Taxes


 

...A business climate conducive to healthy growth.

Tennessee offers corporations and citizens a competitive tax structure that provides a cost-effective place to live and operate their businesses.



Selected Tax Incentives

  • Industrial machinery tax credit of 1% of purchase price.
  • Net operating loss carries forward 15 years.
  • Jobs tax credit of $4,500 per new, full-time employee for eligible businesses that meet requirements of increased employment and additional capital investment.
  • Pollution control equipment is exempt from the franchise tax.
  • No sales tax on industrial machinery (machinery that is necessary and primarily for the fabrication of a product).
  • No sales tax on repairs to industrial machinery.
  • No sales tax on pollution control equipment.
  • No state property tax.
  • No property tax on goods-in-process.
  • No property tax on finished goods inventories.
  • No property tax on goods-in-transit (Freeport).
  • No state personal income tax on wages or salaries, however, certain dividend and interest income received by a Tennessee resident is taxable.
  • Tennessee is one of only eight states with a AAA bond rating.
  • Tennessee is a right-to-work state.
  • Tennessee's constitution requires a balanced state budget.

Summary of Greeneville/Greene County Taxes
Property tax per $100 assessed value:
City $1.8590
County $1.51(outside city limits)---$1.3137 (inside city limits)

Property is assessed by the following methods:
Residential 25%
Commercial/Industrial 40%
Personal Property Tax 30%

Sales Tax:
State 7.0%
Local 2.75%

Hotel/Motel Tax:
County 7.0%

Wheel Tax:
All county residents pay a $20.00 wheel tax for each registered vehicle.

According to the U.S. Department of Commerce, the tax burden in Tennessee for both businesses and individuals is among the lowest in the nation and lowest of all southern states.

Tax

State

Local

Corporate/Excise

6%

None

Franchise

.25 per $100

None

Sales and Use

7%

1 - 2.75%

Services

6.75%

.75 - 2.0%

General Property (city)

None

$1.8590/$100 assessed value

General Property (county)

None

$1.5069/$100 assessed value

Initial Corporate Org. Fee

$100-$600

None

Utility Gross Receipts

3%

None

Personal Income

6% of interest dividends

None

Unemployment Insurance

2.7% new employers

None


State

State Taxes as a % of Personal Income

State Taxes per $1,000 of Personal Income

State Taxes per Capita

W. Virginia

9.0

$94.55

$1,983.08

Kentucky

8.7

$91.11

$2,021.56

Mississippi

7.1

$74.55

$1,717.25

S. Carolina

7.2

$74.20

$1,531.98

N. Carolina

6.9

$72.42

$1,885.17

Arkansas

6.9

$70.86

$1,887.58

Louisiana

6.7

$70.37

$1,656.48

Alabama

6.2

$64.87

$1,425.54

Georgia

6.2

$64.52

$1,544.23

Florida

5.5

$56.94

$1,580.90

Virginia

5.4

$56.07

$1,755.91

TENNESSEE

5.3

$55.59

$1508.32

United States

6.5

$66.81

$1,883.56

SOURCE: Tax Collections-U.S. Department of Commerce, Bureau of the Census, State Government, Tax Collections in 2003. Personal Income-U.S. Department of Commerce, Bureau of Economic Analysis, Survey of Current Business, Dec. 2003. Population-U.S. Department of Commerce, Bureau of the Census.

______________________________________________________________________________________
Greene County Partnership • 115 Academy Street • Greeneville, Tennessee 37743
423-638-4111 • FAX 423-638-5345 • 
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