I'm Doug, and I'm sorry to hear of the confusion. My goal is to provide you with excellent service today.
Because TN will not be seeking income tax from the income you earn while physically working in TN, that eliminates pretty much all of the potential for any violation of law on your part.
The IRS doesn't care what state you are in, and while you will file your federal return showing TN as your state of residence, your employer will not see your return.
Social security and other withholding will all work just fine as well. Physical residence is not an issue there.
The only issue I see is that because your employer will be paying workers compensation
benefit premiums in the wrong state, you will most likely not have any coverage---or you could expect a big fight if you applied for benefits, if you were to injure yourself on the job or need to file for unemployment.
So, I see that as the only downside to your plan as concerns you. Potential issues your employer might face are separate and I won’t cover them here----but as long as your employer is in the dark about your actual place of employment (in this case your residence), they will have a viable defense if the state of TN comes after them for to not providing workers' compensation and unemployment in TN for you.
You may reply back to me using the Reply link and I will be happy to continue to assist you until I am able to address your concerns, to your satisfaction.
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I wish you and yours the best in 2015,