The Facts on Local Option Sales Tax:

• Local Option Sales Tax is a 1% sales tax on the purchase of goods and services within the City of Knoxville.
• Anyone (resident or visitor) purchasing taxable goods and services in Knoxville pay the 1% sales tax. This includes Tourists, Visitors and those who spend money in Knoxville. This group provides a substantial amount of revenue under this tax.
• The City of Knoxville has had a 1% Local Option Sales Tax in effect since 2004. On November 2, 2021 the Local Option Sales Tax was renewed with no sunset. 
• This Tax will continue to enable the City of Knoxville to fund capital improvement projects which may include street improvements, park and trail improvements, public safety facilities, economic development, purchases of capital equipment, and other community betterment projects. All without increasing regular property taxes.
• 50% of the Local Option Sales Tax will be allocated towards property tax relief. Tax relief can be reducing property tax rate or avoiding an increase, or both.

A list of FAQ is available here