Nashville, TN Hotels & Lodging: Transient Occupancy Tax (2026)
Key Facts
- Tax rate
- 6% of room consideration
- Convention center surcharge
- $2.50 per occupied room/night
- Remittance deadline
- 20th of following month
- Operator collection allowance
- 2% of tax remitted
- Enforcing agency
- Metro Department of Finance
Summary
Metro Nashville charges a 6% hotel occupancy privilege tax on transient stays under 30 days, plus a $2.50 per-room convention center surcharge, collected by the Department of Finance.
There is levied a privilege tax upon the privilege of occupancy in any hotel of each transient in an amount of six percent of the consideration charged by the operator. The tax so imposed is a privilege tax upon the transient occupying such room and is to be collected and distributed as provided in this chapter. The proceeds from such tax shall be retained by the metropolitan government and distributed in accordance with T.C.A. § 7-4-110(b). The tax so imposed is a privilege tax upon the transient occupying the room of a hotel located within the territory of the metropolitan government.
(Ord. BL2007-1557 § 1, 2007; Ord. 2002-1049 § 1, 2002; Amdt. 1 with Ord. 99-1678 § 2, 1999; prior code § 15-1-46)
Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 53 | Charter: Republication 9).
Full Breakdown
Metropolitan Code of Laws § 5.12.020 levies a 6% privilege tax on hotel occupancy by any transient, someone renting a room for less than 30 continuous days, anywhere within the metropolitan government's territory. Operators add the tax to every invoice, collect it from guests, and remit it to the Metro Department of Finance by the 20th of the following month, keeping a 2% collection allowance. A separate $2.50-per-room convention center surcharge applies under § 5.12.120. Proceeds fund tourism promotion, the convention center fund, and, since 2015, short-term rental tax revenue is dedicated to the Barnes Fund for Affordable Housing.
Violations & Fines
Late remittance draws 8% annual interest plus a 1% monthly penalty under § 5.12.090. Willful refusal by an operator to collect or remit the tax, or by a transient to pay it, is a misdemeanor.
Frequently Asked Questions
What is Nashville's hotel occupancy tax rate?
Who pays and collects the tax?
What happens if an operator doesn't remit on time?
Sources & Official References
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