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The state sales tax rate in Tennessee is 7.000%. With local taxes, the total sales tax rate is between 8.500% and 9.750%. Food in Tennesse is taxed at 5.000% (plus any local taxes). Tennessee has recent rate changes (Fri Jan 01 2021).
This tax is on the sale or distribution by sale or gift of wine, beer and distilled spirits with an alcoholic content of more than 5 percent by weight. T.C.A. § 57-3-301. Rate: $1.21 per gallon (32 cents per liter) of wine and $4.40 per gallon ($1.17 per liter) of distilled spirits.
Overview. With a few exceptions, if you sell at retail alcoholic beverages, wine, and high alcohol content beer for consumption on the premises, you must pay the Liquor-by-the-Drink Tax on the gross sales of those beverages.
? Tennessee's general sales tax of 7% also applies to the purchase of liquor. In Tennessee, liquor vendors are responsible for paying a state excise tax of $4.40 per gallon, plus Federal excise taxes, for all liquor sold.
Liquor-by-the-drink licensees may offer drive-through, pickup, carryout, and delivery orders of alcoholic beverages for consumption off the premises until July 1, 2023. The 15% liquor-by-the-drink tax should be collected on these off premises sales.
Overview. With a few exceptions, if you sell at retail alcoholic beverages, wine, and high alcohol content beer for consumption on the premises, you must pay the Liquor-by-the-Drink Tax on the gross sales of those beverages.
39, Code, ¶7052 ); Any beverage with alcohol content of 5% or less is exempted from local option laws (Sec. 57-2-101, Tit. 57, Code, ¶7131 ).