| Taxes | | | Corporate/Excise | 6.5% | | Sales and Use | | | State | 7% on all other tangible personal property unless specifically exempted
5.5% on food and food ingredients | | Local | 2.25 - 2.75% | | Single Article Rates | 2.75% on any single item sold in excess of $1600 but not more than $3200 | | Franchise | .25 per $100 | | Personal Income | 0% | | Unemployment Compensation | 2.7% for most new employers to Tennessee (exceptions are mining 10%, construction 7%, manufacturing 6.5%) |
| Tennessee Incentives | | ROI Enhanced Job Tax Credits |  - Tier 1 Enhancement Counties: $4,500 per job tax credit to qualified businesses making a $500,000 capital investment and creating a minimum of 25 net new full-time jobs in a 12 month period. Job Tax Credit may offset up to 50% F&E liability with 15 year carry-forward
- Tier 2 Enhancement Counties: $4,500 per job tax credit to qualified businesses making a $500,000 capital investment in a 12 month period and creating a minimum of 25 net new full-time jobs in a period not to exceed 3 years. Job Tax Credit may offset up to 50% F&E liability with 15 year carry forward. Additional Enhanced Job Tax Credit of $4,500 per job each year for 3 years to offset up to 100% of F&E liability with no carry-forward.
- Tier 3 Enhancement Counties: $4,500 per job tax credit to qualified businesses making a $500,000 capital investment in a 12 month period and creating a minimum of 25 net new full-time jobs in a period not to exceed 5 years. Job Tax Credit may offset up to 50% F&E liability with 15 year carry forward. Additional Enhanced Job Tax Credit of $4,500 per job each year for 5 years to offset up to 100% of F&E liability with no carry-forward. Tennessee EcD Incentives webpage |
| Taxes | | | Corporate Income Tax | 6% | | Sales and Use Tax | | | State | 4% | | Local (avg) | 1% | | Food | 1.5% | | Motor Vehicle | 3% | | Personal Income | 2-5.75% |
| Virginia Incentives | Major Business Facility Job Tax Credit
Qualified companies locating or expanding in Virginia receive a $1,000 corporate income tax credit for each new full-time job created over a threshold number of jobs. - Companies locating in Enterprise Zones or economically distressed areas are required to meet a 50-job threshold; all other locations have a 100-job threshold.
- The $1,000 credit is available for all qualifying jobs in excess of the threshold and is taken in equal installments over two years ($500 per year) in 2009 and 2010.
- Non-qualifying jobs include seasonal positions, building and grounds maintenance, security, and other positions ancillary to the principal activities of the facility.
- Credits are available for taxable years before January 1, 2020. Unused credits may be carried over for up to 10 years. A Virginia Guide - Local Taxes on Business |
| Tennessee Valley Authority (TVA) | | TVA Economic Development offers a number of financing services and options to help new and existing companies with the financial resources they need to locate or expand in the Tennessee Valley. Click here for more information. |
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Taxes & Incentives