The Tennessee Department of Revenue has adopted a regulation, in conforming to statutory changes, concerning market-based sourcing for certain sales (e.g., sales of services and intangibles). For taxable years beginning on or after July 1, 2016, sales, other than sales of tangible personal property, are in Tennessee if the taxpayer’s market for the sale (rather than earnings-producing activity) is in Tennessee.
Rule 1320-6-1-.42, Tennessee Department of Revenue, effective September 26, 2016
Need to learn more about market-based sourcing? Check out CCH CPELink