Tennessee Rental Registration (2026)

Key Facts

Statute: TCA Sections 13-7-601 to 603
Grandfather rights: Protected statewide
Local zoning power: Limited but allowed
Tax collection: State and local both

Full Breakdown

The Tennessee Short-Term Rental Unit Act, codified at Tennessee Code Annotated Sections 13-7-601 through 13-7-603, establishes statewide rules governing local regulation of short-term rentals. Local governments may regulate STRs but cannot prohibit a property that was lawfully operating before the local ordinance took effect, preserving vested rights. Cities retain authority over health, safety, occupancy limits, noise, parking, and tax collection. The statute also requires local governments to allow grandfathered owners to continue operating, and platforms must comply with state registration and tax remittance frameworks under sales and occupancy tax law.

Violations & Penalties

Local ordinances banning grandfathered STRs are void; cities may still enforce health, safety, and tax compliance violations.

Frequently Asked Questions

Can a Tennessee city ban short-term rentals outright?

Cities may restrict new STRs in residential zones, but cannot revoke operations of properties lawfully active before the ordinance's effective date under TCA 13-7-602.

Do hosts owe state taxes on Airbnb income?

Yes. Tennessee imposes state sales tax and a 5 percent occupancy tax on short-term rentals, plus local hotel-motel taxes where adopted by the city or county.

Tennessee Short-Term Rental Unit Act Preemption

Key Facts

Full Breakdown

Violations & Penalties

Frequently Asked Questions

Sources

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