Tennessee physicians with active licenses are required to pay an annual professional privilege tax by June 1. Invoices are not distributed and email reminders are sent only if a physician joined an email list with the Department of Revenue.
Exemptions from Payment of the Tax
All physicians with active licenses are responsible for the tax, with three exceptions:
- Filing an affidavit of retirement with the appropriate licensing board before the June 1 due date; or
- Inactivation of the medical license (available only for physicians practicing solely outside of Tennessee); or
- Active military service.
How to Pay the Tax. To electronically file the professional privilege tax return, you must have your professional privilege tax account number. If you do not know your account number, you can the online look-up on the Tennessee Department of Revenue's website. Once the tax is paid, you can print a confirmation page for your records. This is the only chance you will have to print this confirmation.
Penalty for Nonpayment. A licensee who does not pay the tax is usually assessed a monetary penalty by the Department of Revenue. Continued nonpayment of the tax could result in the revocation of an individual's license.
If you are an office or firm and will be submitting a payment on behalf of multiple employees, you have the option of submitting a bulk file so that you do not have to submit separate payments for each individual. Please view the documents below to learn about this process:
- Professional Privilege Tax Bulk Filing Guide
- Application for Professional Privilege Tax Bulk Filing
- Professional Privilege Tax Bulk File Format
- Professional Privilege Tax Bulk Filing Abbreviations
To view frequently asked questions about this tax, please click here.