• Is Tennessee "Retiring" Its Hall Income Tax?
  • May 25, 2016
  • Law Firm: Burr Forman LLP - Birmingham Office
  • Tennessee has long been known as a retirement friendly state and usually ranks in the Top 10 of any list identifying the best places in the U.S. for retirement. That reputation is about to be enhanced as Tennessee's Legislature voted last week to permanently retire the state's limited personal income tax. While the state has never had a "true" regular personal income tax, many new residents are surprised when they learn about Tennessee's Hall income tax on dividends and certain interest. Assuming overnor Haslam signs the legislation forwarded to him last Friday, the Hall income tax will be forcibly retired effective January 1, 2022, finally allowing Tennessee to join those few other states choosing to not impose any taxes on personal income.