Rossville voters chose Aug. 9 to increase the local sales tax rate from 2.25% to 2.75%. The increase will go into effect Oct. 1.
The new rate will apply to all taxable sales of tangible personal property made on or after Oct. 1. It will also apply to the sale of taxable services for billing periods starting on or after Oct. 1.
Sellers located in Rossville must collect and remit the tax at this new rate.
The corresponding local consumer use tax rate for people in Rossville also increases to 2.75%.
The local option tax rate in Rossville is applicable to the first $1,600 of the sales price of any single article of tangible personal property sold unless that item is specifically exempted from local tax or taxed at another rate by law.
The local tax cap on sales of single articles of tangible personal property will be $44. The local rate is also applicable to the total sales price of any taxable service.
In addition, there is a state single article tax rate of 2.75% applicable to the sales price from $1,600.01 up to and including $3,200 of any item of tangible personal property.
Learn more at www.tn.gov/revenue. Select “Revenue Help” to search for answers or to submit an information request to an agent.
Source: Tennessee Department of Revenue