Rules & Regulations of the State of Tennessee
Title 1320 - Revenue
Subtitle 1320-04 - Miscellaneous Tax Division
Chapter 1320-04-05 - Business Tax Rules and Regulations
Section 1320-04-05-.38 - PUBLIC WAREHOUSING AND STORAGE

(1) Persons engaged in the business of warehousing and storage of any tangible personal property belonging to others for a charge or fee are rendering services and are taxable under the Business Tax Act. Gross sales shall include all charges made for such service and shall include charges for crating, boxing, and packaging used in the performance of these services. Receipts from the sale of any tangible personal property made by the warehouseman to satisfy a warehouseman's lien on account of storage or service charges shall likewise be included in gross receipts in establishing the Business Tax base. This Rule applies also to persons operating grain elevators, tobacco warehouses and like facilities where charge is made for services rendered.

(2) Persons operating a warehouse and, in addition, leasing space within the warehouse without furnishing any services to the lessee of the space may exclude the receipts for such leases from the gross sales subject to the Business Tax, or deduct them from the gross sales if the receipts are included in the gross sales reported on the Business Tax return.