Taxes, Privilege - As introduced, specifies that the privilege tax exemption for subsidiaries of agricultural cooperatives applies without regard to whether the subsidiary was formed as a corporation, limited liability company, limited liability partnership, or other legal entity, association, or body vested with the power or function of a legal entity. - Amends TCA Title 43, Chapter 16, Part 1 and Section 67-4-102.

SB 131 modifies Tennessee's tax code to expand a privilege tax exemption for subsidiaries of agricultural cooperatives. It ensures these subsidiaries qualify for the exemption regardless of their legal structure (e.g., corporation, LLC, or partnership), as long as they are controlled by a Tennessee agricultural cooperative and any profits benefit the cooperative. This directly affects agricultural cooperative subsidiaries operating in Tennessee, removing a potential tax burden tied to their organizational form. The bill clarifies that such subsidiaries are not subject to business privilege taxes when their profits support the cooperative's agricultural activities. The change aims to simplify tax treatment for these entities while maintaining the legislative intent to support Tennessee's agricultural sector.