House Bill 714 amends Tennessee Code Annotated, Title 67, Chapter 6, to establish a new sales tax remittance schedule aimed at alleviating the financial burden on merchants associated with transaction fees from credit and debit card sales. The bill mandates that the commissioner, in consultation with the state treasurer, create a schedule that allows dealers to retain collected sales tax for a specified period, enabling them to offset the costs of transaction fees before remitting the tax to the state. The holding time for the sales tax will be determined based on several factors, including the state's total sales tax remittance from the previous year, the percentage of card transactions, and the risk-free federal funds rate.

Additionally, the bill stipulates that the commissioner will monitor the holding time every six months to ensure its appropriateness. Importantly, the legislation does not require any changes to the current processes or forms used by the department for collecting and remitting sales tax, aside from the establishment of this extended timeframe for remittance. The act is set to take effect upon becoming law, emphasizing the need for fairness in the tax collection process for Tennessee's merchants.