This means that any Tennessee resident who posts a home or apartment that they own on an online short-term rental site is subject to these taxes.
For the Tennessee Hospitality and Tourism Association, this is a feat.
In a press release sent out by the TnHTA, their Chairman of the Board Ken Maples said:
“In the past decade, the internet has transformed the way we buy and sell goods and services, resulting in an explosion of new businesses. It is now extremely easy for an individual to advertise and rent a property such as a condo, cabin, house, or even a room for short periods of time. Since these short-term rentals are fundamentally no different than regular lodging properties, it is only fair that those who make a profit from on-line or advertised short term rentals by owner should pay all applicable local and state sales and lodging taxes.”
According to the CEO and President of the TnHTA Greg Adkins, since Davidson County began enforcing the tax, they have estimated that $1.2 million will be collected in 2016 from lodging taxes.
With Memphis being a hotspot for in both in-state and out-of-state tourism, the implementation of this tax could be a large benefit to the continual growth of our tourism community.
To read more about the ruling, visit WBIR.com