The sales tax rate in Cordova, TN is 9.75% for most addresses, because the community falls largely within Memphis city limits. That total combines Tennessee’s 7% state sales tax with a 2.75% local tax shared by Shelby County and Memphis.1Tennessee Department of Revenue. Sales and Use Tax Pockets of Cordova that sit in unincorporated Shelby County, outside Memphis jurisdiction, pay 9.25% instead, since the extra city levy does not reach them.2Tennessee General Assembly. Fiscal Memorandum HB 308 – SB 337
How the Rate Is Built
Tennessee charges 7% in state sales tax on most retail purchases of goods and taxable services.3Tennessee Department of Revenue. Due Dates and Tax Rates On top of that, counties and incorporated cities are allowed to add a local option sales tax under Tennessee Code 67-6-702.4Justia. Tennessee Code 67-6-702 – Tax Authorized – Rates – Termination of Services Tax
For Cordova addresses inside Memphis, the local portion totals 2.75%: a 2.25% base levy from Shelby County and an additional 0.5% from Memphis. Addresses in unincorporated Shelby County pay only the 2.25% county piece, which is why their combined rate drops to 9.25%. If you aren’t sure which side of the line your address sits on, the Tennessee Department of Revenue publishes a local tax rate lookup.5Tennessee Department of Revenue. Local Sales Tax
Groceries and Prepared Food
Food meant for home preparation is taxed at a reduced state rate of 4% rather than 7%.3Tennessee Department of Revenue. Due Dates and Tax Rates With local tax added in, qualifying groceries come to roughly 6.75% in the Memphis portion of Cordova and 6.25% in the unincorporated areas.
The lower rate does not reach prepared food. Restaurant meals, deli trays, and anything sold ready to eat are taxed at the full combined rate. Candy, dietary supplements, and alcoholic beverages also fall outside the grocery rate and are taxed at the standard 7% state rate.6Tennessee Department of Revenue. SUT-13 – Sales and Use Tax Rates – Overview
What Is Exempt From Sales Tax
Several everyday categories carry no Tennessee sales tax at all. Gasoline, prescription medications, textbooks, school meals, and various healthcare products are fully exempt. Qualified farmers and manufacturers can purchase certain items tax-free or at reduced rates, and sales to government entities and nonprofits are exempt as well.7Tennessee Department of Revenue. Other Exemptions Businesses buying inventory for resale also skip sales tax at the register, provided they hand over a valid resale certificate.
The Single Article Cap on Big-Ticket Items
Tennessee limits how much local sales tax applies to any one high-value item. The local portion only hits the first $1,600 of the purchase price.8Tennessee Department of Revenue. Single Article and Special Tax Rates For a Cordova buyer inside Memphis, the most local tax you can owe on a single item is about $44 (2.75% of $1,600). In unincorporated Shelby County, that ceiling is $36.
A separate state surcharge of 2.75% then applies to the slice of the price between $1,600 and $3,200. Above $3,200, only the base 7% state rate keeps running.8Tennessee Department of Revenue. Single Article and Special Tax Rates On a $30,000 vehicle bought inside Memphis city limits, the math looks like this:
- 7% state tax on the full $30,000: $2,100
- 2.75% local tax on the first $1,600: $44
- 2.75% state surcharge on the next $1,600: $44
- Total: $2,188
One carve-out to know about: digital products, computer software, and software maintenance contracts do not get the single article cap. Full local tax applies to the entire price regardless of how high it runs.8Tennessee Department of Revenue. Single Article and Special Tax Rates
The Annual Tax-Free Weekend
Once a year, Tennessee waives both state and local sales tax for a weekend running from the last Friday of July through that Sunday. In 2026, the dates are July 31 through August 2.9FindLaw. Tennessee Code Title 67 Taxes and Licenses 67-6-393 During that window, these items are tax-free in Cordova:
- Clothing priced at $100 or less per item
- School supplies and art supplies at $100 or less per item
- Computers, laptops, and tablets at $1,500 or less per item
The holiday does not cover software, clothing accessories, protective or sports equipment, video game consoles, or anything purchased for business use.9FindLaw. Tennessee Code Title 67 Taxes and Licenses 67-6-393 On a single shirt the savings are small; on a laptop and a back-to-school haul, they add up.