Skip to the main content

1 Public Square, Nashville, TN 37201
Tell Us What You Think Request a Transit Talk

Investing In Our Future

Nashville skyline at night

Metro’s Transportation Solution constitutes a $5.2 billion infrastructure investment that will connect and serve every community in Davidson County. Scheduled to be completed in phases by 2032, it will be funded by a range of surcharges that include sales, hotel/motel, motor vehicle, and businesses taxes. These will be distributed among residents, businesses and visitors alike.

Specific surcharges are:

  • ½ percent sales tax surcharge beginning in July of 2018, and graduating to one percent in 2023
    • A recent study released by the Nashville Area Chamber of Commerce shows that nearly half (47%) of sales tax collections in Davidson County are generated by out-of-county residents.
  • ¼ percent surcharge on the hotel/motel tax, graduating to three-eighths of a percent in 2023
    • The Convention Center Authority, which is funded in part by local hotel taxes and fees, is anticipated to help pay for the transit system by constructing a SoBro station for light rail and rapid bus service. Additionally, the Metro Nashville Airport Authority has agreed in principle to fund a light rail spur from Murfreesboro Road to the Airport with terminal access.

  • 20% surcharge on the rental car tax
    • Metro currently charges a one percent tax on the gross proceeds derived from the lease or rental of any passenger motor vehicle, truck or trailer for a period of five days or less. This 20% surcharge would result in a total of 1.2% surcharge on rental cars.
  • 20% surcharge on the business and excise tax
    • Businesses in Davidson County are assessed a business and excise tax based on a variety of classifications established under TCA 67-4-708. If a business currently pays $1,000 in such a tax, this surcharge would result in an additional $200 annually.

Additionally, the Convention Center Authority is anticipated to fund the construction of a SoBro transit stop utilizing portions of the hotel/motel taxes generated in the downtown core, and the Metro Nashville Airport Authority will fund the construction of a light rail spur and transit terminal in the airport from the intersection of Murfreesboro Road and Donelson Pike.