Amends TCA Title 67, Chapter 4 and Title 67, Chapter 6.

Present law establishes the percent and manner in which state sales tax revenue is to be distributed to municipalities. Generally, 4.6030 percent of the revenue is appropriate to the several incorporated municipalities to be allocated and distributed to them monthly by the commissioner of finance administration, in the proportion as the population of each municipality bears to the aggregate population of all municipalities within the state. Present law provides for several special allocations in lieu of the general allocation to municipalities. This bill creates a special allocation as an alternative to and in lieu of the allocation described above. Under this bill, a county for which a major disaster declaration was approved by the president of the United States for severe storms and flooding that occurred on or about August 21, 2021, will receive 4.6030 percent of the tax actually collected and remitted by dealers within the boundaries of the county. A distribution made to such county will be earmarked and paid from the general fund. This provision will apply for fiscal years 2022-2024, and will expire at the end of fiscal year 2024. Generally under present law, a person receiving disaster assistance through FEMA for repair, replacement, or construction of the person's primary residence that was damaged or destroyed as a result of a natural disaster occurring in this state is entitled to a refund equal to the total amount of state and local sales and use tax paid by the claimant to one or more retailers as a result of the claimant's purchases of major appliances, residential furniture, or residential building supplies from such retailers; provided, that the total amount refunded in connection with any one residence must not exceed $2,500. Under this bill, in a county for which a major disaster declaration was approved by the president of the United States for severe storms and flooding that occurred on or about August 21, 2021, the total amount available for refund will be $3,500. Also under this bill, a claimant will be limited to one refund claim for a primary residence and one refund claim for one secondary residence. This provision will be repealed on April 1, 2023, but all claims filed before such date must be processed.