Tennessee has enacted a sales and use tax exemption for qualified film or television production costs provided the Commissioners of Revenue and Economic and Community Development determine that the exemption is in the best interests of the state (such as jobs created or community impact). The film production costs include the sale, use, storage, or consumption of tangible personal property, computer software, or services that are necessary to and primarily used for a qualified production.
In order to be eligible for the exemption:
If the exemption is granted, it will remain valid for two years after the effective date and may be renewed subsequently for two-year periods. A third-party
purchaser or consumer of tangible personal property, computer software, or services that are necessary to, and primarily used for, a qualified production granted an exemption may apply to the department to use the exemption to make exempt purchases. If approved by the department, the third party will be issued a sales and use tax exemption certificate that identifies the qualified production. (Tennessee H.B. 141, Laws 2021, effective July 1, 2021)