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Exemptions From The License Requirement

Board for Licensing Contractors

Exemptions From The License Requirement

Exemptions from the contractor's license requirement is outlined in the laws, rules and regulations, and applies to individual use, non-profit organizations, Department of Transportation's special let highway projects and federal projects. For example

  • A homeowner of the residential property may perform work themselves ( individual use), without a contractor's license, as long as the residential structure is not open to the public; or for sale, lease or rent).
    • Allowed one homeowner permit once every two (2) years.
    • Anyone hired by the property owner is required to be licensed if they perform $25,000 or more of the work, as these contractors would be considered prime contractors since they are contracting directly with the owner. 
  • Members of a church may build a single residence for a preacher without a contractor's license; or they may construct a storage building for their individual use, as long as this structure is not open to the public, for sale, lease or rent.
    • Members of a church would not be allowed to construct a church building, when the total cost is $25,000 or more, since the building is open to the public.
  • A non-profit organization with a 501(c) federal exemption, may build single residences without a contractor's license.
    • They must follow local requirements for permits and inspections.
  • Federal Projects - A state license is not required for 100% federal projects (all federally funded and on federal land), unless required by the federal government awarding authority. See AG opinion 92-39 . 
     

To review all exemptions, see T.C.A. § 62-6-102, 103 and Rule 0680-1-.22, 27