Does Tennessee have a state income tax for self-employed workers?

No. Tennessee has no personal income tax at all, so 1099 workers owe only federal income tax and the 15.3% self-employment tax.

What is the Tennessee business tax for gig workers?

A state and local gross-receipts business tax administered through TNTAP. Once your receipts pass the local threshold (commonly $10,000), you register with the county clerk and file an annual return due April 15.

When are quarterly taxes due for Tennessee freelancers?

With no state income tax, your only quarterly obligation is federal Form 1040-ES: April 15, June 15, September 15, 2026 and January 15, 2027.

How much should a Tennessee gig worker set aside for taxes?

Around 20% to 25% of net profit typically covers federal income tax and the 15.3% self-employment tax — a lighter load than nearly any income-tax state.

Do Nashville gig workers owe a city tax?

Not on income, but Metro Nashville-Davidson levies a business tax on gross receipts once you pass the filing threshold, with returns due April 15.

Tennessee Self-Employed Tax Calculator

Federal income tax + 15.3% self-employment tax on 2026 1099 income for Tennessee residents. No state income tax to add.

Tennessee has no personal income tax — the old Hall tax on interest and dividends ended in 2021 — so a Tennessee gig worker owes only federal income tax and the 15.3% SE tax. The one local layer to watch is the city and county business tax on gross receipts in places like Nashville, Memphis, Knoxville and Chattanooga.

Self-employed income & expenses

Estimate federal + SE + state tax for the 2026 tax year in one pass.

Annual 1099 income

Business miles driven

Other business expenses

Self-employed health insurance

Retirement contributions (SEP / Solo 401k)

W-2 income (if any)

Federal tax withheld

Filing status

State

Estimated total tax bill

$10,941

Refund / owed

-$10,941

Effective rate

18.2%

Detailed breakdown

Mileage deduction$5,600

Total business expenses$8,100

Net self-employment income$51,900

Self-employment tax (15.3%)$7,333

½ SE deduction (above-the-line)$3,667

Adjusted gross income$48,233

Taxable income$32,133

Federal income tax$3,608

State tax (est.)$0

Quarterly estimated payment$2,614

Marginal rate12.0%

Tennessee city tax rates for self-employed workers (2026)

Tennessee has no personal income tax at all — the old Hall tax on interest and dividends was fully repealed in 2021. Gig workers owe only federal income tax and the 15.3% SE tax, though city and county business taxes on gross receipts still apply in places like Nashville and Memphis.

Local and state tax rates for self-employed residents of major Tennessee cities in 2026
City	Local rate	State rate	What gig workers should know
Nashville-Davidson	No income tax; local business tax on gross receipts	0%	Metro business tax returns are due April 15 once you pass the filing threshold.
Memphis (Shelby)	No income tax; county + city business tax	0%	Both Shelby County and the City of Memphis levy gross-receipts business taxes.
Knoxville (Knox)	No income tax; local business tax	0%	Register with the county clerk; tax is a small percentage of gross receipts.
Chattanooga (Hamilton)	No income tax; local business tax	0%	Business license renews annually through the county clerk.
Murfreesboro (Rutherford)	No income tax; local business tax	0%	Thresholds are low, but most small gig workers owe minimal amounts.

Tennessee local and state filing deadlines

Tennessee business tax return (state + local)April 15, 2026
Filed through TNTAP if your gross receipts exceed the locality's threshold (commonly $10,000).
Business license renewalVaries by county clerk
Minimal activity licenses renew annually; renewals are cheap but late fees stack.
Q1 federal 1040-ESApril 15, 2026
With no state income tax, federal is your only quarterly obligation.
Q2 federal 1040-ESJune 15, 2026
Second federal installment.
Q3 federal 1040-ESSeptember 15, 2026
Third federal installment.
Q4 federal 1040-ESJanuary 15, 2027
Final installment for the 2026 year.
Q1 federal 1040-ESApril 15, 2026
Covers income earned January 1 – March 31.
Q2 federal 1040-ESJune 15, 2026
Covers April 1 – May 31.
Q3 federal 1040-ESSeptember 15, 2026
Covers June 1 – August 31.
Q4 federal 1040-ESJanuary 15, 2027
Covers September 1 – December 31.

Zero state income tax means a Tennessee gig worker's combined marginal rate is often 8–10 points lower than a comparable earner in a high-tax state.
Don't skip the local business tax — it is on gross receipts, and county clerks cross-reference 1099-K data.
Federal deductions (mileage at $0.70 per business mile in 2026, phone, home office) remain your only real tax lever.

Frequently asked questions

Does Tennessee have a state income tax for self-employed workers?: No. Tennessee has no personal income tax at all, so 1099 workers owe only federal income tax and the 15.3% self-employment tax.
What is the Tennessee business tax for gig workers?: A state and local gross-receipts business tax administered through TNTAP. Once your receipts pass the local threshold (commonly $10,000), you register with the county clerk and file an annual return due April 15.
When are quarterly taxes due for Tennessee freelancers?: With no state income tax, your only quarterly obligation is federal Form 1040-ES: April 15, June 15, September 15, 2026 and January 15, 2027.
How much should a Tennessee gig worker set aside for taxes?: Around 20% to 25% of net profit typically covers federal income tax and the 15.3% self-employment tax — a lighter load than nearly any income-tax state.
Do Nashville gig workers owe a city tax?: Not on income, but Metro Nashville-Davidson levies a business tax on gross receipts once you pass the filing threshold, with returns due April 15.