Rental Rules by City / Tennessee / Knoxville
Knoxville short-term rental rules & tax calculator
📋 The Basics
- Can I rent my place short-term here?
- Only in some areas
- Do I need a permit?
- Owner's home in residential zones; others in non-residential zones.
- What taxes do I pay?
- Total about 18.25%. Check your Airbnb payout report to see which ones Airbnb collects; you pay the rest yourself.
Your 3 steps to be legal
- Pick Type 1 or Type 2.
- Get city and county business licenses.
- Apply for the permit.
⚠️ Biggest risk: Renting a non-primary home in a residential zone.
Words confusing? See the glossary. Details and official sources are below.
Tax calculator
Rates used: TN state sales tax 7% + Knox County local sales tax 2.25% + Knoxville hotel occupancy tax 4% + Knox County hotel tax 5% = 18.25%. Mandatory cleaning fees are included in the taxable total. Knox County 5% occupancy tax (County return form). City of Knoxville hotel occupancy tax shown as 4%: verify with the City. TN sales tax 9.25% (7% state + Knox 2.25%).
What Airbnb collects: Verify in payouts which taxes your platform remits.
Advanced details (laws, fees, sources)
Rules
| Permit | City permit before advertising. Type 1 (owner-occupied, residential district) and Type 2 (non-owner-occupied, non-residential district); city and county business licenses also required. Fees (reported as $70 Type 1, $120 Type 2, $50 renewal, $15 per business license): verify with the City. |
|---|---|
| Requirements | City and county business license, life-safety certification, site plan, neighbor notice for Type 1. |
Items marked "Verify with the city" could not be confirmed from an official source; call the office listed before relying on them.
Sources
Free tools
Free "Is my rental legal?" checklist · Free tourist tax calculator
Rules can change
Knoxville's rules, its tax rates and platform policies can change through a council vote, a new state law or a court ruling, often with little notice to hosts. We re-check this page monthly; subscribers get notified. Stay Compliant for $4.99/mo.
Want it done for you?
Get a personalized STR Compliance Check ($49) for your exact address in any US city: the permits, registrations and tax accounts you need, with official sources, delivered by email in 48 business hours. Not legal advice.
By paying, you agree to our Terms and Refund PolicyHow we verify.
Stay Compliant: $4.99/month
Rules, tax rates and Airbnb/Vrbo policies can change without warning, and hosts who miss a change can be fined. Get alerts when your city, county or state changes, deadline reminders, a pending-bill watch list and a monthly host brief (even in quiet months: "we checked on [date]; no changes"). Compare plans.
By paying, you agree to our Terms and Refund Policy.
Not legal or tax advice. Last verified Oct 24, 2026. Rules and rates change: confirm with the official sources linked before you rent or file.