STR in TN (Pigeon Forge) Asset protection - How to hold deed?

[John Underwood]

For those of you with STR properties in Pigeon Gorge, Gatlinburg (Tennessee) how do you hold title?

I talked to a TN attorney this morning and he said if you own an LLC there is a $4,000 annual franchise fee and you have to pay an excise tax on the annual earnings.

When I pressed for options he said we could:

Create 4 trusts (one for each owner (brothers and sister) that on the LLC. He said this would eliminate the $4,000 franchise fee, This would cost $10,000 to set up. This would pay for itself in 5 years if it avoided the $4,000 yearly fee.

I know many of you have properties in TN. How do you hold title to your properties and what annual fees do you pay?

It looks like some people are recommending to hold in your name and just have good insurance and possibly an umbrella policy.

@Avery Carl @Luke Carl @Collin Hays @Ken Boone