The Tennessee General Assembly recently passed legislation impacting taxpayers subject to estimated tax payments for the Franchise & Excise tax. For tax years beginning on or after January 1, 2016 taxpayers are required to make quarterly estimates if the combined franchise and excise liability is $5,000 or more for both the prior tax year and the current tax year. If the total tax liability is not $5,000 for the prior year or the projected liability for the current year is not $5,000 or more, then no estimate tax payments are required. For more information regarding this law change and other changes made in the same legislation, please visit the Tennessee Department of Revenue’s website.
If you have any questions or concerns, please contact your Pugh CPAs advisor.