The sales tax rate in La Vergne, TN is 9.75%. That’s a 7% Tennessee state sales tax plus a 2.75% local tax collected by Rutherford County, and it’s what you’ll pay on most everyday purchases at the register. Groceries, items priced above $1,600, digital downloads, and a handful of exempt categories follow different rules that can raise or lower what you actually owe.
How the 9.75% Breaks Down
Tennessee charges 7% on most tangible goods sold at retail statewide. Counties and some cities add a local option tax on top, capped at 2.75%, and Rutherford County imposes the full amount.1Tennessee Department of Revenue. Due Dates and Tax Rates The local portion is a situs tax, so the sale location, not the buyer’s address, determines which jurisdiction gets the revenue.2MTAS – Serving Tennessee City Officials. Local Option Sales Tax
Retailers in La Vergne collect the full 9.75% at checkout and send both the state and local portions to the Tennessee Department of Revenue on a single return.3Tennessee Department of Revenue. Local Sales Tax
Big-Ticket Purchases Over $1,600
The flat 9.75% only holds up to $1,600 on any single item. Above that, the local 2.75% stops accruing. The local tax on any one item is capped at $44 (2.75% of $1,600).4Tennessee Department of Revenue. SUT-6 – Single Article Tax – Overview and Application
For the portion of the price between $1,600.01 and $3,200, Tennessee charges an additional state tax of 2.75% in place of the local tax. That extra amount goes entirely to the state; no county or city taxes that middle band. Above $3,200, only the 7% base state rate applies.5Justia. Tennessee Code 67-6-202 – Tax on Retail Sales
On a $5,000 purchase, the tax works out like this:
- First $1,600: 7% state ($112) plus 2.75% local ($44) = $156
- $1,600.01 to $3,200: 7% state ($112) plus 2.75% additional state ($44) = $156
- $3,200.01 to $5,000: 7% state only = $126
- Total: $438, versus $487.50 if the full 9.75% applied to the whole price
The savings grow with the price, so this matters most for vehicles, appliances, furniture, and equipment.
Groceries and Food
Tennessee taxes groceries and unprepared food at a reduced state rate of 4% instead of 7%.1Tennessee Department of Revenue. Due Dates and Tax Rates The 2.75% local tax still applies, so groceries in La Vergne are taxed at 6.75% total. Bills to eliminate the state grocery tax have been introduced but none have passed as of early 2026.
The reduced rate covers food sold for home consumption: produce, meat, dairy, eggs, canned and frozen goods, and bottled water, including carbonated and flavored varieties.6Justia. Tennessee Code 67-6-102 – Definitions
Several categories that look like food don’t qualify and get taxed at the full 9.75%:
- Prepared food, meaning anything heated by the seller or sold with eating utensils, including deli meals and restaurant orders7Tennessee Department of Revenue. SUT-54 – Prepared Food – Definition and Tax Rate
- Candy, defined as a preparation of sugar, honey, or sweetener combined with chocolate, fruits, or nuts that doesn’t contain flour8Tennessee Department of Revenue. SUT-55 – Candy – Definition and Tax Rate
- Dietary supplements, including vitamins, minerals, and herbs labeled as supplements
- Alcoholic beverages and tobacco
What’s Fully Exempt
Some purchases carry no sales tax at all. Prescription medications are exempt from both state and local tax, including drugs dispensed by a licensed pharmacist and certain over-the-counter insulin products.9Tennessee Department of Revenue. SUT-125 – Sales of Prescription Drugs Prosthetic devices for human use and durable medical equipment are also exempt under a separate provision.10Justia. Tennessee Code 67-6-314 – Medical Equipment and Devices
Most professional services, including legal advice, accounting, medical care, and engineering, aren’t subject to Tennessee sales tax. The tax applies to tangible personal property and a limited list of specifically taxed services, so most personal and professional services fall outside it.11State of Tennessee. Services Subject to Sales Tax in Tennessee
The Annual Sales Tax Holiday
Tennessee holds a sales tax holiday each summer, typically a weekend in late July, when certain items are exempt from both state and local tax. The qualifying categories and price caps in recent years have been:
- Clothing, $100 or less per item12Tennessee Department of Revenue. Annual Sales Tax Holiday Happening July 25 – July 27
- School supplies and art supplies, $100 or less per item
- Computers, laptops, and tablets, $1,500 or less per item
The computer exemption is the one most people overlook; skipping 9.75% on a $1,500 laptop saves about $146. Items priced above the caps don’t get a partial break and are taxed at the full rate. The Department of Revenue announces exact dates each year.
Digital Products and Software
Downloads and streaming aren’t exempt just because nothing physical changes hands. Specified digital products, including e-books, digital audiobooks, music downloads, and streaming video, are taxed at the 7% state rate plus a flat 2.5% local rate regardless of where the buyer lives.13State of Tennessee. Sales Tax on Specified Digital Products For La Vergne residents, that works out to 9.5% rather than the usual 9.75%.
Remotely accessed software (SaaS) and prewritten software delivered electronically are taxed at the 7% state rate plus the applicable local rate. A SaaS subscription accessed from La Vergne is taxed at the full 9.75%, while a digital movie download is taxed at 9.5%.
Online and Out-of-State Purchases
When you buy from an out-of-state seller that doesn’t charge Tennessee sales tax, you owe use tax at the same rate you’d pay locally. For La Vergne buyers, that’s 9.75% on most goods.14Tennessee Department of Revenue. Sales and Use Tax
Most large online retailers already collect Tennessee tax automatically. Any out-of-state seller with $100,000 or more in Tennessee retail sales over the previous twelve months is required to register, collect, and remit the tax.15Tennessee Department of Revenue. SUT-4 – Nexus – Overview Smaller sellers may not meet that threshold, and purchases from private individuals almost never include tax. In those cases the buyer is responsible for reporting and paying the use tax through the Tennessee Taxpayer Access Point (TNTAP).14Tennessee Department of Revenue. Sales and Use Tax