WeVote
Log In

Bill

Bill

SB 1099

Taxes, Privilege - As enacted, clarifies that all privilege taxes on litigation that clerks of certain courts fail to collect and pay to the department of revenue are debts of the clerks; adds certain reporting requirements. - Amends TCA Title 40 and Title 67.

114th Regular Session (2025-2026) Introduced by Ferrell Haile

SB 1099 makes Tennessee court clerks personally liable as debtors for uncollected privilege taxes they fail to remit to state revenue.

Companion House Bill substituted
#privilege #taxes
0
WeVote Research Nonpartisan
Bill Summary · SB 1099

Legislative bill overview

SB 1099 clarifies that court clerks in Tennessee are personally liable for privilege taxes on litigation that they fail to collect and remit to the Department of Revenue. The bill amends state tax law (TCA Title 40 and Title 67) to establish this personal debt obligation for clerks who don't properly handle these collections.

Why is this important

Privilege taxes on litigation are revenue sources for the state, and uncollected taxes represent lost public funds. This bill creates accountability mechanisms by making individual clerks financially responsible for shortfalls, which could incentivize better collection practices and reduce revenue leakage. However, it shifts financial risk onto individual court employees.

Potential points of contention

  • Fiscal burden on employees: Court clerks may face personal financial liability for tax collection failures, potentially creating pressure on lower-paid public employees regardless of circumstances beyond their control
  • Implementation clarity: The bill doesn't specify how disputes over uncollected taxes will be resolved, what defenses clerks might have, or whether there are grace periods for correcting collection errors
  • Administrative feasibility: Questions remain about whether current court systems have adequate resources and training to ensure complete and accurate collection of privilege taxes across all cases

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.