Steps for Obtaining a Collierville Business Tax License

Business License Application

Commercial Business Inside the Collierville City Limit:

• Obtain a Business License application from the Finance Department
• Complete the Business License application and the Collierville Police and Fire Contact Form
• Must have a copy of the business owner’s driver’s license
• Pay the $30.00 application fee with cash or check
• Finance will submit a copy of the application to the Planning, Codes and Fire Department.
• Planning, Codes and Fire will verify the zoning and determine if permits/inspections/approvals are required.
• Finance will issue business license

If you are a commercial business inside the Collierville city limits and you are mailing your application for a business license, mail your Business License application, $30.00 payment, copy of the business owner's driver's license and the Collierville Police and Fire Contact Information form to:

Town of Collierville
Attn: Business Tax
500 Poplar View Parkway
Collierville, TN 38017

Liability of Purchaser

As per Tennessee Annotated Code 67-4-721, the successor of a business shall withhold sufficient funds to cover the amount of any taxes due including penalty and interest until the former owner produces a receipt showing the taxes as paid. The purchaser shall be personally liable for the taxes, penalties and interest until paid by the former owner.

Home Occupation Applicants and Applicants
Outside the Collierville City Limit Applicants:

Drop off or mail the business application to Collierville Town Hall, Attn: Business Tax, 500 Poplar View Parkway, Collierville, TN 38017 along with the $15.00 application fee which can be paid with cash or check and a copy of the business owner’s driver’s license. If the business is inside the Collierville city limits and home based, you must sign the top of the application acknowledging that you received and read the attached Home Occupation Ordinance and agree to operate your home-based business according to the adopted regulation. If your business is located outside of Collierville and within the State of TN and your company does more than$50,000.00 in Collierville in a taxable year, you are required to have a Collierville Business License.  Contractors are required to show proof of their Business License from their permanent domicile (business location).

Make checks payable to: Town of Collierville
NOTE: These fees are non-refundable

Out of State Contractors Information

1. Contractors who are based out of the State of Tennessee and come into the Town of Collierville to perform a job must obtain a Town of Collierville and Shelby County Business license and pay the appropriate application fee if anticipated gross receipts are $3,000.00 or more per year.  Tennessee Code Annotated 67-4-706.
2. Out of State Contractors MUST also complete ONE of the following tasks.

Bond:

Obtain a bond executed by two (2) good and sufficient sureties, approved by the county or municipal clerk, or by a surety company duly authorized to do business in this state.  Such bond or escrow account shall be in an amount sufficient to pay such person's anticipated business tax liability for the balance of the tax period for which such license applies, such liability to be determined by the county or municipal clerk, and may be called by the state in the event of failure by such person to pay such tax as may be due.  Tennessee Code Annotated 67-4-707.  The bond posted must be made payable to both the Town of Collierville and the State of Tennessee.

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Cash Escrow Account:

Establish a $100.00 cash bond for contract(s) over $3,000.00 and under $100,000.  Only cash or certified funds will be accepted. This amount is in addition to the business license application fee.  This escrow must be updated if the amount of the contract(s) has increased.

For contract(s) over $100,000 pay 1/10 of 1% (0.001) of the job(s).  Only cash or certified funds will be accepted.  This amount is in addition to the business license application fee.  This escrow must be updated if the amount of the contract(s) has increased.

The Town of Collierville shall not refund said money except upon written request by contractor and notification by the State of Tennessee that a final return has been properly filed and said Business Tax liability has been satisfied.

If you have any questions, please call (901)457-2280 or email This e-mail address is being protected from spambots. You need JavaScript enabled to view it  

Closing your Business

In the event you should need to close your business license you will need to do so within 15 days of the business ceasing to operate. Failure to do so will result in accrued penalties and interest. As per Tennessee Annotated Code 67-4-721, the successor of a business shall withhold sufficient funds to cover the amount of any taxes due including penalty and interest until the former owner produces a receipt showing the taxes as paid. The purchaser shall be personally liable for the taxes, penalties and interest until paid by the former owner.

When a business closes, it is necessary to file a final return with the Tennessee Department of Revenue within 15 days.  Please contact the Tennessee Department of Revenue at 800-342-1003 or 615-253-0600 to receive the appropriate forms to properly close out your business.  Please be aware this applies if there is a change of ownership or corporate structure within your business.

Helpful Information for Starting a Business in Collierville

• If you have a business in Collierville you are also required to have a Shelby County Business License.
  To obtain a Shelby County business license application, please call Shelby County ’s Business Tax office at (901) 545-4249, or visit their website .
• Town of Collierville Sign Ordinance
  The Town of Collierville has certain regulations on the size, design, lighting, and construction of exterior business signs. Information concerning the requirements and compliance of a proposed sign may be obtained from the Town of Collierville Planning Department. Please call (901) 457-2360 for further details.
• Shelby County Assessors Office (Personal Property Tax)
  This personalty tax is imposed on a business’ tangible personal property located within the Town of Collierville and Shelby County. Information concerning the applicability of this tax may be obtained by calling the Shelby County Assessor’s office at (901) 379-7311, or visit their website .
• Shelby County Health Department
  If your business operation in any way involves the purchase, processing, or sale of food items or the cutting, styling or care of hair, a permit may be required by the Shelby County Health Department. Information concerning the requirements and application process may be directed to the County Health Department at (901) 544-7600.
• State of Tennessee Department of Revenue (Sales Tax Registration)
  All prospective businesses should contact the Tennessee Department of Revenue to determine the applicability and tax regulations of the proposed business in question. The Tennessee Department of Revenue may be reached at (901) 213-1400, or visit their website .
• Employer’s Federal Identification Number
  A business operating as a sole proprietorship with no hired employees may satisfy the reporting requirements of the federal government under the Social Security Number of the proprietor. However, a partnership, small business corporation or any business operation with one or more hired employees must obtain an Employer’s Federal Identification Number from the federal government. Applications may be made to the Internal Revenue Service (IRS) on Form SS-4 available from the IRS office. A request for publications 15, 17 and 334 for information concerning record keeping and reporting requirements for small businesses are also available from the IRS. Please call the IRS at (901) 546-3920 or 1-(800) 424-1040.
• Secretary of State of Tennessee (Corporate Division)
  Any small business which has elected to conduct operations as a business corporation must be aware of the strict requirements for a corporations creation, maintenance of its status, and additional reporting and tax obligations at both the State and Federal levels. Competent legal advice is strongly recommended before making a commitment to create and maintain a small business corporation. For information, please call the Secretary of State’s office at (615) 741-2286, or visit their website .
• Tennessee Department of Employment Security
  Generally speaking, an owner/operator of a small business is not an employee of that business. If the business hires someone to work for an agreed compensation, that individual may be an employee. The hiring of an employee may require quarterly reporting and remittance to the State. Information concerning the applicability of state employment and regulations can be obtained by contacting the Tennessee Department of Employment Security at (901) 543-7543 or (800) 334-8337.
• Workman’s Compensation Insurance
  Tennessee law requires any employer with five or more employees to provide protection under the State’s workers compensation insurance laws. Information concerning this requirement and its compliance may be obtained by contacting the Tennessee Department of Labor at (901) 543-7272 or (800) 332-2667.

Reporting Periods and Rates