Tenn. Comp. R. & Regs. 1320-05-01-.33
When a dealer leases certain of its departments to other persons selling tangible personal property or taxable services to consumers, each such lessee shall make separate monthly returns and remittances if the lessee keeps his own records and makes his own collections on retail sales from such leased department. If the lessor of such departments keeps the records for the leased departments and makes collections of their accounts, the lessor may, as agent for the lessees, include on his own returns the retail sales and taxable purchases for such departments and pay the taxes due. A lessee shall not be relieved of his liability under the Act in case the lessor fails to make the proper returns or fails to pay the taxes due.
Tenn. Comp. R. & Regs. 1320-05-01-.33
Authority: T.C.A. §§ 67-1-102 and 67-6-402.