Tennessee LLC Annual Report & Franchise/Excise Tax (2026)
Every Tennessee LLC owes an annual report to the Secretary of State — and most also owe franchise and excise tax to the Department of Revenue. These are two separate filings, two separate agencies, and confusing them is the single most common Tennessee LLC mistake.
Tennessee LLCs owe an annual report ($50/member, $300 minimum, $3,000 maximum) filed with the Secretary of State, due April 1 for calendar-year filers — with a 60-day grace period before dissolution risk. Separately, most LLCs owe franchise tax (0.25% of Tennessee net worth, $100 minimum) and excise tax (6.5% of net earnings), filed on Form FAE170 through TNTAP with the Department of Revenue, generally due April 15. Single-member LLCs disregarded for federal tax purposes and owned by an individual are generally exempt from franchise and excise tax — but must still file a return confirming the exemption.
- Annual report fee
- $50/member · $300 min · $3,000 max
- Annual report due date
- April 1 (calendar-year filers)
- Grace period
- 60 days
- Franchise tax
- 0.25% net worth · $100 min
- Excise tax
- 6.5% of net earnings
- Single-member exemption
- Yes — must still file to confirm
Two Filings, Two Agencies
This is the single most common point of confusion for Tennessee LLC owners. There are two genuinely separate obligations here, filed with two separate agencies:
The Annual Report — Secretary of State
$50/member ($300 minimum, $3,000 maximum), due April 1 for calendar-year filers, filed through TNCaB. Confirms your basic entity information.
Franchise & Excise Tax — Department of Revenue
Filed on Form FAE170 through TNTAP, generally due April 15. A real tax on your LLC's net worth and net earnings, applying to most LLCs unless the single-member exemption applies.
Paying one does not satisfy the other. Founders who only track the $300 annual report and never file (or confirm exemption from) the franchise/excise return can end up with real, unexpected tax liability.
Annual Report Calculator
Tennessee Annual Report Calculator
Enter your member count and filing status
Formula: $50 × members, floor $300, ceiling $3,000. Excludes franchise/excise tax, which is filed separately. Educational estimate — confirm with the Secretary of State.
The Single-Member Exemption
Tennessee generally exempts single-member LLCs that are disregarded entities for federal tax purposes and owned by an individual (a natural person) from franchise and excise tax. This is a genuinely valuable exemption — but it's not automatic in the sense of requiring no paperwork at all. You typically still need to file the appropriate return with the Department of Revenue confirming your exempt status. If you later add a member, elect corporate taxation, or your ownership changes, the exemption can be lost — recheck your status whenever your LLC's structure changes.
How to File Both
File the annual report via TNCaB
Confirm your registered agent, principal address, and member count; pay the $50/member fee ($300 minimum) by April 1.
Determine your franchise/excise status
If you're a single-member, individually-owned, disregarded entity, confirm your exemption. Otherwise, prepare to file Form FAE170.
File Form FAE170 via TNTAP if applicable
Generally due April 15. Quarterly estimated payments may apply if you expect to owe a meaningful amount.
If You Miss Either
Missed annual report
A 60-day grace period applies before your LLC drifts toward administrative dissolution.
Missed franchise/excise filing
Even if you owe $0 in tax due to the exemption, failing to file the confirming return can still create compliance issues — file it regardless of whether tax is owed.
Cure
File both overdue obligations as soon as possible through their respective portals — TNCaB for the report, TNTAP for franchise/excise.
Ahmad Adil's Take: if you take away exactly one thing from this Tennessee guide, make it this page. I've watched founders faithfully pay their $300 annual report every year and have no idea a completely separate tax filing existed until a notice arrived. Put both on your calendar as two distinct line items, not one combined "Tennessee fee." Even if you're confident you qualify for the single-member exemption, don't skip the confirming filing — "I thought I was exempt" is not the same as having actually told the Department of Revenue that.
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Tennessee LLC — FAQ
Ahmad Adil is the founder and CEO of LLC School. The figures here — the $300 minimum Articles of Organization, the $300 minimum annual report due April 1, and Tennessee’s franchise and excise tax — reflect current Tennessee Secretary of State and Department of Revenue guidance. This is educational content, not legal or tax advice.
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