Tennessee § 7-39-405 - Payment of tax equivalents.
Full text of Tennessee Tennessee Code Annotated § 7-39-405 — Payment of tax equivalents., with citation guidance and answers to common questions.
§ 7-39-405. Payment of tax equivalents.
The municipality's governing body, in the resolution provided for in § 7-39-404(4), shall direct payment of the amounts to be paid as tax equivalents to the taxing jurisdictions in which its gas plant in service is located in accordance with and subject to any terms, conditions, contracts or agreements now in effect. Notwithstanding any private act or home rule charter, or any part thereof, relating to the distribution of payments in lieu of taxes, unless a written agreement was executed prior to April 2012, or becomes effective on the first day of any fiscal year thereafter, by another taxing jurisdiction and a municipality, located in any county having a charter form of government, that owns and operates a gas system, and such written agreement provides for a different payment, then each taxing jurisdiction shall receive a payment that is equal to that portion of the total tax equivalent payment that is calculated using each such taxing jurisdiction’s tax rate pursuant to § 7-39-404(1)(A). Acts 1987, ch. 220, § 6; 2012, ch. 984, § 1. Attorney General Opinions. Constitutionality of amendments by Acts 2012, ch. 984. OAG 12-72, 2012 Tenn. AG LEXIS 77 (7/18/12).
Source: official Tennessee text · Last verified 2026-08-27
Frequently Asked Questions About Tennessee § 7-39-405
What does Tennessee Code Annotated § 7-39-405 cover?
Section 7-39-405 ("Payment of tax equivalents.") is part of the Tennessee Code Annotated, the codified statutory law of Tennessee. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Tennessee § 7-39-405?
A common citation format is "Tennessee Code Annotated § 7-39-405" (Tennessee). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Tennessee law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Tennessee official source linked on this page or consult a licensed Tennessee attorney.
How does Tennessee § 7-39-405 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Tennessee can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Tennessee.