Related
- Convention Center Taxes
- Hotel/Motel Occupancy Tax
- Transient Vendor License
- Notary Public
- Liquor by the Drink License
- Sidewalk Encroachment Permit
- Pawnbroker License
- Catering License to Sell Alcohol
- Close Out Business Permit
- Frequently Asked Questions
- Starting a new business in Davidson County
Convention Center Taxes
Convention Center Taxes
This new program, effected September 1, 2007 has established four (4) new taxes and was authorized by an Ordinance BL1557 for the purpose of paying costs incurred in modification or construction of a publicly-owned convention center. This ordinance signed into law on August 9, 2007 has authorized a 1% increase to the 5% hotel tax, added a new $2.00 city tax as a surcharge to occupied hotels rooms, imposed a 1% tax of the gross receipt of rental cars, trucks and trailers, and will tax each contractual vehicle exiting the airport with a $2.00 tax per vehicle.
1. 1% ADDITIONAL HOTEL TAX
The proceeds from this tax shall be retained by the Metropolitan Government and will be used to for the purpose of paying costs incurred in modification or construction of a publicly-owned convention.
2. ADDITIONAL HOTEL OCCUPANCY PRIVILEGE TAX ($2.00) FOR CONVENTION CENTER
In addition to any other tax or fee imposed on the occupancy of the hotel room, there is hereby authorized an additional two dollars ($2.00) privilege tax upon the occupancy of each hotel room within the territory of the Metropolitan Government of Nashville, The tax so imposed is a privilege tax upon each occupied room for each night of occupancy and needs to be collected by each operator and remitted in to the Metropolitan Government monthly.
3. CONTRACTED VEHICLE TAX
A privilege tax has been imposed on all contractual vehicles, (taxi-cabs, limousines, shuttle buses, and etc). Exiting the airport while transporting customers from the airport located within the territory of the Metropolitan Government of Nashville, but shall exclude non-commercial vehicles and equipment operated by the Metropolitan Transit Authority. The privilege tax is due each time a contracted vehicle to which this section applies leaves the airport. The operator of the contracted vehicle shall be responsible for keeping accurate records to determine the amount of tax due and payable. Such information shall be transmitted daily by the operator of the contracted vehicle to a designated individual within the business organization which hired the operator of the contracted vehicle. The privilege tax shall be remitted to the Davidson County Clerk’s office by a designated individual within such business organization not later than the 20th of each month. The person owing such taxes shall be liable for interest on such delinquent taxes from the due date at the rate of 8% per annum, and in addition for a penalty of 1% for each month or fraction of a month that such taxes are delinquent. Such interest and penalty shall become a part of the tax required. Willful refusal of a person to collect or remit the tax or willful refusal of an operator of a contracted vehicle to keep accurate records is a Class C misdemeanor.
4. 1% RENTAL CAR,TRUCK,AND TRAILER TAX
This new tax has been authorized to set a 1% surcharge on all the proceeds derived from the lease or rental of any passenger motor vehicle, truck or trailer for a period of five (5) days or less; provided, that said surcharge or tax will not apply to any automobile rented as a replacement vehicle, the cost of which is covered by insurance or by a business that rents a truck or trailer for the purpose of transporting goods, or by any individual or business that rents a vehicle as a replacement while the renter’s vehicle is being repaired, replaced or serviced; provided further, that the individual presents to the renter upon return of the rented vehicle a copy of the repair or service invoice or signs a statement under penalty of perjury that the lease or rental of the vehicle is used as a replacement for a vehicle that is being repaired, replaced or serviced. The surcharge or tax shall not apply to any vehicle rental transaction in which an entity whose principal business activity is the sale or service of new and used motor vehicles is the renter. This surcharge or tax shall apply to the gross proceeds from the rental agreement, excluding any sales tax imposed by Chapter 6 of the Tennessee Code Annotated. The surcharge of tax shall also be subject to the exemptions provided by T.C.A. 67-4-1906. The surcharge or tax shall not be subject to a credit provided by T.C.A. 67-4-1903 and shall be implemented consistent with existing tax policies and procedures of the Department of Revenue and of the remainder of this Chapter.