Taxes - As introduced, repeals the professional privilege tax for tax years that begin on and after June 1, 2026. - Amends TCA Title 67, Chapter 4, Part 17.

SB 397 repeals a $400 annual privilege tax for licensed professionals in Tennessee, effective for tax years beginning June 1, 2026, and later. It directly affects individuals licensed in professions subject to this tax, such as lawyers, accountants, and engineers. The bill replaces the current $400 tax rate with a $0 rate for tax years ending after May 31, 2026, while ensuring no tax is due for the 2026-2027 tax period. It does not affect taxes owed for years ending before June 1, 2026.