LicensedRental

Tennessee county rules

Sevier County, TN vacation rental rules and taxes

Sevier County is Tennessee’s biggest vacation-rental market. Outside the cities, every short-term rental needs a yearly county fire-safety permit and inspection; Gatlinburg, Pigeon Forge, Sevierville, and Pittman Center each run their own permits and inspections and set their own occupancy taxes.

Checked against official sources November 5, 2026
Market
More than 15,000 Airbnb listings
Sevierville postal area 7,523, Gatlinburg 4,115, Pigeon Forge 3,414, Pittman Center 289, Wears Valley 172 (AirROI). The county counts more than 6,500 rentals outside city limits.Source
Sales tax
9.75%
7% state + 2.75% local, countywide.Source
Occupancy tax
3% county or 2.5–3% city
The county’s 3% applies outside the cities; inside a city, the city’s own tax applies instead.Source
County permit
Unincorporated areas only
Short-Term Rental Unit permit and yearly fire inspection since January 1, 2024.Source

Since the 2023 tax year, licensed short-term rentals that aren’t the owner’s primary residence have been assessed as commercial property (40%) instead of residential (25%), according to industry reporting. Check your assessment with the Property Assessor.

What to do

  1. Get city and county business licenses

    Gatlinburg’s and Pigeon Forge’s new-business sheets list a $15 county business license from the Sevier County Clerk (865-453-5502) on top of the city license. Outside the cities, ask the Clerk which license applies.Source

  2. Then your city or area

    Permits, inspections, zoning, and occupancy tax differ in every city. Pick your area.

Towns

Full guide

Gatlinburg

Gatlinburg calls short-term rentals “tourist residences.” Each needs an annual Tourist Residency Permit with a fire and building inspection ($200 for up to 2 bedrooms plus $75 per extra bedroom), a zone that allows them (not R-1A or R-2A), and city and county business licenses. Guests pay 12.75% tax, and the owner pays a 1.25% city gross receipts tax.

Full guide

Pigeon Forge

Pigeon Forge allows tourist residences in R-2 and higher zones with a planning commission site plan. In R-1, only rentals operating and paying tax by August 13, 2018 can continue, with a $300 operating permit ($100 renewal). Big cabins (over 12 guests, 5 bedrooms, 5,000 square feet, or 3 stories) must meet hotel fire rules. Guests pay 12.25% tax, and the owner pays a 1% city gross receipts tax.

Full guide

Pittman Center

Pittman Center requires a Tourist Residency Permit and an annual inspection for every short-term rental (under 30 days). The base fee is $200 plus $75 per extra bedroom. Rentals over 3 stories, 5,000 square feet, or 12 guests need sprinklers. Tax is 12.75%.

Full guide

Sevierville

Sevierville requires an annual Short-Term Rental Operational Permit with a fire department life-safety inspection and proof of insurance. Rentals aren’t allowed in low-density residential (LDR) zones and need neighbor notice in MDR. Rentals sleeping more than 12 need sprinklers. Tax is 12.75%.

Full guide

Unincorporated Sevier County

Outside city limits, every short-term rental needs a yearly Sevier County Short-Term Rental Unit permit and fire inspection from the Fire Marshal’s Office: $250 a year for 12 or fewer guests, more for larger cabins. Tax is 12.75%.

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.