Tennessee Tax Calculator 2026 โ No State Income Tax, Total Burden
Tennessee has no state income tax. Calculate your total 2026 tax burden: federal tax, FICA, 7% sales tax estimate, and property tax. Compare TN vs TX, FL, WA, NV.
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= $6,667 / month $
Estimate of annual spending subject to sales tax $
Enter 0 if renting Common salaries:
$0
Total Tax Burden (All Taxes)
$0
Federal Income Tax
$0
Sales Tax Estimate (9.55% avg)
$0
Property Tax Estimate
Tennessee has zero state income tax since 2021 (Hall Tax eliminated). Your federal tax + FICA still applies. Sales tax at 7% state + local is among the highest in the US.
Total Tax Burden Breakdown
Tennessee Tax Burden Calculator Guide
Tennessee residents enjoy zero state income tax, but the state funds government through a high 7% sales tax and various other levies. This calculator estimates your complete annual tax burden across federal, sales, and property taxes.
Tennessee Tax Formula
State Income Tax: $0 (eliminated 2021)
Federal Income Tax: Standard US brackets (10%โ37%)
FICA: 6.2% SS (up to $184,500) + 1.45% Medicare
Sales Tax Estimate: Annual spending ร 9.55% (state 7% + avg local 2.55%)
Property Tax Estimate: Home value ร county effective rate (avg 0.56%)
Federal Income Tax: Standard US brackets (10%โ37%)
FICA: 6.2% SS (up to $184,500) + 1.45% Medicare
Sales Tax Estimate: Annual spending ร 9.55% (state 7% + avg local 2.55%)
Property Tax Estimate: Home value ร county effective rate (avg 0.56%)
Example: $80,000 income, $300K home, $30K annual purchases
State income tax: $0
Federal income tax (single): approx. $10,294
FICA: approx. $6,120
Sales tax estimate: $30,000 ร 9.55% = $2,865
Property tax (0.56%): $300,000 ร 0.56% = $1,680
Total burden: approx. $20,959 | Effective all-in rate: 26.2%
Federal income tax (single): approx. $10,294
FICA: approx. $6,120
Sales tax estimate: $30,000 ร 9.55% = $2,865
Property tax (0.56%): $300,000 ร 0.56% = $1,680
Total burden: approx. $20,959 | Effective all-in rate: 26.2%
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Tennessee vs No-Income-Tax States Comparison
Compare total tax burden across TN, TX, FL, WA, NV โ including income, sales, and property taxes
Tennessee vs the four other largest no-income-tax states. Your total burden depends on spending and home ownership.
| Tax Component | Tennessee | Texas | Florida | Nevada | Washington |
|---|
Sales tax rates used: TN 9.55%, TX 8.25%, FL 7.0%, NV 8.23%, WA 10.4% avg. Property tax effective rates: TN 0.56%, TX 1.80%, FL 0.89%, NV 0.53%, WA 0.94%. WA has no income tax but 7% capital gains excise on gains above $278K (not shown).
Frequently Asked Questions
Does Tennessee have a state income tax?
Tennessee eliminated its final income tax (the Hall Income Tax on investment income) effective January 1, 2021. Tennessee now has zero state income tax on wages, salaries, or investment income. However, Tennessee residents still pay federal income tax, Social Security, and Medicare taxes. Tennessee also has one of the highest combined sales tax rates in the US at approximately 9.55%.
What is Tennessee's sales tax rate?
Tennessee's state sales tax rate is 7% โ the highest base state rate in the US. Local taxes add 1.5โ2.75% depending on county/city, bringing combined rates to 9โ9.75% in most areas. Nashville's total rate is 9.25%. Groceries are taxed at a reduced 4% state rate (plus local). This sales tax burden partially offsets the benefit of no state income tax.
How does Tennessee's total tax burden compare to other no-income-tax states?
Tennessee's total tax burden varies by lifestyle. The high 7% sales tax means heavy spenders pay more than in states like Wyoming or Alaska. However, Tennessee's property taxes are relatively moderate (0.56% effective rate, well below the national average of 1.1%). Overall, Tennessee ranks around 20th in total state/local tax burden โ competitive but not rock bottom due to high sales taxes.
How is property tax estimated for Tennessee?
Tennessee's effective property tax rate is approximately 0.56% of assessed home value (2024 data), among the lowest in the Southeast. The exact rate varies by county: Shelby County (Memphis) is around 1.3%, Davidson County (Nashville) around 0.72%, and Knox County (Knoxville) around 0.49%. Assessment is typically 25โ40% of appraised value, but the effective rate shown here is already calculated on full market value.
What taxes does a Tennessee resident still pay?
Tennessee residents pay: (1) Federal income tax at the same rates as all Americans; (2) FICA โ Social Security 6.2% and Medicare 1.45%; (3) Tennessee sales tax (7% state + local); (4) Property tax on real estate (averaging 0.56% effective rate); and (5) Various excise taxes on fuel, alcohol, and tobacco. No Tennessee state income tax means a significant savings for high earners compared to neighboring states like Georgia (5.09%), Kentucky (4.5%), or Virginia (5.75%).