Short-Term Rental Regulations in Tennessee
State Overview
Tennessee does not preempt local STR regulation — each city sets its own rules. The state imposes a 7% State Sales Tax on Lodging in addition to any local taxes. Cities in Tennessee
| City | Permit | Tax Rate | Day Limit | Primary Res. | |
|---|---|---|---|---|---|
| Gatlinburg | ✓ Required | 12.75% | No limit | No | → |
| Memphis | ✓ Required | ~15.5% + $2/night | No limit | No | → |
| Nashville | ✓ Required | 15.25% | No limit | Varies | → |
| Pigeon Forge | ✓ Required | 12.25% | No limit | No | → |
Tennessee's STR Landscape
Tennessee does not have a uniform STR framework, leaving regulation to individual municipalities. The state imposes a 7% State Sales Tax on Lodging in addition to local taxes.
Regulation varies significantly across cities. Some cities (Nashville) require primary residence, while others (Gatlinburg) allow non-owner-occupied rentals. Tax rates range from 12.25% (Pigeon Forge) to ~15.5% + $2/night (Memphis).
Other States
Alabama 1 city Arizona 5 cities California 12 cities Colorado 5 cities District of Columbia 1 city Florida 10 cities Georgia 3 cities Hawaii 2 cities Illinois 1 city Indiana 1 city Kentucky 1 city Louisiana 1 city Maryland 1 city Massachusetts 1 city Michigan 1 city Minnesota 1 city Missouri 2 cities Nevada 1 city New Jersey 1 city New Mexico 1 city New York 1 city North Carolina 2 cities Oregon 2 cities Pennsylvania 1 city South Carolina 4 cities Texas 4 cities Utah 2 cities Virginia 1 city Washington 1 city Wisconsin 1 city