Tennessee Enacts Permanent Sales Tax Exemption for Firearm Safes and Safety Devices

Effective November 1, 2023, Tennessee has enacted a permanent sales and use tax exemption for firearm safes and safety devices.

A “firearm safe” is defined as a locking container or other enclosure, excluding glass-faced containers, equipped with a padlock, key lock, combination lock, or other locking device that is designed and intended for the secure storage of one or more firearms.

A “firearm safety device” is defined as:

  • A device that, when installed on a firearm, is designed to prevent the firearm from being operated without first deactivating the device; or
  • A device to be equipped or installed on a firearm that is designed to prevent the operation of a firearm by anyone who does not have authorized access to the firearm

Sellers must properly report exempt sales of these items. For periods beginning on or after November 1, 2023, sales should be reported on the Tennessee sales tax return as follows:

  • Report all sales (both taxable and non-taxable) on Page 1, Line 1 (Gross Sales) of the return.
  • Report all sales of exempt firearm safes and firearm safety devices on Schedule A, Line 9 (Other deductions).

The creation of the permanent exemption for firearm safes and safety devices is a result of enacted legislation (HB 7012/SB 7085). Tennessee had previously held a temporary sales tax holiday for gun safes and gun safety devices. The enacted legislation makes the exemption permanent. (Notice #23-16, Exemption for Firearm Safes and Safety Devices, Tennessee Department of Revenue)

Posted on November 28, 2023