vacation rentals: I have a vacation rental in east Tennessee (Sevierville) Do I need 1 or more business licences and who do I pay collected taxes to?|||Are you renting the vacation home as a BUSINESS or just to make a little money on the side? If it's not a business (which it probably isn't if you have only one rental), you don't need a business license. If it is just you renting out a vacation home, you report it on your personal 1040 income tax form, income and expenses, read IRS publication 925: http://www.irs.gov/taxtopics/tc415.html If you rent it out for fewer than 15 days/year, you don't have to report the income or expenses. It's all considered "personal". You pay taxes in the form of real estate taxes, to the county the property is located in.