Report: Tennessee’s Sales Tax Rate Second-Highest in the U.S.
Tennessee has the second-highest sales tax rate in the country, according to a new report from the Tax Foundation.
Tennessee has an average of 9.548% as a local and state tax rate, falling just below Louisiana’s 9.550% for the top spot. Forty-five states and the District of Columbia have sales taxes.
So if I lived in TN anywhere near a state line, I know where I'd do my shopping. NOT in TN! Certainly the rates are lower in Missouri or Alabama or Kentucky.
I live 2 miles from the Kentucky State line and I still do my shopping in Tennessee. The nearest stores in Kentucky are far enough away that the gas to get there would cost me more than than the sales tax in Tennessee would.
This is mis-information! Lou-sanna (fuck I can't spell it) the base state sales tax is 4.45%, while Tennessee base sales tax is 7%, but Kalifornia is the highest with 7.25%! Another reason to leave that God forsaken state... irontomflint
Reason we moved here 20 years ago. EVERYBODY pays for the state services EQUALLY. The freeloaders can't avoid the sales tax, mostly (OK, tax-exempt organizations do, but individuals basically can't.) Neither can the tourists. Same number for all. And that tax rate is really, really visible, and the pain happens every time you buy something. That visibility and pain make it really hard to raise. Note, too, that the number cited is a total of state sales tax (7%, less than Florida) plus county/city taxes- which vary but are around 2-2.5%. With a sales tax, you pay tax on what you spend, not what you earn, not what you save, not what you spend elsewhere. Tn is overall a low-cost state to live in- between the highly visible sales tax and no other taxes plus a lower cost of living, Tn is in the bottom 10 if the accounting is honest. We dropped our overall tax bill (from a pretty responsible/"low tax" upper midwestern state) by over $16,000 the first year we lived here....
Compared to where I've lived before, my property taxes (including vehicle tags) here in TN are significantly lower. But I think the bottom line is that the state will get the money it needs *somewhere.* States with low or no income tax tend to have higher sales tax. States with lower sales tax tend to have higher income or property tax. At least with a sales tax, you have a little discretion with your spending.
I lived in New Jersey for four very long years in the early 2000s. The income tax was around 6%, the sales tax was about 6% and the property tax on my little 1200 sq ft house was about $6k per year. Plus, there were excessive taxes and fees on all utilities, car tags, etc. I worked out the numbers once and between the feds and the state of New Jersey, I was paying over 50% of my income on some sort of tax.
I'm currently looking for land in TN to retire in a couple of years. TN is the top of the list: climate, no income taxes, lower cost of living. Looking for 2-3 acres of woods for I can shoot off of my back porch and dig holes as needed.
Got you all beat in Schaumburg, IL. This place has Woodfield Shopping Mall, so it is a destination of sorts. If you sit down to eat a meal... 6.25% Illinois Sales Tax 1.75% Cook County Sales Tax 1.00% RTA Special Tax (Public Transportation) 1.00% Village (Schaumbrug) Sales Tax 2.00% Village (Schaumburg) Restaurant Food and Beverage Tax 12.00% Total sales tax
Last I looked, TN was #8 on the list of US states for low cost of living. I just hope the damn proggies don't start moving there in huge numbers too, and ruin it. Seems I saw something about that not too long ago. As I've heard from a friend, it's best to stay in the Eastern part of the state.
I could do with a lot less winter. But how I'd do with humidity in the summer is a good question. -- Mr. Mayo
I have been paying for car repairs and maintenance with cash lately, kind of like Rush used to pay for medical care. I save, the mechanic saves. I’m pushing 70 and can’t do what I used to. FJB FGN
I live in God's country: rural Tennessee. Sales tax here is only 1% more than what I paid in Texas. No income tax, same as in Texas. Property tax literally 1/10 what it was in Texas. All in all, I believe that I am much better off financially in TN and the overall quality of life is so much better. And the climate, so much better than Texas. I grew up in VA, don't get me started about that damned place.
Tennessee has no state income tax on earned income, so it's kinda a wash at least for the working and middle class.
ReplyDeleteAnd then there's the fact that gasoline is $1.40 a gallon less and electricity rates are one third of what they are in California. So there's that.
DeleteWe're #1!!! Louisiana!
ReplyDeleteLouisiana gasoline, +/- $2.75 a gallon, per GasBuddy.
DeleteYet here I am in Florida with no income tax and sales tax capped out at 7.5%.
ReplyDeleteSo if I lived in TN anywhere near a state line, I know where I'd do my shopping. NOT in TN! Certainly the rates are lower in Missouri or Alabama or Kentucky.
ReplyDeleteIf I lived in Tennessee, I wouldn't drive 3 states away (MO) to do my shopping.
DeleteI live 2 miles from the Kentucky State line and I still do my shopping in Tennessee. The nearest stores in Kentucky are far enough away that the gas to get there would cost me more than than the sales tax in Tennessee would.
DeleteNew Zealand has a 15% 'Goods and Services Tax' (GST) which is on everything.
ReplyDeleteMichael in Nelson
And 30% income tax
Delete30% company tax.
Pickup truck tax around 7k for new buy.
This is mis-information! Lou-sanna (fuck I can't spell it) the base state sales tax is 4.45%, while Tennessee base sales tax is 7%, but Kalifornia is the highest with 7.25%! Another reason to leave that God forsaken state...
ReplyDeleteirontomflint
C'mon, Man!
DeleteLouisiana- Louis (as in Joe Louis) i (as in e) ana (as in that cute girl you knew in homeroom).
What could be e-z-er?
Why does government have to tax everything?
ReplyDeleteBrainwashing.
Reason we moved here 20 years ago. EVERYBODY pays for the state services EQUALLY. The freeloaders can't avoid the sales tax, mostly (OK, tax-exempt organizations do, but individuals basically can't.) Neither can the tourists. Same number for all. And that tax rate is really, really visible, and the pain happens every time you buy something. That visibility and pain make it really hard to raise. Note, too, that the number cited is a total of state sales tax (7%, less than Florida) plus county/city taxes- which vary but are around 2-2.5%. With a sales tax, you pay tax on what you spend, not what you earn, not what you save, not what you spend elsewhere. Tn is overall a low-cost state to live in- between the highly visible sales tax and no other taxes plus a lower cost of living, Tn is in the bottom 10 if the accounting is honest. We dropped our overall tax bill (from a pretty responsible/"low tax" upper midwestern state) by over $16,000 the first year we lived here....
ReplyDeleteCompared to where I've lived before, my property taxes (including vehicle tags) here in TN are significantly lower. But I think the bottom line is that the state will get the money it needs *somewhere.* States with low or no income tax tend to have higher sales tax. States with lower sales tax tend to have higher income or property tax. At least with a sales tax, you have a little discretion with your spending.
DeleteI lived in New Jersey for four very long years in the early 2000s. The income tax was around 6%, the sales tax was about 6% and the property tax on my little 1200 sq ft house was about $6k per year. Plus, there were excessive taxes and fees on all utilities, car tags, etc. I worked out the numbers once and between the feds and the state of New Jersey, I was paying over 50% of my income on some sort of tax.
DeleteI'm currently looking for land in TN to retire in a couple of years. TN is the top of the list: climate, no income taxes, lower cost of living.
ReplyDeleteLooking for 2-3 acres of woods for I can shoot off of my back porch and dig holes as needed.
Got you all beat in Schaumburg, IL.
ReplyDeleteThis place has Woodfield Shopping Mall, so it is a destination of sorts.
If you sit down to eat a meal...
6.25% Illinois Sales Tax
1.75% Cook County Sales Tax
1.00% RTA Special Tax (Public Transportation)
1.00% Village (Schaumbrug) Sales Tax
2.00% Village (Schaumburg) Restaurant Food and Beverage Tax
12.00% Total sales tax
Geek
Last I looked, TN was #8 on the list of US states for low cost of living. I just hope the damn proggies don't start moving there in huge numbers too, and ruin it. Seems I saw something about that not too long ago. As I've heard from a friend, it's best to stay in the Eastern part of the state.
ReplyDeleteI could do with a lot less winter. But how I'd do with humidity in the summer is a good question.
-- Mr. Mayo
ReplyDeleteI have been paying for car repairs and maintenance with cash lately, kind of like Rush used to pay for medical care. I save, the mechanic saves. I’m pushing 70 and can’t do what I used to.
FJB
FGN
I live in God's country: rural Tennessee. Sales tax here is only 1% more than what I paid in Texas. No income tax, same as in Texas. Property tax literally 1/10 what it was in Texas. All in all, I believe that I am much better off financially in TN and the overall quality of life is so much better. And the climate, so much better than Texas. I grew up in VA, don't get me started about that damned place.
ReplyDeleteEvery sale here in the UK is taxed at 20%. See here https://www.gov.uk/vat-rates
ReplyDelete