Gatlinburg vs Palm Springs
Tennessee Legal with Permit | California Legal but Limited
Disclaimer: General information only — not legal advice. Verify with your local government.
| Requirement | Gatlinburg, Tennessee | Palm Springs, California |
|---|---|---|
| Legality Status | Legal with Permit | Legal but Limited |
| Permit Fee | $200 (2-bedroom or fewer); $75 per additional bedroom | $1,072/year Vacation Rental Certificate; $642/year Junior Certificate |
| Tax Rate | 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax | 12.5% combined (11.5% TOT + 1% TBID) |
| Annual Day Limit | No limit | No limit |
| Renewal Interval | Annual | Annual |
| Platform Remits Taxes | Yes | Yes |
| Max Fine Example | $50/day per violation; permit suspension/revocation possible | $5,000 for operating without certificate + permanent ineligibility; 3 violations = 2-year suspension |
| Verdict | Gatlinburg has more favorable STR regulations overall. | |
Gatlinburg, Tennessee
Status Legal with Permit
Permit Fee $200 (2-bedroom or fewer); $75 per additional bedroom
Tax Rate 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $50/day per violation; permit suspension/revocation possible
Palm Springs, California
Status Legal but Limited
Permit Fee $1,072/year Vacation Rental Certificate; $642/year Junior Certificate
Tax Rate 12.5% combined (11.5% TOT + 1% TBID)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $5,000 for operating without certificate + permanent ineligibility; 3 violations = 2-year suspension
Gatlinburg has more favorable STR regulations overall.
Gatlinburg Overview
Tourist Residency Permit required with annual inspection. STRs prohibited in R-1A and R-2A zones. Properties over 3 stories or 12+ occupants require sprinkler systems.
Full Gatlinburg guide →Palm Springs Overview
Limited to 26 rental contracts per year (28 nights or shorter each). Neighborhood density cap of 20% — multiple neighborhoods already at capacity. One permit per owner; occupancy based on bedroom count. $500,000 liability insurance required.
Full Palm Springs guide →Frequently Asked Questions
Is it easier to Airbnb in Gatlinburg or Palm Springs?
Gatlinburg is classified as "Legal with Permit" while Palm Springs is "Legal but Limited." Gatlinburg's permit fee is $200 (2-bedroom or fewer); $75 per additional bedroom compared to $1,072/year Vacation Rental Certificate; $642/year Junior Certificate in Palm Springs.
Which city has higher STR taxes — Gatlinburg or Palm Springs?
Gatlinburg charges 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax, while Palm Springs charges 12.5% combined (11.5% TOT + 1% TBID). Compare the full breakdown in the table above.
Which city has stricter fines for illegal short-term rentals?
Gatlinburg: $50/day per violation; permit suspension/revocation possible. Palm Springs: $5,000 for operating without certificate + permanent ineligibility; 3 violations = 2-year suspension.