Car Sales Tax by State (2026)
Most lists of state sales tax rates are wrong for cars. North Carolina's general sales tax averages over 7%, but a car pays a 3% highway use tax instead. Georgia, Iowa, Kentucky, New Mexico and the Dakotas also replace sales tax with a vehicle tax of their own. South Carolina caps the whole thing at $500. And in a few states your trade-in does not lower the tax at all.
The table below gives the rate a car actually pays in each state, the typical local add-on, whether a trade-in reduces the taxable price, and the title fee. Every rule was checked against the state's revenue or motor vehicle agency, or the statute itself. The sources for each state are listed under the table.
To check the tax on a real quote, pick your state in the out-the-door price calculator. It works out the expected tax for your price, trade-in and rebates and flags a quote that charges more.
Why the trade-in rule matters
Take a $35,000 car with a $10,000 trade-in. In North Carolina the 3% tax applies to the $25,000 difference: $750.00. Texas does the same at 6.25%: $1,562.50. Virginia's rate is lower than Texas's, but Virginia taxes the full $35,000, so the tax is $1,452.50. California also ignores the trade-in, and its state rate alone comes to $2,537.50 before district taxes.
Selling your old car yourself usually gets you more money than a dealer's trade-in offer. In states that subtract the trade-in, the tax saving shrinks that gap. Missouri, Arkansas, Delaware and Vermont also give a tax credit when you sell your old car privately within a set number of days of buying the new one.
Vehicle tax, local add-ons and title fees
| State | Vehicle tax | Local add-on | Trade-in lowers the tax | Title fee |
|---|---|---|---|---|
| Alabama | 2% | Varies by city and county | Not confirmed | $15 |
| Alaska | None | Varies by city and county | Not applicable | $15 |
| Arizona | 5.6% | 2.94% average, up to 5.3% | Yes | $4 |
| Arkansas | 6.5% | 2.98% average, up to 6.13% | Yes | $10 |
| California | 7.25% | 1.78% average, up to 5.25% | No | $28 |
| Colorado | 2.9% | 4.99% average, up to 9.1% | Yes | $7.20 |
| Connecticut | 6.35% (7.75% over $50,000) | None | Yes | $25 |
| Delaware | 5.25% | None | Yes | $35 |
| District of Columbia | 1% to 11% by weight and MPG | None | Not applicable | Not confirmed |
| Florida | 6% + county surtax on the first $5,000 | 0.98% average, up to 2% | Yes | $75.25 |
| Georgia | 7% | None | Yes | $18 |
| Hawaii | 4% | 0.5% average, up to 0.712% | Depends on the dealer | Not confirmed |
| Idaho | 6% | None | Yes | $14 |
| Illinois | 6.25% | 2.73% average, up to 4.75% | Yes | $165 |
| Indiana | 7% | None | Yes | $15 |
| Iowa | 5% + $10 | None | Yes | $35 |
| Kansas | 6.5% | 2.21% average, up to 4.25% | Yes | $10 |
| Kentucky | 6% | None | Yes | Not confirmed |
| Louisiana | 5% | 5.13% average, up to 7% | Yes | $68.50 |
| Maine | 5.5% | None | Yes | $33 |
| Maryland | 6.5% | None | Yes | $200 |
| Massachusetts | 6.25% | None | Yes | $75 |
| Michigan | 6% | None | Up to $12,000 (2026) | $15 |
| Minnesota | 6.875% | None | Yes | $22.50 |
| Mississippi | 5% | None | Yes | $9 |
| Missouri | 4.225% | 4.22% average, up to 6.25% | Yes | $17.50 |
| Montana | None | None | Not applicable | $12.36 |
| Nebraska | 5.5% | 1.48% average, up to 2.5% | Yes | $10 |
| Nevada | 6.85% | 1.39% average, up to 1.53% | Yes | $28.25 |
| New Hampshire | None | None | Not applicable | $35 |
| New Jersey | 6.625% | None | Yes | $60 |
| New Mexico | 4% | None | Yes | Not confirmed |
| New York | 4% | 4.54% average, up to 4.875% | Yes | $50 |
| North Carolina | 3% | None | Yes | $66.75 |
| North Dakota | 5% | None | Yes | $5 |
| Ohio | 5.75% | 1.54% average, up to 2.25% | New cars only | $18 |
| Oklahoma | 3.25% excise + 1.25% sales tax | None | Yes | $11 |
| Oregon | None (0.5% dealer tax on new cars) | None | No | $106 |
| Pennsylvania | 6% | 0.34% average, up to 2% | Yes | $72 |
| Rhode Island | 7% | None | Yes | $53.50 |
| South Carolina | 5%, capped at $500 | None | Not confirmed | $15 |
| South Dakota | 4% | None | Yes | $10 |
| Tennessee | 7% + local tax on the first $1,600 | 2.61% average, up to 2.75% | Yes | Not confirmed |
| Texas | 6.25% | None | Yes | $33 |
| Utah | 6.1% | 1.32% average, up to 4.7% | Yes | $6 |
| Vermont | 6% | None | Yes | $42 |
| Virginia | 4.15% ($75 minimum) | None | No | $15 |
| Washington | 7% (6.5% + 0.5% motor vehicle tax) | 3.07% average, up to 4.2% | Yes | $29 |
| West Virginia | 6% | None | Yes | $15 |
| Wisconsin | 5% | 0.72% average, up to 2.9% | Yes | $214.50 |
| Wyoming | 4% | 1.39% average, up to 3% | Yes | $15 |
Rules checked against each state's official sources on 2026-10-09.
What the table does not cover
- Your exact local rate. Where local tax applies to cars, the table shows the population-weighted average and the highest local rate. Most states use the rate where you live or register the car. Kansas uses the higher of the dealer's rate and yours, and Nevada and Utah use the dealer's.
- Doc fees and add-ons. Many states tax the dealer's doc fee and products like paint protection along with the car. That raises the tax above what the price alone would give.
- Rebates. Some states tax the price before manufacturer rebates (Mississippi, Arkansas, West Virginia and South Dakota among them). Others tax the price after. Where we could not confirm the rule, the calculator shows both.
- Private sales. Several states tax a private sale on a book value when it is higher than the price paid, and most give no trade-in credit outside a dealer.
- Registration. Registration is often based on the car's value, weight or age, so it does not fit in one number. Each state's note below says what goes into it.
How this page is kept current
Every state's rules point to the official pages they came from. Those pages are checked for changes every week, and any change is reviewed by hand before this page is updated. The whole table is also reviewed each January and July, when most new tax laws take effect. Rates that changed recently include Maryland (6.5% from July 2025), Delaware (5.25% from October 2025), Louisiana (5% from January 2025) and Washington's motor vehicle tax (0.5% from January 2026).
If you spot a rule that is out of date, please tell us on the contact page.
State notes and sources
Alabama
Cities and counties add their own vehicle sales tax rates, which are lower than their general rates. There is no statewide average, so check the rate for your address.
Registration: $23 standard plate plus $1.25 issuance fee, plus county ad valorem tax and local fees.
Sources: Alabama Department of Revenue, Sales and Use Tax Rates; Alabama Department of Revenue, Motor Vehicle Certificate of Title Fee; Alabama Department of Revenue, Motor Vehicle Registration Fees.
Alaska
There is no state sales tax. Some cities and boroughs charge local sales tax, often capped on large purchases.
Registration: $100 for two years for a passenger vehicle, plus a motor vehicle registration tax set by your borough or city.
Sources: Alaska Division of Community and Regional Affairs, Alaska Sales Tax Information; Alaska DMV, New Vehicle.
Arizona
Some cities tax the part of a single item over a set price at a different rate.
Registration: $8 registration plus the vehicle license tax, which is based on 60% of the manufacturer's base retail price and falls each year.
Sources: Arizona Department of Revenue, Transaction Privilege Tax Ruling TPR 96-1 (trade-ins); Arizona Department of Revenue, Tax Rate Table; ADOT MVD, Vehicle Title.
Arkansas
Local tax is capped at $25 for each 1% of local rate. Used cars under $4,000 are not taxed, and used cars under $10,000 pay a reduced 3.5% state rate. Texarkana residents pay 7%.
Registration: $17 to $30 a year by weight, plus a $2.50 validation fee.
Sources: Arkansas DFA, State Sales and Use Tax Rates; Arkansas DFA, Motor Vehicle Registration Fee Schedule.
California
District taxes follow the address where you register the car.
Registration: $76 registration and a $34 CHP fee, plus a vehicle license fee of 0.65% of the price (trade-in not deducted) and transportation improvement and county fees.
Sources: CDTFA, Tax Guide for Motor Vehicle Dealers; California DMV, Registration Fees.
Colorado
City, county and special district taxes follow the address where you register the car.
Registration: Registration fees plus specific ownership tax, based on the original MSRP and the car's age. On a new car this is often several hundred dollars.
Sources: Colorado Department of Revenue, Sales and Use Tax Topics: Motor Vehicle Sales; Colorado DMV, Vehicle Taxes and Fees.
Connecticut
The rate is 7.75% when the price before the trade-in is over $50,000.
Registration: Registration plus plate, administrative, Clean Air Act and emissions exemption fees. The DMV estimates about $195 for a passenger car with new plates and no lien.
Sources: Connecticut DMV, Sales tax on first time vehicle registrations; Connecticut DMV, DMV fees.
Delaware
Delaware has no sales tax but charges a 5.25% document fee (since October 1, 2025) on the price or the NADA trade-in value, whichever is higher.
Registration: $40 a year. Alternative fuel vehicles pay $110 a year more.
Sources: Delaware DMV, Trade-in credit; State of Delaware News, DMV Fees Increase in October 2025; Delaware DMV, Fees.
District of Columbia
DC charges an excise tax of 1% to 11% of the car's fair market value, set by its weight and city MPG. Use the DC DMV excise tax estimator for your car.
Registration: By weight: $70 under 3,500 lb, $175 for 3,500 to 4,999 lb, $300 for 5,000 to 5,999 lb (from March 30, 2026).
Sources: DC DMV, Vehicle Title and Excise Tax Fees; DC DMV, Vehicle Registration Fees.
Florida
County surtax applies only to the first $5,000 of the price. The trade-in must be part of the same sale.
Registration: Registration by weight, a plate fee, and a $225 initial registration fee if you have no plate to transfer.
Sources: Florida Department of Revenue, Sales and Use Tax on Motor Vehicles (GT-800030); Florida Department of Revenue, Discretionary Sales Surtax (GT-800019); FLHSMV, Motor Vehicle Registrations.
Georgia
Georgia charges a one-time title ad valorem tax (TAVT) of 7% instead of sales tax, on the price or the state's assessed value, whichever is higher. A trade-in counts only on a dealer purchase.
Registration: $20 a year for a regular passenger car.
Sources: Georgia Department of Revenue, Title Ad Valorem Tax (TAVT) FAQ; Georgia Department of Revenue, Motor Vehicles Fees, Fines, and Penalties.
Hawaii
Hawaii's general excise tax is a tax on the dealer, who may pass it on at up to 4.712%. The law lets the dealer either tax the full price or subtract your trade-in, so ask which they used.
Registration: State $46 and county $20 registration fees, a $7 beautification fee, plus a county weight tax. Honolulu says a typical 3,320 lb car costs about $364 a year.
Sources: Hawaii Department of Taxation, County Surcharge on General Excise and Use Tax; Hawaii Revised Statutes chapter 237, section 237-3 (trade-ins); City and County of Honolulu, Vehicle Ownership Transfer.
Idaho
A trade-in counts only on a dealer purchase.
Registration: $69 a year for a car one or two years old, plus county fees. Electric cars pay $140 a year more, plug-in hybrids $75.
Sources: Idaho State Tax Commission, Sales Price (vehicle dealers); Idaho Transportation Department, Vehicle Registrations.
Illinois
Chicago and Cook County add their own vehicle taxes.
Registration: $151 a year for a passenger car, $251 for an electric car.
Sources: Illinois Department of Revenue, Vehicle Tax FAQs; Illinois Secretary of State, Fees.
Indiana
Registration: $21.35 registration plus an annual vehicle excise tax by price class and age (up to $532 in the first year), plus county excise or wheel tax in some counties.
Sources: Indiana Department of Revenue, Sales Tax Information Bulletin 28S; Indiana BMV, Fee Chart.
Iowa
Iowa charges a fee for new registration of $10 plus 5% of the price instead of sales tax. A trade-in counts only if the same people are on both titles.
Registration: Annual registration based on weight and value. Electric cars pay $130 a year more.
Sources: Iowa Code 321.105A, Fee for new registration; Iowa Administrative Code 701-250.3, Trades; Iowa DOT, Register a Vehicle.
Kansas
You pay the higher of the local rate where you buy and the local rate where you register.
Registration: Registration by weight plus county property tax.
Sources: Kansas Department of Revenue, Pub. KS-1526 Business Taxes for Motor Vehicle Transactions; Kansas Division of Vehicles, Titling a Vehicle FAQ.
Kentucky
Kentucky charges a 6% motor vehicle usage tax instead of sales tax.
Registration: $11.50 a year state registration plus a $6 county clerk fee, plus local property tax.
Sources: Kentucky Department of Revenue, Motor Vehicle Usage Tax; KRS 186.050, Registration fees.
Louisiana
Parish and city tax follow where the car is registered.
Registration: Plate fee of 0.1% of the car's value a year, sold in two-year terms, plus an $8 handling fee and up to $6 local fee.
Sources: Louisiana Department of Revenue, What is the state sales tax rate?; Louisiana OMV, Vehicle Registration, Title and Plate Fees.
Maine
Registration: $35 registration plus a municipal excise tax on the MSRP, about $24 per $1,000 in the first year.
Sources: Maine Revised Statutes 36 MRSA 1765, Trade-in credit; Maine BMV, Register a Passenger Vehicle.
Maryland
Maryland charges a 6.5% titling excise tax (6% before July 1, 2025).
Registration: $120.50 to $191.50 a year by weight, plus a $40 yearly EMS surcharge.
Sources: Maryland MVA, Excise Tax; Maryland MVA, Fees and Payment Options.
Massachusetts
A trade-in counts only when a Massachusetts-registered dealer takes it at the time of the sale.
Registration: Registration depends on plate type.
Sources: Mass.gov, Motor Vehicle and Trailer Sales and Use Tax; Mass.gov, Apply for a certificate of title.
Michigan
In 2026 the trade-in deduction is capped at $12,000. The cap rises $1,000 each year.
Registration: Registration is a percentage of the car's MSRP when first titled.
Sources: Michigan Department of Treasury, Form 485 instructions (2026); Michigan Secretary of State, Title transfer and vehicle registration.
Minnesota
Local sales tax does not apply to cars, but some cities and counties charge a $20 vehicle excise tax. The title fee shown includes the $12 filing fee and $2.25 technology surcharge.
Registration: Registration tax based on the car's base value, plus wheelage tax in some counties.
Sources: Minnesota Department of Revenue, Motor Vehicle Sales; Minnesota DVS, Vehicle fees.
Mississippi
Trucks over 10,000 lb pay 3%.
Registration: $14 first registration plus privilege tax and county ad valorem tax based on the car's value.
Sources: Mississippi Department of Revenue, Motor Vehicle FAQ.
Missouri
You pay the local tax where you live, not where you buy. Selling your old car yourself within 180 days can also lower the tax.
Registration: Registration by taxable horsepower, $18.25 to $51.25 a year, plus a $9 processing fee.
Sources: Missouri Department of Revenue, Buying a Vehicle (Form 5687, April 2026); Missouri Department of Revenue, Motor Vehicle Fees.
Montana
Montana has no sales tax on vehicles.
Registration: $217 base registration for a car up to 4 years old, plus a 3% administrative fee and a county option tax.
Sources: Montana MVD, Light Vehicle Registration and Fees.
Nebraska
Local tax follows the address where you register the car.
Registration: $15 registration plus a motor vehicle tax based on MSRP and age, a motor vehicle fee, and small county fees.
Sources: Nebraska Department of Revenue, Sales and Use Tax FAQs; Nebraska DMV, Registration Fees and Taxes.
Nevada
The county rate is the one where the sale happens.
Registration: $33 registration plus a governmental services tax of 4% of 35% of MSRP, depreciated each year (an extra 1% in Clark and Washoe counties).
Sources: Nevada Department of Taxation, Automotive; Nevada DMV, Vehicle Registration Fees.
New Hampshire
New Hampshire has no sales tax on vehicles.
Registration: A state fee by weight plus a municipal permit fee of 18 mills per dollar of list price in the first year.
Sources: NH DMV, Purchasing or Selling a Titled Vehicle; RSA 261:153, Fees for Registration Permits.
New Jersey
The title fee is $85 with one lien.
Registration: Registration based on model year and weight.
Sources: New Jersey Division of Taxation, Consumer Automotive Tax Guide; NJ MVC, Title a new vehicle.
New Mexico
New Mexico charges a 4% motor vehicle excise tax instead of sales tax.
Registration: $27 to $62 a year by weight and model year.
Sources: New Mexico Taxation and Revenue, Motor Vehicle Excise Tax; New Mexico MVD, What is the fee for registering my vehicle?.
New York
The local rate is the one where you live, not where you buy.
Registration: Two-year registration by weight ($26 to $140), a $25 plate fee, county use tax, and a supplemental fee in the metro commuter district.
Sources: NY Department of Taxation and Finance, Motor Vehicles, Vessels, and Trailers (TB-ST-590); NY DMV, Passenger Vehicle Registration Fees.
North Carolina
North Carolina charges a 3% highway use tax instead of sales tax.
Registration: $46.25 a year for a private passenger car. County property tax is billed with each renewal.
Sources: N.C. General Statute 105-187.3, Rate of tax; NCDMV, Vehicle Title and Registration Fees.
North Dakota
North Dakota charges a 5% motor vehicle excise tax instead of state and local sales tax.
Registration: Annual registration by weight and the year the car was first registered.
Sources: North Dakota Office of State Tax Commissioner, Sales Tax: Motor Vehicle; NDDOT, Motor Vehicle Registration Manual.
Ohio
A trade-in lowers the tax only when you buy a new car. The county rate is the one where you live.
Registration: $36 registration plus deputy registrar and local permissive taxes (up to $30). Hybrids pay $100 a year more, electric cars $200.
Sources: Ohio Department of Taxation, Sales Tax for Motor Vehicles; Ohio BMV, Documents and Fees.
Oklahoma
Oklahoma charges a 3.25% excise tax on the full price and a 1.25% sales tax on the price after the trade-in. On a used car the excise tax is $20 on the first $1,500 and 3.25% of the rest.
Registration: $96 a year for years one to four, plus small transfer, insurance and inspection fees.
Sources: Oklahoma Tax Commission, OAC 710:60 Motor Vehicles; Oklahoma Tax Commission, Chapter 65 sales and use tax rules; Service Oklahoma, Fees.
Oregon
There is no sales tax. Dealers pay a 0.5% privilege tax on new cars and often list it on the quote. The title fee shown is for 20 to 39 MPG.
Registration: Two-year registration of $126 to $156 by MPG ($316 electric), plus county fees in some counties.
Sources: Oregon Department of Revenue, Revenue Streams; Oregon DMV, Vehicle Title, Registration and Permit Fees.
Pennsylvania
Allegheny County residents pay 7% and Philadelphia residents 8%.
Registration: $48 a year, plus a $5 county fee in some counties.
Sources: PennDOT, Buying and Selling a Vehicle fact sheet; PennDOT, Payments and Fees.
Rhode Island
A trade-in counts at a dealer, not in a private sale.
Registration: Registration by weight plus a surcharge and technology fees. Electric cars pay $200 a year more from 2026.
Sources: Rhode Island DMV, Sales Tax; Rhode Island DMV, Registration and Title Fees.
South Carolina
South Carolina charges an infrastructure maintenance fee of 5%, capped at $500, instead of sales tax.
Registration: $40, paid every two years. Hybrids pay $60 more, electric cars $120.
Sources: SCDOR, Sales and Use Tax Guide for Automobile and Truck Dealers; SCDMV, Fees.
South Dakota
South Dakota charges a 4% motor vehicle excise tax instead of sales tax.
Registration: Annual registration by weight and age.
Sources: South Dakota Department of Revenue, Motor Vehicle Procedures Manual; South Dakota Department of Revenue, Cars, Trucks and Vans.
Tennessee
Local tax applies only to the first $1,600 of the price, and a 2.75% state single article tax applies to the next $1,600.
Registration: $26.50 standard plate plus county fees.
Sources: Tennessee Department of Revenue, Single Article Special Tax Rates; Tennessee Department of Revenue, Automotive Dealership Manual (December 2024).
Texas
There is no local tax on vehicles. The title fee is $28 outside the counties with air quality programs.
Registration: $50.75 base, $1 insurance verification and $4.75 processing, plus county fees up to $31.50.
Sources: Texas Comptroller, Motor Vehicle Sales and Use Tax; TxDMV, Texas Registration Fees 2026.
Utah
A dealer sale uses the dealer's local rate. The trade-in must be part of the same sale.
Registration: Registration varies by type, weight and county, plus an age-based fee of $150 for 2024 to 2026 models.
Sources: Utah State Tax Commission, Pub 5, Sales Tax Info for Vehicle Dealers; Utah DMV, Summary of Common Fees.
Vermont
Vermont charges a 6% purchase and use tax on the price or the J.D. Power value, whichever is higher.
Registration: $91 for one year for a gas or diesel car, $178 electric.
Sources: Vermont DMV, Tax; Vermont DMV, Registration Fees.
Virginia
Virginia's 4.15% motor vehicle sales and use tax has a $75 minimum and no trade-in deduction.
Registration: $30.75 a year up to 4,000 lb, plus local fees in some cities and counties.
Sources: Code of Virginia 58.1-2401, Definitions; Virginia DMV, DMV Fees (DMV 201).
Washington
The state rate here is the 6.5% sales tax plus the 0.5% motor vehicle tax (0.3% before 2026). Cars over $100,000 also pay an 8% luxury tax on the amount above $100,000.
Registration: $43.25 basic fee plus weight fees and, in the Sound Transit district, a regional transit tax of 1.1% of the car's depreciated value.
Sources: Washington DOR, Motor vehicle sales/use tax; Washington DOR, Trade-ins (auto dealers); Washington DOL, Calculate vehicle tab fees.
West Virginia
A trade-in counts only if it is titled in West Virginia in your name.
Registration: $51.50 for a standard plate, $251.50 electric.
Sources: WV DMV, Titles; W. Va. Code 11-15-3c.
Wisconsin
Counties that have adopted it add 0.5%. The trade-in must go to the dealer selling you the car.
Registration: $85 a year for a car. Electric cars pay $175 more, hybrids $75.
Sources: Wisconsin DOR, Sales and Use Tax Information for Motor Vehicle Sales (Pub 202); WisDOT, DMV fees.
Wyoming
The trade-in must be titled in your name and part of the same sale.
Registration: County registration fees based on the car's factory cost and age.
Sources: WYDOT, Wyoming Sales/Use Tax Statement for Motor Vehicle Sales; WYDOT, Titles, Plates and Registration.
Sources
- Tax Foundation, State and Local Sales Tax Rates, Midyear 2026 (average and maximum local rates, as of July 1, 2026)
- Florida Department of Revenue, TIP 26A01-01, Motor Vehicle Sales Tax Rates by State (February 11, 2026), used to cross-check state rates
- Each state's revenue and motor vehicle agency sources, listed under that state above
This page is general information, not tax or legal advice. Confirm the tax on your purchase with your state or the dealer before you sign.