Short-Term Rental Laws in Nashville, Indiana

Nashville, Indiana — the Brown County seat and arts-tourism hub — operates a permissive STR framework. The town + Brown County (one of Indiana's smallest counties by population, largest by per-capita STR concentration) treat STR + tourism as core economic drivers. Brown County State Park, Bean Blossom (Bill Monroe Memorial Bluegrass), the T.C. Steele Historic Site, and the gallery/restaurant district drive year-round demand peaking in October leaf-peeping season. STR permitted broadly in residential and commercial zones with registration + Innkeeper's Tax + life-safety standards. HEA 1035 preempts any town-level ban.

Zoning: Nashville town limits + unincorporated Brown County both permit STR broadly. The Town of Nashville Historic Preservation Commission has design-review overlay on exterior modifications within the downtown historic district. Properties on lakes / in private subdivisions (Cordry-Sweetwater Lakes, Lake Lemon adjacent) have HOA layers that may further restrict — verify HOA covenants separately. Brown County Planning + Zoning handles unincorporated parcels; the Town handles in-limits parcels.

Operators must hold a short-term rental permit before listing. See the official permit portal.

Town of Nashville + Brown County Planning + Brown County Treasurer jointly administer. Annual registration. Application requires designated local responsible-party contact (Brown County resident or property manager), proof of property insurance, life-safety self-certification, and parking plan. Brown County Treasurer collects 5% Innkeeper's Tax. Brown County's Convention & Visitors Bureau cross-references Airbnb/Vrbo listings against the Innkeeper's Tax registry for back-tax collection. Code enforcement primarily complaint-driven.

Combined short-term lodging tax in Nashville is approximately 12.000% of gross nightly revenue (state sales + state TRT + local TRT + applicable resort/city options).

Indiana State sales tax 7% + Brown County Innkeeper's Tax 5% — combined ~12% on transient lodging; confirm at Brown County Treasurer

Verify the current combined rate via the Utah State Tax Commission before remitting — rates drift quarterly.