For the first time, Tennesseans can see which corporations received checks from the state as part of Gov. Bill Lee’s controversial $1.5 billion tax refund program—but only for a few more weeks.
Since May 31, the Tennessee Department of Revenue has been publishing a list of businesses that were awarded franchise tax refunds under a 2024 law signed by Gov. Lee and backed by Republican lawmakers. The law eliminated the property-based portion of the state’s franchise tax and allowed companies to retroactively claim refunds on past payments—without any court ruling or formal lawsuit requiring the change.
The list will remain public only until June 30, giving the public a brief window to review which businesses benefited from what critics call the largest corporate handout in Tennessee history.
The Department of Revenue’s site categorizes refund recipients by company name and refund size:
- $750 or less
- $751 to $10,000
- More than $10,000 Companies with pending refund requests are listed by name only.
While the law’s supporters argued the refunds were legally necessary to avoid lawsuits under the dormant commerce clause, critics (including Democratic lawmakers and tax experts) say no court decision ever mandated the change. Instead, they claim the state caved to pressure from corporate lobbyists following a letter (not a ruling) from corporate attorneys.
State Rep. John Ray Clemmons (D-Nashville) and Sen. Jeff Yarbro (D-Nashville) had proposed an alternative approach based on Supreme Court precedent that, according to their legislation’s fiscal note, would have protected the state from lawsuits without blowing a hole in the budget.
“Our budget has doubled since Republicans took control in 2011, yet our roads are crumbling, our schools remain underfunded, and health care access has declined,” Clemmons said. “This $1.5 billion giveaway was quietly approved, and now working families are left paying the price while CEOs collect checks.”
According to state data, corporate tax collections have dropped by nearly $860 million compared to last year, with revenues $400 million below budget projections. The tax overhaul also granted an ongoing $400 million annual corporate tax cut, amounting to $4 billion in lost revenue over the next decade.
Sen. Heidi Campbell (D-Nashville) called the refund program a “billion-dollar refund scheme” and said the disclosure offers a rare moment of transparency. “Tennesseans deserve to know who profited at their expense,” she said. “While our public services suffer, the state is writing checks to companies—most of them based outside Tennessee.”
Indeed, public records suggest that over half of the refund dollars are expected to go to corporations headquartered out of state.
Adding to the controversy is the temporary nature of the disclosure. Under the law, the list of companies will be deleted from public view on June 30, and individual refund claims will remain permanently confidential.
Critics say the limited transparency window is by design. “It’s fiscal mismanagement in the dark,” Campbell said. “Once the list disappears, so does public accountability.”
The list of corporate refund recipients is currently available at the Tennessee Department of Revenue’s website, but residents have until the end of June to view it before the page is taken down.
