a penalty of 5% per month of the unpaid tax, up to a maximum of 25%. A late payment penalty of 5% per month also applies, up to 25%. These penalties can stack.
Interest on unpaid taxes accrues at a rate set by the Department of Revenue — approximately 7.25%–9% per year (the formula is the prime rate plus an adjustment, recalculated periodically).
For sales tax, late filing carries a penalty of 5% per month (up to 25%) plus interest. The Business Tax follows the same penalty structure. Tennessee allows a 6-month extension for the Franchise & Excise Tax return by filing Form FAE173, but you must pay 100% of the estimated tax due by the original deadline to avoid penalties. The Annual Report deadline (April 1) is firm — late filings may result in administrative dissolution.
Tennessee Department of Revenue
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