Taxes, Hotel Motel - As enacted, prohibits Memphis and Nashville, with regard to hotel motel taxes, having a preexisting privilege tax or authority, from changing the designated use; authorizes those municipalities to otherwise change the allocations of the revenue, except in accordance with and subject to any other restrictions of state law relative to accommodations for transients and hotel occupancy. - Amends TCA Title 67, Chapter 4, Part 14.

This law allows the cities of Memphis and Nashville to change how they spend money collected from hotel and motel taxes, provided they do not alter the specific purpose for which the tax was originally set up. Previously, these cities were restricted to using the funds only for the designated use defined in the state code, but this change permits them to reallocate the revenue for other local needs. The bill applies specifically to existing hotel occupancy taxes in these two municipalities and does not affect other cities or types of taxes.