The laws in Tennessee every resident should know cluster around a few areas that shape daily life here: the state collects no tax on your paycheck but takes close to 10 percent at the register, lets eligible adults carry a handgun without a permit, keeps marijuana fully illegal, enforces a hands-free driving rule, and sets specific notice periods landlords must follow before an eviction. The details below are the ones that most often trip up new arrivals and long-time residents alike.
Taxes You’ll Actually Pay
Tennessee does not tax wages or salaries. The state constitution prohibits any state or local tax on payroll or earned personal income.1FindLaw. Tennessee Constitution Article II Section 28 The old Hall Income Tax on interest and dividends was fully repealed effective January 1, 2021.2Tennessee Department of Revenue. HIT-4 – Hall Income Tax Rate
The trade-off shows up at the register. The general state sales tax rate is 7 percent on most goods and services, with food and food ingredients taxed at a reduced state rate of 4 percent.3Tennessee Department of Revenue. Sales and Use Tax4Tennessee Department of Revenue. Due Dates and Tax Rates Counties and many cities add a local option tax that typically runs 2.25 to 2.75 percent, pushing combined rates in much of the state to between 9.25 and 9.75 percent.
One wrinkle matters for big purchases. The local portion only applies to the first $1,600 of any single item’s price.5Tennessee Department of Revenue. SUT-6 – Single Article Tax – Overview and Application From $1,600 to $3,200, a state single-article rate of 2.75 percent applies instead of the local rate. So the total on a $4,000 appliance isn’t the full combined rate on the whole price.
Because Tennessee has no income tax, residents who itemize federally can deduct state and local sales taxes in place of state income tax. For 2026, the combined state and local tax (SALT) deduction is capped at $40,400, with the cap phasing down above $505,000 of modified adjusted gross income. Itemizing only pays off if your total deductions clear the standard deduction, which usually means significant property taxes or a large purchase in the tax year.
Marijuana and Controlled Substances
The Tennessee Drug Control Act organizes drugs into seven schedules.6Justia. Tennessee Code Title 39, Chapter 17, Part 4 – Tennessee Drug Control Act Marijuana sits in Schedule VI and is illegal for recreational use. There is no comprehensive medical cannabis program. The state allows possession of CBD oil with up to 0.9 percent THC for patients with specific qualifying conditions, and no in-state dispensaries sell it legally.
Simple possession of a half ounce or less is a Class A misdemeanor punishable by up to eleven months and twenty-nine days in jail and a fine of up to $2,500.7Justia. Tennessee Code 39-17-418 – Simple Possession or Casual Exchange8Justia. Tennessee Code 40-35-111 – Authorized Terms of Imprisonment and Fines for Felonies and Misdemeanors Distribution or larger quantities become felonies, and selling to a minor when you are at least two years older is a felony regardless of the amount. Harder substances carry much heavier felony classifications.
Hemp sits in a separate legal lane. Tennessee defines legal hemp as cannabis under 0.3 percent Delta-9 THC, matching the federal definition; anything above that is treated as marijuana.9Tennessee Bureau of Investigation. Hemp and Marijuana Since 2023, retailers, manufacturers, and distributors of hemp-derived THC products must hold licenses, and products must carry ingredient labels.
Guns and Self-Defense
Tennessee allows eligible adults to carry a handgun openly or concealed without a permit. The permitless carry law, enacted in 2021 as an amendment to T.C.A. § 39-17-1307, covers anyone at least twenty-one, or at least eighteen with basic training completed or an honorable military discharge.10Justia. Tennessee Code 39-17-1307 – Unlawful Carrying or Possession of a Weapon You must be in lawful possession of the handgun and not fall into any prohibited-person category under state or federal law. Federal law bars several groups from possession entirely, including anyone convicted of a crime punishable by more than a year, anyone under a domestic violence restraining order, and users of controlled substances.11Bureau of Alcohol, Tobacco, Firearms and Explosives. Identify Prohibited Persons
Permitless does not mean carry anywhere. Schools, school buses, college campuses, and related athletic facilities are off-limits under T.C.A. § 39-17-1309.12Justia. Tennessee Code 39-17-1309 – Carrying Weapons on School Property Private property owners and businesses can also ban firearms by posting a sign at every primary entrance that reads “NO FIREARMS ALLOWED” and references T.C.A. § 39-17-1359.13Justia. Tennessee Code 39-17-1359 – Prohibition at Certain Meetings, Posted Notice, Handgun Carry Permit Holder
Self-defense law here imposes no duty to retreat. Under T.C.A. § 39-11-611, if you are somewhere you have a legal right to be and are not committing a felony or Class A misdemeanor, you can use force, including deadly force, when you reasonably believe it is immediately necessary to prevent death, serious bodily injury, or grave sexual abuse.14Justia. Tennessee Code 39-11-611 – Self-Defense When someone unlawfully and forcibly enters your home, business, or vehicle, the statute presumes you reasonably believed you faced imminent death or serious injury.
Driving Rules That Catch People Out
Tennessee’s Hands-Free Law makes it illegal to physically hold a cellphone or other electronic device while driving.15Justia. Tennessee Code 55-8-199 – Prohibited Uses of Wireless Telecommunications Devices or Stand-Alone Electronic Devices Speakerphone, earpieces, and single-button voice activation are allowed. Fines run up to $50 for a first or second offense, $100 for a third offense or any violation that causes a crash, and $200 in a work zone or active school zone. Every violation is a Class C misdemeanor.16FindLaw. Tennessee Code 55-8-199 – Wireless Telecommunications Devices
The DUI threshold is 0.08 percent BAC for most adult drivers and 0.02 percent for anyone under twenty-one.17Justia. Tennessee Code 55-10-401 – Driving Under the Influence18Justia. Tennessee Code 55-10-415 – Underage Driving While Impaired A first-offense DUI brings a fine between $350 and $1,500, a mandatory minimum of 48 hours in jail (up to eleven months and twenty-nine days), and a one-year license revocation. At 0.20 percent BAC or higher, the minimum jail time jumps to seven consecutive days. Courts often also order a litter-removal community service program.
Driving on Tennessee roads counts as implied consent to breath and blood testing under T.C.A. § 55-10-406.19Justia. Tennessee Code 55-10-406 – Breath and Blood Tests to Determine Alcohol or Drug Content Refusal after a lawful arrest triggers a one-year license revocation on a first incident, two years with a prior DUI or a crash causing serious bodily injury, and five years if someone was killed. Refusal is a Class A misdemeanor on its own.
You also need to carry proof of liability insurance and produce it during any traffic stop. Failing to show proof is an offense under T.C.A. § 55-12-139, but a first-time charge is dismissed if you can show in court that coverage was active at the time.20Justia. Tennessee Code 55-12-139 – Compliance with Financial Responsibility Law Required
Renting a Home
Most rental relationships fall under Tennessee’s Uniform Residential Landlord and Tenant Act. There is no statutory cap on security deposits, but the law controls what happens afterward. The landlord must inspect the unit on the day you move out or within four calendar days, then send any refund to your last known address. If you don’t respond within sixty days of that notification, the landlord can keep the deposit.21Justia. Tennessee Code 66-28-301 – Security Deposits Damage discovered later can be documented up to thirty days after you leave or seven days after a new tenant moves in, whichever comes first.
The notice a landlord must give before filing for eviction depends on the reason, under T.C.A. § 66-7-109:22Justia. Tennessee Code 66-7-109 – Notice of Termination by Landlord
- Three days for drug-related criminal activity or an unauthorized occupant who refuses to leave.
- Fourteen days for unpaid rent, property damage beyond normal wear, or violent or threatening behavior.
- Thirty days for any other lease violation.
- Sixty days when the landlord is clearing the property for new development and the tenant is current on rent.
A landlord cannot change your locks or shut off utilities to force you out. Every eviction has to go through the court system.
Working in Tennessee
Tennessee is a right-to-work state. Under T.C.A. § 50-1-201, no one can be denied a job or fired because they belong to a union or refuse to join one, and employers cannot require union dues as a condition of employment.23Justia. Tennessee Code 50-1-201 – Denial of Employment Because of Affiliation or Nonaffiliation with Labor Union or Employee Organization The same protection appears in the state constitution.
Tennessee does not set its own minimum wage, so the federal floor of $7.25 per hour applies to most workers.24U.S. Department of Labor. Minimum Wage Tipped employees can receive a lower direct wage as long as tips bring total compensation to at least $7.25 per hour. The federal salary threshold for overtime-exempt employees stays at $35,568 per year, or $684 per week, after courts blocked a planned Department of Labor increase.
Employment here is at-will, meaning either side can end the relationship at any time for any lawful reason. The limits on “lawful” matter. On top of federal anti-discrimination law, Tennessee specifically prohibits firing someone for being called to military service, voting, exercising union rights, having wages garnished, filing a workers’ compensation claim, or serving on a jury.25Tennessee Department of Labor and Workforce Development. Employee Rights
T.C.A. § 50-1-304 adds whistleblower protection: an employer cannot fire you for refusing to participate in illegal activity or for refusing to stay silent about it. A wrongful discharge under this statute can bring a retaliation lawsuit with attorney fees and costs.26Justia. Tennessee Code 50-1-304 – Discharge for Refusal to Participate in or Remain Silent About Illegal Activities
When Someone Dies
Tennessee imposes no state estate tax and no inheritance tax. Federal estate tax can still apply to large estates. For 2026, a federal estate tax return is required when a decedent’s gross estate exceeds $15,000,000, a threshold raised by the One, Big, Beautiful Bill Act signed in July 2025.27Internal Revenue Service. Whats New – Estate and Gift Tax Most families sit well below that line, but anyone with significant real estate, business interests, or life insurance should check their total estate value with a professional.
Surviving family members may qualify for Social Security benefits based on the deceased worker’s earnings record.28Social Security Administration. Survivors Benefits A surviving spouse can collect full benefits starting at age 67 if born in 1962 or later, reduced benefits as early as age 60, or as early as age 50 with a disability. A spouse of any age who is caring for the worker’s child under 16 or a child with a disability can also qualify. Unmarried children under 18 (or up to 19 if still in elementary or secondary school full time) are eligible, and children who became disabled before age 22 can collect at any age. A one-time lump-sum death payment of $255 is available to a surviving spouse or child who applies within two years of the death.