Tenn. Comp. R. & Regs. 1320-04-05-.18
Freight, delivery, or other like transportation charges are subject to the Business Tax if title to the property being transported passes to the vendee at the destination point. Where title to the property being transported passes to the vendee at the point or origin, the freight or other transportation charges are not subject to the Tax. It is immaterial whether the vendor or vendee actually pays for any charges made for transportation, whether the charges are actually paid by one for the other, or whether a credit or allowance is made or given for such charges. In cases where a vendor makes a separate charge for delivering tangible personal property in his own vehicle, or makes arrangements for delivering tangible personal property other than by a common carrier, the delivery charges shall be considered a part of the selling price subject to the Tax.
Tenn. Comp. R. & Regs. 1320-04-05-.18
Authority: T.C.A. §§67-5822 and 67-101.