Tennessee Business Overview

Your Tennessee Company Formed By:

05:29:44 PM
Corporation
Friday
March 31st
LLC
Friday
March 31st

Starting a Business in Tennessee

The Basics

When forming your corporation through incorporate fast, you can rely on the courteous service provided by our customer service representatives.  We are here to help you every step of the way.  We have made the ordering process as simple as possible so that you can worry about other things.  We will do everything from generating documents, sending them to you for your signature and then file those documents with the Secretary of States offices.  Call us today and find out how we can help.

IncorporateFast.com will do your filing for you as quickly and as accurately as possible.  Typically, Tennessee filing time is two weeks, plus mailing time. For an additional fee, we can expedite your filing and have your documents approved by the secretary of state in 6 business days, plus mailing time.  These approval times are generally accurate, but not guaranteed by the TN Secretary of State.

Doing Business in Tennessee

Business Maintenance

All Tennessee Corporations and LLCs Must File: 

  • Articles of Incorporation
    Tennessee corporations and LLCs are formed by filing a Corporation Charter or Articles of Organization with the Tennessee Secretary of State. It costs at least $50 per member to form a Tennessee LLC, with a minimum fee of $300. The filing fee for a Tennessee corporation $100.
  • Annual Report
    Tennessee corporations and LLC’s must file annual reports with the Secretary of State. The report is due by the end of the fourth month following the company’s fiscal year end. For most businesses, this means the report is due by April 15 each year. Tennessee corporations must pay a $20 fee. Tennessee LLCs must pay a $300 minimum fee. The Tennessee annual report may be filed online.

Tennessee Business Taxes

Individual Income Tax
Tennessee does not have individual income tax, but does impose a 6% tax on interest from bonds and notes and dividends from stock.

Franchise and Excise Tax
There is no corporate income tax in Tennessee, but all corporations and LLCs are subject to the state franchise and excise taxes. The excise tax is based on your income. It is a 6.5% tax on the net earnings from your business in Tennessee. The franchise tax is based on your property value or net worth. It is calculated at 25 cents per $100 of the taxpayer’s net worth. There is a minimum franchise tax payment of $100 per year.

Business Tax
Most business need to register for the state business tax. Depending on where you do business, you may also need to register for the city business tax. Tax rates vary but the minimum payment is $22. 

Tennessee Business License

Tennessee does not have a state business license requirement. However, if your Tennessee business has taxable sales over $10,000, you must obtain a standard business license from the county clerk. If your city also imposes the business tax, you have to get a city license as well. Each license costs $15.