Direct Sales Tax Refund
If you received Federal aid, you can apply for a refund of Tennessee sales tax that you paid for the items that you have purchased to rebuild or restore your home due to the flood. This includes appliances, furniture, cleaning supplies, and other building supplies. The total refund is limited to $2500, and you can only apply for one refund. To qualify, the items you purchased must have been used for your primary residence, must not cost more than $3200 per item (for appliances and furniture) and $500 (for cleaning/building supplies). You must make purchases by September 30, but may file a claim until November 30 and still qualify. It is anticipated that this deadline may be extended by leglislation expected to be introduced in January 2011, so save your receipts. You are required to show proof of purchase, sales tax paid, and proof that you applied for and received Federal disaster assistance.
Here is the refund form. For more information from the Department of Revenue, click here.
Property Tax Relief
The legislature has authorized the counties to allow taxpayers some relief on property tax for personal and industrial items by prorating the tax assessment the year. The county legislative body must approve this relief. For information on property tax relief in Davidson County, please click here. As we learn of other counties doing this, we will post more information.