SALES TAX
Please make sure that contractors are paying sales tax for items purchased from university departments.
Examples of such transactions would be purchases from graphic arts for printing services by a food service or bookstore contractor such as ARAMARK or Barnes and Noble.
These contractors cannot take advantage of the university’s non-profit sales tax exemption certificate, regardless of any services performed.
If your department sells items to these contractors, please make sure they are being charged the applicable sales tax.
In addition, contractors are required to pay use tax on university-purchased assets (equipment) and university-provided expenses (utilities) used by contractors in fulfilling a state government contract.
Contractors should be provided with the necessary information (copy of invoices, utility usage, allocation, etc.) to meet its use tax obligations with the Tennessee Department of Revenue.
For a general overview of the sales tax process, please click here to see a flowchart. For more detailed information, reference the Tennessee Sales and Use Tax Guide, or contact Melissa Johnson at 865-974-2598 or johnsonm@tennessee.edu
Contact:
Vice President & Treasurer
301 Andy Holt Tower
Knoxville, TN 37996
865-974-2302
865-974-2701 Fax