SCHEDULE 14A INFORMATION

Proxy Statement Pursuant to Section 14(a)of the Securities Exchange Act of 1934
(Amendment No. )
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Filed by the Registrant [X]
Filed by a Party other than the Registrant [ ]

Check the appropriate box:

[ ] Preliminary Proxy Statement

[ ] Confidential, for Use of the Commission Only (as permitted by Rule
14a-6(e)(2))

[X] Definitive Proxy Statement

[ ] Definitive Additional Materials

[ ] Soliciting Material Pursuant to ss. 240.14a-12

TENNESSEE VALLEY FINANCIAL HOLDINGS, INC.
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(Name of Registrant as Specified In Its Charter)

- --------------------------------------------------------------------------------
(Name of Person(s) Filing Proxy Statement, if other than the Registrant)

Payment of Filing Fee (Check the Appropriate box):

[X] No fee required

[ ] Fee computed on table below per Exchange Act Rules 14a6(i)(4) and 0-11.

1. Title of each class of securities to which transaction applies:

2. Aggregate number of securities to which transaction applies:

3. Per unit price or other underlying value of transaction computed
pursuant to Exchange Act Rule 0-11 (Set forth the amount on which the
filing fee is calculated and state how it was determined):

4. Proposed maximum aggregate value of transaction:

5. Total fee paid:

[ ] Fee paid previously with preliminary materials.

[ ] Check box if any part of the fee is offset as provided by Exchange Act Rule
0-11(a)(2) and identify the filing for which the offsetting fee was paid
previously. Identify the previous filing by registration statement number,
or the Form or Schedule and the date of its filing.

1) Amount Previously Paid:
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2) Form, Schedule or Registration Statement No:
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3) Filing Party:
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4) Date Filed:
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TENNESSEE VALLEY FINANCIAL HOLDINGS, INC.
401 South Illinois Avenue
Oak Ridge, TN 37830
April 4, 2005
To the Shareholders of
Tennessee Valley Financial Holdings, Inc.,

You are cordially invited to attend the annual meeting of shareholders of
Tennessee Valley Financial Holdings, Inc. (the "Company"), which will be held at
our main office located at 401 South Illinois Avenue, Oak Ridge, Tennessee
37830, on Tuesday, April 26, 2005, at 6:30 p.m., Eastern Time.

At the meeting, you will be asked to:

o elect nine (9) directors to serve until the next annual meeting of
shareholders and until their successors are elected and qualified;

o ratify the appointment of Pugh & Company P.C., Certified Public
Accountants, as auditors for the Company for 2005; and

o transact other business that properly comes before the meeting or any
adjournment of the meeting.

We have enclosed a notice of the annual meeting of shareholders, a proxy
statement, and a form of proxy. The matters listed in the notice of annual
meeting are more fully described in the proxy statement.

It is important that your shares are represented and voted at the meeting,
regardless of the size of your holdings. Accordingly, we would appreciate your
completing the enclosed form of proxy whether or not you plan to attend the
meeting. If you are present at the meeting and wish to vote your shares
personally, your form of proxy can be revoked upon your request prior to
balloting.

We urge you to return your form of proxy by mailing it in the enclosed
postage-paid envelope to be received no later than 5:00 p.m. on April 26, 2005.

This proxy statement incorporates documents by reference which are not
presented herein or delivered herewith. These documents include our annual
report on Form 10-KSB for the year ended December 31, 2004 as filed with the
Securities and Exchange Commission. These documents are available on request
without charge from Jason Wilkinson, Vice President, Tennessee Valley Financial
Holdings, Inc., 401 South Illinois Avenue, Oak Ridge, Tennessee 37830, telephone
number 865-483-9444. In order to ensure timely delivery of the documents, any
request should be made by April 19, 2005.

Sincerely yours,

/s/ Thomas E. Tuck

Thomas E. Tuck
President and Chief Executive Officer

TENNESSEE VALLEY FINANCIAL HOLDINGS, INC.
401 South Illinois Avenue
Oak Ridge, TN 37830

NOTICE OF ANNUAL MEETING OF SHAREHOLDERS

April 4, 2005

Notice is hereby given that the Annual Meeting of Shareholders (the
"Meeting") of Tennessee Valley Financial Holdings, Inc., a Tennessee banking
corporation (the "Company"), will be held April 26, 2005 at 6:30 p.m. local
time, at the Company's Main Office located at 401 South Illinois Avenue, Oak
Ridge, Tennessee 37830, for the following purposes:

1. To elect nine (9) directors to serve until the next annual meeting of
shareholders and until their successors are elected and qualified;

2. To ratify the appointment of Pugh & Company P.C., Certified Public
Accountants, as auditors for the Company for 2005;

3. To transact such other business as may properly come before the
meeting or any adjournment thereof.

Only those shareholders of record at 5:00 p.m., local time, on March 24,
2005, are entitled to notice of and to vote at the Meeting. Each shareholder,
even though he or she now plans to attend the Meeting, should execute and return
the enclosed proxy without delay. A self-addressed postage prepaid envelope is
enclosed for this purpose. Any shareholder present at the Meeting may vote
personally on all matters brought before the Meeting and, in that event, his or
her proxy will not be used. A proxy may be revoked at any time, insofar as the
authority granted thereby has not been exercised, by filing with the Secretary
of the Company, a written revocation or duly executed proxy bearing a later
date.

This proxy statement incorporated documents by reference which are not
presented herein or delivered herewith. These documents are available on request
without charge from Jason Wilkinson, Vice President, Tennessee Valley Financial
Holdings, Inc., 401 South Illinois Avenue, Oak Ridge, Tennessee 37830, telephone
number 865-483-9444. In order to ensure timely delivery of the documents, any
request should be made by April 19, 2005.

By Order of the Board of Directors

/s/ Mark Holder
--------------------------------------------------
Mark Holder, Secretary

Oak Ridge, Tennessee
Dated: April 4, 2005

PROXY STATEMENT
OF
TENNESSEE VALLEY FINANCIAL HOLDINGS, INC.
FOR THE ANNUAL MEETING OF ITS SHAREHOLDERS
TO BE HELD APRIL 26, 2005

General

This proxy statement is being furnished to the holders of common stock, par
value $1.00 per share ("Common Shares"), of Tennessee Valley Financial Holdings,
Inc., a Tennessee corporation (the "Company"), in connection with the
solicitation of proxies by the Board of Directors of the Company for use at the
annual meeting of shareholders of the Company to be held on April 26, 2005, at
6:30 p.m., local time, at the Company's main office, 401 South Illinois Avenue,
Oak Ridge, Tennessee and at any adjournment or adjournments thereof (the
"Meeting").

This proxy statement and the accompanying form of proxy are first being
mailed to shareholders of Tennessee Valley Financial Holdings, Inc. on or about
April 4, 2005.

Voting

Shareholders of the Company of record at the close of business on March 24,
2005, the record date designated by the Board of Directors, will be entitled to
notice of and to vote at the Meeting. On that date, the Company had outstanding
533,618 Common Shares.

The presence in person or by proxy of the holders of a majority of the
issued and outstanding Common Shares entitled to vote at the Meeting is
necessary in order to constitute a quorum. At the Meeting, the Company's
shareholders will vote

o to elect nine directors;

o to ratify the appointment of Pugh & Company, P.C. as the Company's
independent auditors for 2005; and

o to transact other such business that properly comes before the meeting
or any adjournment of the meeting.

The election of each of the nominees to the Board of Directors of the
Company will require the affirmative vote of a plurality of the Common Shares
voting at the Meeting. The affirmative vote of a majority of the Common Shares
present or represented at the meeting, if a quorum exists, is required to ratify
the appointment of Pugh & Company, P.C., as the Company's independent auditors
for 2005. Abstentions and broker non-votes are counted as present for purposes
of determining the presence or absence of a quorum for the transaction of
business. Abstentions and broker non-votes will have no effect on the outcome of
the election of directors.

Each holder of the Common Shares is entitled to one vote for each Common
Share held on all matters submitted before the Meeting or any adjournment or
adjournments thereof. Cumulative voting is not provided for in the election of
directors.

Common Shares represented by properly executed proxies, unless previously
revoked, will be voted in accordance with the instructions on such proxies. If
no instruction is indicated on the proxy, the named holders of the proxies will
vote such Common Shares in favor of all nominees named in this Proxy Statement,
and the ratification of the selection of independent auditors. The named holders
of proxies also will use their discretion in voting the Common Shares in
connection with any other business that properly may come before the Meeting.

Any shareholder who sends in a proxy has the power to revoke that proxy any
time prior to the exercise of the proxy by giving written notice to the
Secretary of the Company at its executive offices located at 401 South Illinois
Avenue, Oak Ridge, Tennessee 37830. Shareholders also may revoke proxies either
by a later dated proxy, if the Company receives such proxy prior to the exercise
of the prior proxy, or by attending the Meeting and voting in person.

Proxies are being solicited by and on behalf of the Board of Directors. The
Company will pay the total expense of preparing, assembling, printing, and
mailing proxies and proxy solicitation materials. It may be that, following the
original solicitation; some further solicitation will be made by telephone or
other communications with some shareholders. Officers and directors of the
Company, who will not receive additional compensation for such activities, will
make all such further solicitation.

Information Regarding Certain Beneficial Owners

The following table sets forth certain information concerning the beneficial
ownership of the Common Shares by (i) directors and persons nominated to become
directors of the Company and executive officers of the Company, and (ii)
directors and executive officers of the Company as a group. There are no persons
known to the Company to be the beneficial owners of more than 5% of the
outstanding Common Shares of the Company. The information shown in this table is
based on information provided to the Company as of March 24, 2005.

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Amount and
Nature of
Beneficial
Number Ownership
of Percent of
Name of Beneficial Owner (1) (2) Shares Class
- ------------------------------- ---------- ------------
J. Michael Anderson 10,000 1.87%
350 N. Illinois Ave.
Oak Ridge, TN 37830

Larry Beeman 10,100 1.89%
687 Emory Valley Road, Suite A
Oak Ridge, TN 37830

A.P. Cappiello 6,667 1.25%
100 Tulsa Road, Suite 28
Oak Ridge, TN 37830

Victor I. Dodson 24,485 4.59%
335 Warehouse Road
Oak Ridge, TN 37830

Mark B. Holder (3) 1,600 0.30%
401 South Illinois Avenue
Oak Ridge, TN 37830

J. Frank Jamison 11,000 2.06%
673 Emory Valley Road
Oak Ridge, TN 37830

Terry L. Kerbs 9,000 1.69%
10613 Dutchtown Rd.
Knoxville, TN 37932

Thomas D. Moye 1,500 0.28%
12408 Sparta Lane
Knoxville, TN 37922

Thomas E. Tuck (4) 21,950 4.11%
401 South Illinois Avenue
Oak Ridge, TN 37830

Jason Wilkinson 0 0.00%
401 S. Illinois Avenue
Oak Ridge, TN 37830

W. Robert Witt 1,724 0.32%
1242 Weisgarber Road
Knoxville, TN 37917

(ii) Directors and executive officers as a group (5) 98,026 18.37%

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(1) Includes shares beneficially owned, directly or indirectly, together
with associates. Also includes shares held as trustee and held by
custodian by minor children. Shares subject to options are treated as
issued and outstanding for the purpose of computing the percent class
owned by such person or group but not for the purpose of computing the
percent class owned by any other person or group.

(2) Business Address.

(3) Includes 1,500 shares issuable upon the exercise of options.

(4) Includes 7,400 shares issuable upon the exercise of options.

(5) Includes 12,900 shares issuable upon the exercise of options.

Election of Directors (Proposal 1)

The terms of the present Board of Directors of the Company expire annually.
At the Meeting the following persons, all of whom are members of the present
Board of Directors, are nominees for election. Each director elected at the
Meeting will hold office until the annual meeting of shareholders held in 2006
or until his successor is elected and qualified.

J. Michael Anderson Victor I. Dodson Dr. Thomas D. Moye, Jr.
Larry Beeman J. Frank Jamison Thomas E. Tuck
A.P. Cappiello Terry L. Kerbs William Robert Witt

Unless contrary instructions are received, the enclosed proxy will be voted
in favor of the election as directors of the nominees listed above. Each nominee
has consented to be a candidate and to serve, if elected. While the Board has no
reason to believe that any nominee will be unable to accept nomination or
election as a director, if such an event should occur, the proxy will be voted
with discretionary authority for a substitute or substitutes as shall be
designated by the current Board of Directors.

The Board recommends that the shareholders vote FOR the proposed nominees.

Management of the Company

The following table sets forth the names and certain information, as of
December 31, 2004, concerning the directors and executive officers of the
Company and TNBANK, our wholly-owned subsidiary (the "Bank"). Officers serve at
the discretion of the Board of Directors. There are no family relationships
between the directors and executive officers of the Company. None of the
directors or executive officers serves as directors of any company which has a
class of securities registered under, or which is subject to the periodic
reporting requirements of the Securities Exchange Act of 1934, as amended, or
any investment company registered under the Investment Company Act of 1940. No
director of the Company is a director or executive officer of another bank
holding company, bank, savings and loan association, or credit union. The
directors and executive officers of the Company and their occupations for the
last five years are as follows:

Year First
Elected to
or Appointed
Director or
Business Experience During Past Five Executive
Name and Title Age Years Officer
- --------------------------------------------------------------------------------------------------------------------

J. Michael Anderson, Director 62 Owner, Hilltop Enterprises, Inc. 1995
Larry Beeman, Director 61 Owner, Investment Planning Services, Inc. 1995
A.P. Cappiello, Director 41 Attorney 1995
Victor I. Dodson, Director 67 Owner and President, Dodson Moving and 1995
Storage, Inc.
J. Frank Jamison, Chairman of the Board 65 Owner and President, Tele-Sys, Inc. 1995
Terry L. Kerbs 57 President, Advanced Office Systems 2001
Dr. Thomas D. Moye, Jr. 56 Oral Surgeon 2001
Thomas E. Tuck Director, President 55 Banker 1995
And Chief Executive Officer
William Robert Witt 64 Owner and President, Witt Building Materials 2001

Description of The Board and Committees

The Board of the Company meets periodically as necessary. The Board of
Directors of TNBank, the Company's wholly-owned subsidiary, holds monthly
meetings and special meetings as called. Directors receive $600 for each Board
of Directors meeting and $150 for each committee meeting attended. Total fees
paid to the Directors during 2004 were $103,500. During the fiscal year ended
December 31, 2004, the Board of Directors held 12 meetings. All directors
attended more than 75% of the aggregate number of meetings of the Board and
committees of the Board on which they served. The Board of Directors does not
have a nominating or compensation committee.

Report of the Audit Committee of the Board of Directors

The Audit Committee consists of Messrs. Jamison, Moye, Beeman and
Cappiello, all of whom are independent. The Board has not adopted a written
charter for the Audit Committee. During the fiscal year ended December 31, 2004,
the Audit Committee met four times.

The Audit Committee monitors and reviews the performance of the independent
auditors and the quality and integrity of the Company's internal accounting,
auditing and financial reporting practices. The Audit Committee's chief duties
are to:

o hire one or more independent public accountants to audit the Company's
books, records and financial statements and to review its system of
accounting, including its system of internal control;

o monitor and evaluate, independently and objectively, the Company's
internal financial controls and financial reporting procedure;

o discuss with the independent accountants the results of their audits
and reviews;

o periodically communicate the Audit Committee's findings to the Board
of Directors; and

o facilitate communication among the Board of Directors, the independent
auditors, and the Company's management.

The Audit Committee has obtained from the independent auditors, Pugh &
Company, P. C., a formal written statement describing all relationships between
the auditors and the Company that might bear on the auditors' independence. This
statement conforms to Independence Standards Board Standard No. 1, "Independence
Discussions with Audit Committees." The Audit Committee has also discussed with
the auditors any relationships that may impact their objectivity and
independence, including their receipt of fees from the Company, and satisfied
itself that the auditors are independent of the Company.

The Audit Committee has discussed with management the Company's audited
financial statements for the year ended December 31, 2004. The Audit Committee
has also discussed with the independent auditors the matters required to be
discussed by Statement on Auditing Standards No. 61, as amended (Communication
with Audit Committees) and, with and without management present, discussed and
reviewed the results of the independent auditor's evaluation of the Company's
financial statements. The Audit Committee has also discussed with the
independent auditors it's evaluation of the Company's internal controls, and the
overall quality of the Company's financial reporting.

Based upon the results of the inquiries and actions discussed above, the
Audit Committee recommended to the Board of Directors that the Company's audited
financial statements be included in its annual report on Form 10-KSB for the
year ended December 31, 2004, for filing with the Securities Exchange Commission
("SEC"). The Committee has also recommended the reappointment, subject to
shareholder approval, of the independent auditors, Pugh & Company, P. C.

Members of the Audit Committee:
A. P. Cappiello, Chairman Frank Jamison
Thomas Moye Larry Beeman

Audit Committee Financial Expert

The Company has determined that it does not currently have an "audit
committee financial expert," as defined under the rules of the SEC, serving on
its Audit Committee. The Company believes that all of the members of the Audit
Committee are qualified to serve on the committee and have the experience and
knowledge to perform the duties required of the committee. The Company does not
have any independent directors who would qualify as an audit committee financial
expert, as defined. The Company believes that it has been, and may continue to
be, impractical to recruit such a director unless and until it becomes
significantly larger.

Audit Fees

For services rendered by Pugh and Company, P. C., our principal independent
auditors, we incurred the following fees:

2003 2004
---- ----
Audit Fees (1) $26,385 $28,000
Audit Related Fees (2) 5,450 14,970
Tax Fees (3) 8,115 9,875
All Other Fees 6,425 1,920
-------------------------------
Total $46,375 $54,765
===============================

(1) Audit fees consisted of audit work performed in the preparation of
financial statements, as well as work generally only the independent
auditor can reasonably be expected to provide.

(2) Audit related fees consisted principally of procedures related to
regulatory filings.

(3) Tax fees consisted principally of tax return preparation, tax research and
tax planning.

All other fees consisted principally of miscellaneous consulting, conferences
and consultations regarding accounting and regulatory matters.

Compensation of Executive Officers

The following table sets forth the aggregate compensation paid by the
Company to its Chief Executive Officer for services rendered in all capacities
during the years ended December 31, 2004, 2003 and 2002. No other executive
officer's compensation exceeded $100,000 during such years.

Summary Compensation Table

Other Annual
Name and Principal Position Year Salary Bonus Compensation
- ------------------------------------------------------------------------------------------------------

Thomas E. Tuck 2004 $121,000 $23,958 $ 0
Director, President & Chief Executive Officer 2003 115,000 22,050 1,000
2002 104,160 19,998 6,000

No stock options were granted to any executive officers during 2004.

The following table sets forth information regarding stock options held at
the end of or exercised in the year ended December 31, 2004 for the executive
officer named in the Summary Compensation Table above as of December 31, 2004.

Aggregated Option/SAR Exercises in Last Fiscal Year
And Fiscal Year-End Option/SAR Values

Shares
acquired Securitieds underlying
on Value unexercised options at Value of unexercised in-the-money
Name exercise Realized December 31 options at December 31, 2004(1)
---- -------- ------- ----------- ------------------------------
Exercisable Unexercisable Exercisable Unexercisable
----------- ------------- ----------- -------------

Tom Tuck -0- -0- 7,400 -0- $ 25,900 $0

- ------------------------
(1 Based on recent trades of which management is aware of at $19.50 per share.

Stock Options

We have a stock option plan for certain key employees which was approved by
the shareholders in March 1996. A total of 19,457 shares have been reserved
under this plan and in 1999 the board of directors granted a total of 14,600
options to certain key employees, at an option price equal to $16 per share. As
of December 31, 2004, 15,500 of those options remained outstanding.

Under the 2002 Incentive and Nonqualified Stock Option Plan for Employees
of Tennessee Valley Financial Holdings, Inc. and its subsidiaries, the board of
directors is authorized to issue to our employees options up to a number of
shares that is the lesser of (a) 20% of the issued and outstanding shares or (b)
213,612 shares of our stock. The option prices are determined by the board of
directors, or a committee thereof, but option prices may not be less than 100%
of the fair market value of the stock on the date the option is granted. No
awards can be made under this plan after 2012. Currently there are no options
granted under this plan.

Beneficial Ownership Reporting Compliance

Under the federal securities laws, the Company's directors, executive
officers and any persons holding more than 10 % of the Common Shares are
required to report their ownership of the Common Shares and any changes in that
ownership to the SEC. These persons also are required by SEC regulations to
furnish the Company with copies of these reports. Specific due dates for these
reports have been established and the Company is required to report in this
proxy statement any failure to file timely during 2004. Based solely on a review
of the reports furnished to the Company or written representation from the
Company's directors and executive officers, the Company believes that all of
these filing requirements were satisfied by the Company's directors and
executive officers during 2004.

Certain Relationships and Related Transactions

The following directors and executive officers were indebted to the Bank as
of December 31, 2004.

J. Michael Andrson $ 163,866
Beeman 63,000
A.P. Cappiello 35,600
Victor I. Dodson 983,890
Mark B. Holder 1,000
J. Frank Jamison 155,000
Terry L. Kerbs 49,151
Thomas D. Moye 479,028
Braxton L. Sadler 1,000
Thomas Tuck 1,000
-----------------
Total $ 1,932,555
=================

Some directors and officers of the Company are customers of its subsidiary,
the Bank, and have had and expect to have loan transactions with the Bank in the
ordinary course of business. In addition, some of the directors and officers of
the Company are at present, as in the past, affiliated with businesses which are
customers of the Bank and which have had and expect to have loan transactions
with the Bank in the ordinary course of business. These loans were made in the
ordinary course of business and were made on substantially the same terms,
including interest rates and collateral, as those prevailing at the time for
comparable transactions with other parties. In the opinion of the Board of
Directors, these loans do not involve more than a normal risk of collectibility
or present other unfavorable features.

Approval of Independent Auditors (Proposal 2)

Upon the recommendation of the Audit Committee, the Board of Directors of
the Company has selected Pugh & Company, P.C., Certified Public Accountants as
its independent auditors for 2005. Pugh & Company, P.C., Certified Public
Accountants were also employed by the Company in this capacity in 2004. A
representative of Pugh & Company, P.C., Certified Public Accountants is expected
to be present at the Meeting and will have an opportunity to make a statement if
he desires to do so. The representative is also expected to be available to
respond to appropriate questions.

The Board recommends that shareholders vote FOR the ratification of the
selection of Pugh & Co., P.C., as the Company's independent auditors for 2005.

Shareholder Proposals

Shareholders' proposals intended to be presented at the 2006 annual meeting
of shareholders must be received by the Company at its executive offices on or
before December 31, 2005, to be included in the proxy statement and form of
proxy relating to that meeting.

Other Matters

At the time of preparation of the proxy statement, the Board of Directors
of the Company has not been informed and is not aware of any matters to be
presented for action at the Meeting other than the matters listed in the notice
of meeting included with this proxy statement/prospectus. If any other matters
should come before the Meeting, or any adjournment thereof, it is intended that
the persons named in the enclosed proxy will have discretionary authority to
vote on such matters according to their best judgment.

Availability of Annual Report on Form 10-KSB

A copy of the Company's Annual Report on Form 10-KSB, including the
financial statements and schedules thereto, which is filed with the SEC, is
available without charge to each shareholder of record upon written request to
the Company, Attn: Jason Wilkinson, Vice President, 401 South Illinois Avenue,
Oak Ridge, Tennessee 37830. Each such written request must set forth a good
faith representation that as of the record date March 24, 2005, the person
making the request was a beneficial owner of Common Shares entitled to vote at
the Meeting. Exhibits to the Form 10-KSB will also be supplied upon written
request to the Senior Vice President and payment to the Company of its cost of
furnishing the requested exhibits. The copy of the Form 10-KSB furnished without
charge to the requesting shareholder will be accompanied by a list briefly
describing all of the exhibits and indicating the cost of furnishing the
exhibits.

BY THE ORDER OF THE BOARD OF DIRECTORS

/s/ Thomas E. Tuck
-----------------------------------------------
Thomas E. Tuck, President and Chief Executive Officer

- --------------------------------------------------------------------------------
REVOCABLE PROXY - TENNESSEE VALLEY FINANCIAL HOLDINGS, INC.
Annual Meeting of Shareholders, April 26, 2005
- --------------------------------------------------------------------------------

The undersigned does hereby appoint Thomas E. Tuck, J. Frank Jamison and each of
them, with full power to each of substitution and revocation as proxies to vote
all shares of common stock of the Company registered in the name(s) of the
undersigned and held by them of record as of March 31, 2004, at Meeting of
Shareholders to be held at the Company's Main Office, 401 South Illinois Avenue,
Oak Ridge, Tennessee 37830, on April 26, 2005, at 6:30 p.m., local time, and at
any and all adjournments, upon the following matters:

1. To elect as directors all nominees listed below (except as marked to the
contrary below).
VOTE
J. Michael Anderson Victor I. Dodson Thomas E. Tuck FOR WITHHELD
Larry Beeman J. Frank Jamison Thomas D. Moye [ ] [ ]
A.P. Cappiello Terry L. Kerbs W. Robert Witt

INSTRUCTION: To withhold your vote for any individual nominee, insert that
nominee's name on the line provided below.

---------------------------------------------------------------------------

2. To approve the appointment of Pugh and Company, P.C., CPAs as the
independent auditors for the Company for 2005.

[ ] FOR [ ] AGAINST [ ] ABSTAIN

3. In their discretion, the Proxies are authorized to vote upon such other
business as may properly come before the meeting or any adjournment
thereon.

This Proxy, when properly executed, will be voted in the manner directed herein
by the undersigned shareholder(s). If no direction is made this proxy will be
voted for Proposals 1 and 2.

IMPORTANT: THE PROMPT RETURN OF PROXIES WILL SAVE THE CORPORATION THE EXPENSE OF
FURTHER REQUESTS FOR PROXIES TO ENSURE A QUORUM AT THE MEETING. A
SELF-ADDRESSED, POSTAGE-PREPAID ENVELOPE IS ENCLOSED FOR YOUR CONVENIENCE.

[Tennessee Valley Financial Holdings, Inc. Logo]

THIS PROXY IS SOLICITED BY THE BOARD OF DIRECTORS
Please complete, date, sign and mail the
detached proxy card in the enclosed postage-prepaid envelope.

DETACH PROXY CARD HERE
- --------------------------------------------------------------------------------
Should the undersigned be present and elect to vote at the Annual Meeting or at
any adjournment thereof and after notification to the Secretary of the Company
at the Annual Meeting of the stockholder's decision to terminate this proxy,
then the power of said attorneys and proxies shall be deemed terminated and of
no further force and effect. The undersigned hereby revokes any and all proxies
heretofore given with respect to the shares of Common Stock held of record by
the undersigned.

The undersigned acknowledges receipt from the Company prior to the execution of
this proxy of a Notice of Annual Meeting, the Company's Proxy Statement for the
Annual Meeting and an Annual Report for the 2004 fiscal year.

Signature
-----------------------------------

Date , 2005
---------------------------------

Please sign exactly as name (or names) appears above. When shares are held by
joint tenants, both should sign. When signing as attorney, executor,
administrator, trustee or guardian, please give full title as such. If a
corporation, please sign in full corporate name by authorized officer. If a
partnership, please sign its partnership name by authorized person.

- ---------------------------------------------------------

MEETING RESPONSE

Please sign, date and return promptly in the
Enclosed self-addressed stamped envelope.

[ ] I will attend

[ ] I will bring ___ guests

[ ] I will not attend

- ------------------------------------------------
Signature Date