LicensedRental

Anderson County, Tennessee

Rocky Top, TN vacation rental requirements

Rocky Top’s 2022 short-term rental ordinance calls for a $100 yearly permit per property, a safety inspection, a contact who responds within two hours, four guests per bedroom, and one parking space per bedroom. Tax is 9.75% sales tax plus the 5% city occupancy tax.

Checked against official sources November 5, 2026

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City rental permit
$100 a year
One permit per property; $50 a day fine for operating without one.Source
Maximum guests
4 per bedroom
Parking
1 space per bedroom
Taxes
9.75% sales + 5% city occupancy
City rate effective July 1, 2025 (Anderson part).Source

These facts come from news coverage of the ordinance’s first reading (April 2022); final passage was set for May 19, 2022. Confirm the adopted ordinance and fees with the city.

Part of the city is in Campbell County, where the same 5% city rate applies.

Your licensing checklist

In order: the state, the county, then the town.

State of Tennessee

  1. Register for sales tax

    Register through the Tennessee Taxpayer Access Point (TNTAP). One registration covers all your rentals in the same city or county. If you take direct bookings, collect 7% plus the local rate and file by the 20th of each month. Once registered, file every month, even a $0 return.Source

    TNTAP →

  2. Get a business tax license

    Rentals under 180 days owe business tax. With $3,000 to $100,000 a year in gross receipts in a city or county you need a minimal activity license; at $100,000 or more, a standard license. Booking platforms don’t handle this for you.Source

  3. Know what the platform collects

    Airbnb, VRBO, and other marketplaces collect and remit sales tax and local occupancy tax on their bookings. Keep records showing they did. For direct bookings, you pay sales tax to the state and occupancy tax to the city or county.Source

  4. Then your county and city

    Permits, zoning, and occupancy tax rates are where Tennessee towns differ most. Pick your area.

Anderson County, Tennessee

  1. Register for sales and occupancy tax

    Airbnb and VRBO collect both on their bookings. For direct bookings, file sales tax through TNTAP and occupancy tax with the county or city.Source

  2. Then your city

    Pick your area.

City of Rocky Top

  1. Get business licenses

    Get an Anderson County (or Campbell County) business license and a Rocky Top business license.Source

  2. Apply for the city permit

    Apply and pay the $100 fee. The city inspects for smoke and carbon monoxide alarms and fire extinguishers. Renew every year ($100).Source

  3. Name a local contact

    The owner or operator must respond to problems within two hours, and guests must have a contact number for every hour of every day.Source

  4. Register for sales and occupancy tax

    Tax on stays here is 9.75% sales tax + 5% city occupancy tax. Airbnb and VRBO collect both on their bookings. For direct bookings, file sales tax with the state through TNTAP by the 20th of each month. The ordinance says owners pay the city’s hotel occupancy privilege tax; ask the city how to file it for direct bookings.Source

Inspection checklist

What the inspector looks for, from City of Rocky Top’s published checklist.

  • Smoke alarms
  • Carbon monoxide alarms
  • Fire extinguishers

Sources

A plain-language summary to help you prepare, not legal advice. Rules and fees change; confirm with the office before you apply. Spot something out of date? Email hello@licensedrental.com.