Taxes in Memphis, Tennessee
Complete tax guide for Memphis, TN. No state income tax, 0.71% property tax, 9.75% sales tax. Calculate your total tax burden.
Answer first
Taxes in Memphis, TN: income, FICA, property, and sales tax
For wage-income planning, this page estimates federal income tax, Tennessee state income tax, and FICA. It also shows property-tax and sales-tax estimates because local household tax burden depends on address-level property assessments, sales-tax districts, exemptions, and item categories.
State Income Tax
None
Tennessee
Property Tax
0.71%
Effective rate
Sales Tax
9.75%
Combined rate
Tax Burden
Very Low
Memphis, TN Tax Overview
No state income tax; highest combined sales tax in TN; FedEx HQ
Population
633,104
Median Income
$41,228
Cost of Living
82.5 (100 = avg)
State Income Tax
None
Median Home Price
$165,000
Memphis Tax Calculator
Pre-filled with Memphis median: $41,228
Total Tax Burden in Memphis
$5,921
Take-Home: $35,307 · Effective Rate: 14.36%
Federal Tax
$2,767
6.71% eff.
TN State
$0
0.00% eff.
FICA
$3,154
7.65% eff.
Take-Home
$35,307
85.64% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $41,228.00 | $3,435.67 |
| Federal Income Tax | -$2,767.36 | -$230.61 |
| Tennessee State Tax | $0.00 | $0.00 |
| Social Security (6.2%) | -$2,556.14 | -$213.01 |
| Medicare (1.45%) | -$597.81 | -$49.82 |
| Take-Home Pay | $35,306.70 | $2,942.22 |
Property Tax in Memphis
Median Home
$165,000
Annual Tax
$1,172
Monthly Tax
$98
Effective Rate
0.71%
Sales Tax in Memphis
Combined Rate
9.75%
State Portion
7%
Local Portion
~2.75%
The combined sales tax rate in Memphis is 9.75%, which is above the national average of 7.53%. On a $100 purchase, you would pay $9.75 in sales tax.
Sales and use tax can vary by exact address, district, item category, exemptions, and effective date. Treat this city rate as a planning estimate and verify large purchases with the official state sales-tax lookup or local tax authority.
Tax Burden Comparison
| Tax Type | Memphis | Tennessee Avg | National Avg |
|---|---|---|---|
| Income Tax | None | None | 4.6% |
| Property Tax | 0.71% | ~0.71% | 1.1% |
| Sales Tax | 9.75% | ~9.75% | 7.53% |
| Overall Burden | Very Low | — | Moderate |
About Taxes in Memphis
Memphis has a population of approximately 633,104 residents with a median household income of $41,228. The estimated cost of living index is 82.5 (17.5% lower than the national average of 100).
Local context: No state income tax; highest combined sales tax in TN; FedEx HQ
Tax burden classification: Very Low. Effective combined tax rate of 22% includes federal, state, FICA, property, and sales taxes for a typical Memphis household.
Official Tax Resources for Tennessee
For authoritative Tennessee tax forms, filing deadlines, and the latest legislative updates, consult these official government resources:
- Tennessee Department of Revenue, official state revenue agency
- Tennessee Individual Income Tax Forms, current tax year forms and instructions
- Tennessee Property Tax Information, assessment, exemptions, and appeals
- Tennessee Sales Tax Authority, current sales tax rates and rules
- IRS Federal Tax Forms and Instructions, federal income tax filing
Tax Saving Tips for Memphis Residents
- Tennessee has no state income tax, meaning your income is only subject to federal taxes and FICA. Consider investing your tax savings into a Roth IRA for tax-free growth.
- Property tax in Memphis (0.71%) is below LevyIO's rounded national benchmark of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- The combined sales tax rate of 9.75% is relatively high. Consider making large purchases in lower-tax jurisdictions or online retailers that do not charge local tax rates.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,400 individual, $8,750 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Find Your Local Tax Authority in Memphis
The 0.71% property tax rate shown above is a city-profile effective estimate. Your actual Memphis property tax bill is set by your county assessor and may include additional levies from your school district or special taxing and assessment districts. Use these official lookup tools to confirm exact rates for your specific address:
Look up the county your Memphis address belongs to and find your assessor's office:
- • NACo County Explorer, search by address
- • USA.gov, Tennessee local govt directory
School districts add their own millage rate to property tax:
- • NCES District Locator, federal database
- • NCES School Locator (EDGE)
Special taxing or assessment districts (for example utility, fire, library, or improvement districts, depending on state law) can add levies in parts of Tennessee:
- • Census, Census of Governments
- • Check your tax bill for line items beyond county + school district
Disagree with your assessment? You can appeal:
- • Property Tax Appeal Guide
- • Appeal deadlines vary by state and county; check the deadline printed on your assessment notice
Why this matters: Two homes valued the same in Memphis can pay different property tax depending on which school district and special districts they fall within. Always verify with your specific address, the address-level rate can be higher or lower than the city estimate shown here.
Other Cities in Tennessee
Nashville
LowKnoxville
Very LowChattanooga
Very LowClarksville
Very LowMurfreesboro
Very LowFranklin
ModerateJackson
Very LowSources & Methodology
Federal, FICA, and state income-tax inputs on this page follow official 2026 sources. City-level property-tax rates, median values, cost-of-living index, and burden labels are LevyIO modeled estimates, and local income-tax and sales-tax rates should be confirmed with the local tax authority. Calculations follow the IRS-published 2026 federal tax brackets, FICA rates (6.2% Social Security up to $184,500 wage base, 1.45% Medicare), and Tennessee state tax provisions. Property tax estimates use Memphis's median home value of $165,000and the local effective property tax rate of 0.71%.
- • Federal tax brackets and standard deductions: IRS.gov
- • State income tax rates and brackets: Tennessee Department of Revenue
- • Median household income, home value, and demographics: U.S. Census Bureau ACS
- • Cost of living index: LevyIO modeled estimate (100 = national average); not an official BLS index. Household spending context: U.S. Bureau of Labor Statistics Consumer Expenditure Surveys
- • National average sales tax (7.53%): Tax Foundation, State and Local Sales Tax Rates, Midyear 2026 (population-weighted combined average). Property-tax (1.1%) and state income-tax (4.6%) national figures are rounded LevyIO planning benchmarks.
Disclaimer: Estimates are for informational purposes only. Actual tax liability depends on filing status, deductions, credits, and individual circumstances. Consult a licensed tax professional or your state revenue agency for binding tax guidance.
Reviewed by LevyIO Tax Research Team · Published 2026-01-15 · Last updated 2026-05-27
Calculate Your Full Tennessee Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Reviewed data sources
Reviewed May 27, 2026. Calculations use current public tax guidance and published source data.
1. Enter the tax scenario
Use the filing status, income type, state, payroll, deduction, credit, or transaction details that match the real case.
2. Review assumptions
Check the visible formula context, source notes, related calculators, and federal or state limits before relying on the estimate.
3. Verify before filing
Confirm final tax positions with IRS guidance, state revenue agencies, payroll records, brokerage forms, or a qualified tax professional.
Planning estimate, not tax advice
LevyIO calculators are educational planning tools. Actual federal, state, payroll, property, sales, and local tax results can change with filing status, credits, deductions, residency, employer withholding, address-level rates, and current forms. Verify final filing positions with IRS or state guidance, payroll records, tax software, or a qualified tax professional.
Frequently Asked Questions
What are the tax rates in Memphis, TN?
Memphis, Tennessee has no state income tax. The property tax rate is 0.71% and the combined sales tax rate is 9.75%. No state income tax; highest combined sales tax in TN; FedEx HQ
How much is property tax in Memphis?
The effective property tax rate in Memphis is 0.71%. On the median home price of $165,000, this equals approximately $1,172 per year or $98 per month. This is below LevyIO's rounded national benchmark of 1.1%.
What is the sales tax rate in Memphis?
The combined sales tax rate in Memphis is 9.75%, which includes both state and local components. This is above the Tax Foundation midyear 2026 national average combined rate of 7.53%.
How does Memphis's tax burden compare to other cities?
Memphis has a very low overall tax burden. The effective total tax rate for a median-income household is approximately 22%. The absence of state income tax significantly reduces the overall burden. Estimated cost of living index is 82.5 (100 = national average).
Are there any local taxes in Memphis?
Memphis does not impose a separate local or city income tax. Residents pay no state income tax, federal income tax, and FICA (Social Security and Medicare). No state income tax; highest combined sales tax in TN; FedEx HQ