2018 Tennessee Code
Title 67 - Taxes and Licenses
Chapter 6 - Sales and Use Taxes
Part 5 - Collection and Enforcement Generally
§ 67-6-539. Bundled transactions -- Telecommunications services. [Effective on July 1, 2019. See the version effective until July 1, 2019.]
(a) For purposes of the tax imposed by this chapter, a bundled transaction is subject to tax at the rate levied on the sale of tangible personal property at retail by § 67-6-202.
(b) Notwithstanding subsection (a) to the contrary, if the price is attributable to products that are taxable and products that are nontaxable, the portion of the price attributable to the nontaxable products shall be subject to tax unless the provider can identify by reasonable and verifiable standards that portion from its books and records that are kept in the regular course of business for other purposes, including, but not limited to, nontax purposes, in the case of a bundled transaction that includes any of the following:
(1) Telecommunication services;
(2) Ancillary services;
(3) Internet access services;
(4) Audio or video programming services; or
(5) Direct-to-home satellite television programming services.
(c) This section shall apply unless otherwise provided by federal law.
