Tennessee Sales Tax Nexus Thresholds — 2026

Last updated: April 2026

Researched by the NexusFlag Research Team

Economic nexus active — effective 2020

Tennessee requires remote sellers to collect and remit sales tax once they exceed $100,000 in annual gross revenue from Tennessee customers within a calendar year.

Source: Tennessee Department of Revenue

Tennessee Nexus Threshold Details

Revenue threshold
$100,000

Annual gross sales to in-state customers

Transaction threshold
No transaction threshold

Number of separate taxable transactions

Threshold logic
OR

Nexus triggers when EITHER threshold is crossed first

Measurement basis
Gross sales

How sales into the state are counted

Marketplace sales included
No

Whether Amazon/marketplace sales count toward threshold

Effective since
2020

Year the economic nexus law took effect

Registration deadline
60 days after crossing threshold

How quickly you must register after nexus is triggered

Default filing frequency
Monthly

How often returns are typically due at low volume

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Frequently asked questions about Tennessee sales tax nexus

When does economic nexus trigger in Tennessee?

Tennessee economic nexus triggers when a remote seller exceeds $100,000 in revenue from Tennessee customers within a calendar year. Once triggered, the seller must register with the Tennessee Department of Revenue and begin collecting and remitting sales tax.

How long do I have to register after crossing nexus in Tennessee?

Tennessee requires sellers to register within 60 days of crossing the economic nexus threshold. Failing to register on time may result in back taxes, interest, and penalties assessed by the Tennessee Department of Revenue.

Do marketplace sales count toward Tennessee's nexus threshold?

Tennessee generally excludes marketplace-facilitated sales from the economic nexus threshold calculation, because the marketplace is responsible for collecting and remitting tax on those sales. Only direct sales from your own channels count toward the Tennessee threshold.

How often do I need to file sales tax returns in Tennessee?

Tennessee assigns filing frequency based on your sales volume. New remote sellers typically start on monthly filing. Tennessee may adjust your frequency over time as your Tennessee sales volume becomes clearer. Check with the Tennessee Department of Revenue for your assigned frequency after you register.

Disclaimer: NexusFlag provides informational data about published state nexus thresholds — not tax advice. State laws change frequently. Always verify current Tennessee threshold requirements with the Tennessee Department of Revenue or a qualified sales tax professional before making compliance decisions.