AN ACT to amend Tennessee Code Annotated, Title 4; Title 47 and Title 67, relative to tickets.
SB2125 creates the “Tennessee Live Music Support Act” and establishes a new 5% assessment on tickets sold through the secondary ticketing market for live music and performance events held in Tennessee. The bill defines covered events broadly to include non-sports events centered on live music, electronic music, comedy, dance, theater, and other creative performances, and it applies to tickets sold by third-party resellers rather than by original issuers or authorized primary sellers.
The assessment would begin for collection periods on or after July 1, 2027. Third-party ticket resellers would be required to register with the Department of Revenue, file monthly returns, and remit the assessment; the department would administer the program and could adopt rules to implement it. Revenue collected, after administrative and enforcement costs, would be deposited into the live music and performance venue fund and used for purposes already authorized for that fund, including economic development support grants for live music and performance venues, promoters, and performers. The bill also provides penalties and interest for noncompliance and makes the act severable.
The bill would add a new part to Title 67, Chapter 6 of the Tennessee Code and create a new tax-like assessment on secondary-market ticket sales for qualifying live music and performance events. It shifts compliance obligations to third-party ticket resellers, who would have to register with the Department of Revenue, collect the 5% charge, and file monthly reports. It also ties the new revenue stream to the live music and performance venue fund created in Title 4, directing proceeds to support the state’s live entertainment ecosystem.
No committee transcripts or recorded votes were provided, so there is no direct evidence of debate, amendment activity, or formal support/opposition in the available record. Based on the bill text alone, the measure appears designed as an industry-support proposal rather than a general revenue measure, with a stated purpose of funding live music and performance venues and related participants. The overall framing suggests a policy rationale focused on economic development and cultural support.
The main likely point of contention is the 5% assessment on secondary ticket sales, which could be viewed by ticket resellers and consumers as an added cost on resale transactions. Another possible issue is the bill’s broad coverage of “live music and performance events,” which extends beyond concerts to comedy, theater, dance, and electronic music, potentially affecting a wide range of entertainment markets. Because the assessment is imposed on third-party resellers rather than individual users, compliance burdens and market effects on resale platforms are also likely areas of concern.