Tennessee Implements Largest Tax Cut in State History, Including Grocery Tax Holiday

Tennessee Governor Bill Lee signed the Tennessee Works Tax Act, the largest tax cut in state history, providing over $400 million in savings for families and businesses while supporting future economic growth. The legislation includes a three-month grocery tax holiday beginning August 1 and more than $150 million in annual small business tax relief. The act also simplifies tax administration and conforms with the federal bonus depreciation provisions of 2017 Tax Cuts & Jobs Act, allowing businesses to more quickly recover costs and further incentivize investment in Tennessee production.