LicensedRental

Tennessee county rules

Putnam County, TN vacation rental rules and taxes

Putnam County has a 7% occupancy tax, and Cookeville and Monterey each add 3%. Cookeville requires a yearly short-term rental permit and allows rentals only in certain zoning districts; we found no county rules.

Checked against official sources November 5, 2026
County occupancy tax
7%
Sales tax
9.75%
7% state + 2.75% local.Source
Market
About 230 listings
Cookeville 126, Baxter 48, Silver Point 30, Monterey 27.Source

What to do

  1. Register for sales and occupancy tax

    Outside city limits, tax on stays is 9.75% sales tax plus the 7% county occupancy tax. Airbnb and VRBO collect both on their bookings. For direct bookings, file sales tax with the state through TNTAP, and ask Putnam County where to file the county occupancy tax.Source

  2. Then your city

    Cookeville has a permit and zoning limits. Pick your area.

Towns

Full guide

Baxter

We found no short-term rental permit or rules in Baxter’s code. You owe 9.75% sales tax + 7% occupancy tax and need a state business tax license once gross receipts reach $3,000 a year.

Full guide

Cookeville

Cookeville requires a yearly short-term rental permit ($100, then $50 a year) with a fire inspection, city business license, and $1 million in liability insurance. Rentals are allowed only in multi-family, planned residential, commercial, medical, and university zones, not single-family zones.

Full guide

Monterey

We found no short-term rental permit or rules in Monterey’s code. You owe 9.75% sales tax + 10% occupancy tax (7% county + 3% town) and need a state business tax license once gross receipts reach $3,000 a year.

Full guide

Unincorporated Putnam

We found no county short-term rental permit in unincorporated Putnam County. You owe 9.75% sales tax + 7% occupancy tax and need a state business tax license once gross receipts reach $3,000 a year.

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 Spot something out of date?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.