by Jennifer Mitchell
Who needs to file businesses taxes
Types of business tax licenses
Registration and licensing requirements
Business Tax Overview
Generally, if you conduct business within any county and/or city in Tennessee, then you should register for and remit business tax. Business tax consists of two separate taxes: the state business tax (previously called county business tax) and the city business tax.
With a few exceptions, all businesses that sell goods or services must pay the business tax. This includes businesses with a physical location in the state as well as out-of-state businesses performing certain activities in the state.
Some businesses that are exempt from business tax are: medical , religious, charitable and legal services. See the Tennessee Business Tax Guide for a complete list of exempt businesses.
There are two types of business tax licenses.
Minimal Activity License
If your gross income is more than $3,000 but less than $10,000, you are required to obtain a minimal activity license from the county and the city of your location. The minimal activity license is subject to an annual $15 fee and must be renewed each year at the city and county offices.
Standard Business License
If your gross income is $10,000 or more, you must obtain a standard business license from your county and city before conducting business. If your business has multiple locations, you must have standard business licenses for each location. The licenses must be displayed and are nontransferable. Standard business tax licenses are renewed automatically each year after your business taxes are paid to the Tennessee Department of Revenue.
Registration and Licensing
If you are subject to the business tax, you must register to pay the tax. A business tax registration application must be submitted to both the city and county in which your business/job is located. You should register with the City of Spring Hill business tax office first – before you apply for your county license. Please keep in mind that the City of Spring Hill is located in both Williamson County and Maury County. Make sure you obtain a county business license from the appropriate county for the location of your business/job site.
Jennifer Mitchell, Business Tax Clerk City of Spring Hill
For more information visit the City of Spring Hill website.