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Retail sales in Tullahoma took an unexpected dip in June 2025 compared to June 2024. Local option sales tax collections in Tullahoma in June 2025 were $1,610,856.18. In June 2024 the collections were $1,670,930.90, a 3.6% decrease.

Tennessee’s sales taxes are generally collected on the retail sale, lease or rental of most tangible goods like clothing, electronics, furniture and jewelry.

The fiscal year for Tullahoma city government ended June 30.  Total sales tax collections for the previous 12 month period were $19,312,960.44, an increase of only .97% over the previous 12 month period. The previous year (2023-24) saw a 5.9% increase in sales tax collections over the 2022-23 fiscal year.

The largest retail sales month in Tullahoma is December, the lowest is March.

In July 2025 there were 36 building permits issued by the Tullahoma Planning Department for a total of $5,507,630.00. Of these, ten were new homes, one for a new construction of a commercial building, and the balance were renovations or additions to residential or commercial buildings.

The average price for the ten new home starts was $273,000. 

In July, there were 15 business licenses issued by City Hall. Of those, three were for out-of-state contractors and four appear to be change of ownership licenses. The balance was either new home-based or new store-front businesses in Tullahoma.