Gov. Haslam signs Law to reduce Hall Tax

NASHVILLE, Tenn. (News Channel 5) – Governor Bill Haslam signed a bill into law Friday that will reduce the Hall income tax gradually, and eliminate it in 2022.

That’s according to reports from our sister station, News Channel 5, in Nashville.

The Hall Tax is the only personal income tax in Tennessee.  It is only imposed on individuals and other entities receiving interest from bonds and notes and dividends from stock.

The bill will cut the income tax rate from 6 percent to 5 percent for tax year 2016, and the rate will be reduced by one percent annually each year.

It will eliminate the tax entirely for the year 2022 and beyond.

In 2022, Tennessee is poised to join seven other states with no state personal income tax.

Read more from our partners at News Channel 5

Categories: Regional News

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