STATE:

Why NFIB

Take Action

Get Support

Stay Informed

Podcast Podcast

Careers Careers

Join Now

Home / News /

Tennessee Repeals Drop Shipment Rule

January 7, 2022

Tennessee Repeals Drop Shipment Rule

The Tennessee Department of Revenue has repealed its drop shipment rule, Rule 96, effective Jan. 10. This update resulted from changes ushered in by the Wayfair decision subjecting out-of-state sellers to tax more directly. The department said: “If a Tennessee supplier sells to an out-of-state dealer personal property or taxable services for resale and drop ships the goods to the out-of-state dealer’s Tennessee customer, the Tennessee supplier may accept a resale certificate issued by another state or a fully completed Streamlined Sales and Use Tax Exemption Certificate that includes the sales tax ID number issued by the other state to make drop-shipped sales for resale without tax. Prior to the repeal of Rule 96, the Tennessee supplier had to collect Tennessee sales tax on the sales price of the product sold to the out-of-state dealer unless the out-of-state dealer provided a Tennessee resale certificate or Streamlined Sales Tax Exemption Certificate with a Tennessee sales tax ID number.” Read the full bulletin here for more information.

Topics:

Uncategorized

State:

Tennessee

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Learn More

Man signs a document at a wooden desk while a group of officials observes in a formal room with flags behind him.

June 5, 2026

Governor Lee Signs Regulatory Freedom Act into Law

Legislation was a priority for NFIB members.

June 1, 2026

NFIB Supporting Amendment to Ban a Statewide Property Tax

The proposed constitutional amendment will be on the November ballot.

May 29, 2026

Small Business Owners in Seven Counties May Apply for Disaster Relief

Small business owners affected by the April 20 wildfires in South Georgia can now apply for low-interest disaster loans from the U.S. Small Business Administra…

May 27, 2026

New NFIB Industry-Specific Survey Shows Shift in Small Business Optimism

WASHINGTON, D.C. (May 27, 2026) – The NFIB Research Center released an industry-specific quarterly Small Business Economic Trends survey highlighting the const…

Tennessee Repeals Drop Shipment Rule

Related Articles