How the Tennessee 1099 tax calculator works
Tennessee has no personal income tax, so a freelancer there pays two federal taxes on net profit, meaning what clients paid minus deductible business expenses: self-employment tax for Social Security and Medicare, and federal income tax. The national 1099 tax calculator shows how each is figured, with the formulas, the 2026 brackets and worked examples at several incomes.
At $100,000 of profit, a single filer owes $14,129.55 of self-employment tax and $8,235.00 of federal income tax, $22,364.55 in all (22.4% of profit). Those amounts are the same in every state without an income tax; the calculator above works them out for your own numbers.
Tennessee's business tax
Tennessee has no personal income tax, but it has a business tax based on gross receipts. A business with less than $100,000 of gross receipts in a jurisdiction doesn't file a business tax return; with $3,000 to $100,000 it needs a minimal activity license from the county or city clerk, who charges a small annual fee.
At $100,000 or more of gross receipts in a jurisdiction, the business files an annual business tax return, so check with your county clerk which license applies to you.
Tennessee vs. neighboring states
The same $100,000 single freelancer in Tennessee and nearby states:
| State | State income tax | Total tax | Take-home pay |
|---|---|---|---|
| Tennessee | $0.00 | $22,364.55 | $77,635.45 |
| Mississippi | $2,985.41 | $25,349.96 | $74,650.04 |
| Kentucky | $3,135.13 | $25,499.68 | $74,500.32 |
| North Carolina | $3,199.39 | $25,563.94 | $74,436.06 |
| Arkansas | $3,238.31 | $25,602.86 | $74,397.14 |
| Missouri | $3,430.62 | $25,795.17 | $74,204.83 |
| Georgia | $3,888.97 | $26,253.52 | $73,746.48 |
| Alabama | $4,381.76 | $26,746.31 | $73,253.69 |
| Virginia | $4,529.68 | $26,894.23 | $73,105.77 |
You generally owe state income tax where you live and work, not where your clients are.
Every state's figure for one example freelancer is in the 1099 tax by state table, which you can sort and download.
Selling a rental property in Tennessee? The Tennessee rental property capital gains tax calculator works out the federal and state tax on the sale, depreciation recapture included.
States with similar income taxes
Tennessee is one of 9 states with no personal income tax. What the closest of them still require:
- New Hampshire: New Hampshire's business profits and enterprise taxes.
- South Dakota: Sales tax on services in South Dakota.
- Texas: the Texas franchise tax.
- Washington: Washington's B&O tax on gross income.
Quarterly estimated taxes for Tennessee freelancers
With no Tennessee income tax, your quarterly estimated payments go to the IRS only, on Form 1040-ES, due April 15, June 15 and September 15, 2026, and January 15, 2027. The "Quarterly payments" view above splits your estimate into equal installments, and the national page explains the safe-harbor rules that avoid an underpayment penalty.
The bottom line
A Tennessee freelancer's 1099 tax bill is mostly federal: on $100,000 of net profit, self-employment tax is $14,129.55 and federal income tax $8,235.00, and Tennessee adds no income tax on earned income. All in, that is $22,364.55, or 22.4% of profit.
Set aside about that share of every payment, pay the IRS each quarter, and rerun the Tennessee 1099 tax calculator when your income changes.
Frequently asked questions
How much should I set aside for taxes as a freelancer in Tennessee?
A single freelancer in Tennessee with $75,000 of net profit would owe about $15,494.90 in 2026, or 20.7%; at $100,000 the estimate is $22,364.55 (22.4%). Setting aside a similar share of every payment you receive, and paying it in quarterly installments, keeps you from facing a large bill and underpayment penalties at filing time.
Does Tennessee have a state income tax?
No. Tennessee has no personal income tax. But Tennessee's business tax requires an annual return once gross receipts reach $100,000 in a jurisdiction.
Do I still pay self-employment tax and estimated tax in Tennessee?
Yes. Both are federal, so they apply in Tennessee as in every state: Tennessee self-employment tax is 15.3% (12.4% for Social Security and 2.9% for Medicare) on 92.35% of net profit, and you pay it with federal income tax through quarterly estimated tax payments due April 15, June 15 and September 15, 2026, and January 15, 2027, so for income tax your Tennessee estimated tax payments all go to the IRS. The national 1099 tax calculator explains both.
Sources and further reading
- Self-employment tax (Social Security and Medicare taxes) (opens in a new tab), Internal Revenue Service
- IRS releases tax inflation adjustments for tax year 2026, including amendments from the One, Big, Beautiful Bill (opens in a new tab), Internal Revenue Service
- Qualified business income deduction (opens in a new tab), Internal Revenue Service
- Estimated taxes (opens in a new tab), Internal Revenue Service
- Contribution and benefit base (opens in a new tab), Social Security Administration
- 2026 State Income Tax Rates and Brackets (opens in a new tab), Tax Foundation
- Business Tax Resources for County Clerks (opens in a new tab), Tennessee Department of Revenue
- Tennessee Department of Revenue (opens in a new tab), State of Tennessee
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