| Alabama |
2% |
Yes |
Reduced state rate for vehicles; county and city taxes add more.
|
| Alaska |
None |
– |
No state sales tax, but many cities and boroughs charge their own.
|
| Arizona |
5.6% |
Yes |
Transaction privilege tax; county and city rates add more.
|
| Arkansas |
6.5% |
Yes |
Applies to vehicles priced $4,000 or more; 7% for Texarkana residents.
|
| California |
7.25% |
No |
District taxes add more depending on where you live.
|
| Colorado |
2.9% |
Yes |
Local taxes add more, based on where you live.
|
| Connecticut |
6.35% |
Yes |
The rate is 7.75% when the price after trade-in is over $50,000.
|
| Delaware |
5.25% |
Yes |
A vehicle document fee, not a sales tax. It rose from 4.25% to 5.25% on October 1, 2025.
|
| Florida |
6% |
Yes |
County surtax adds more.
|
| Georgia |
7% |
Yes |
One-time title ad valorem tax (TAVT) on fair market value, instead of sales tax.
|
| Hawaii |
4% |
No |
General excise tax; county surcharges add more.
|
| Idaho |
6% |
Yes |
|
| Illinois |
6.25% |
Yes |
Local taxes add more.
|
| Indiana |
7% |
Yes |
|
| Iowa |
5% |
Yes |
A one-time fee for new registration, instead of sales tax.
|
| Kansas |
6.5% |
Yes |
Local taxes add more.
|
| Kentucky |
6% |
No |
Motor vehicle usage tax. A trade-in lowers it only on a used vehicle, and only when both cars are registered in Kentucky.
|
| Louisiana |
5% |
Yes |
State rate since January 1, 2025; parish and city taxes add more.
|
| Maine |
5.5% |
Yes |
|
| Maryland |
6.5% |
No |
Vehicle excise (titling) tax. Trade-ins stopped reducing it on July 1, 2024.
|
| Massachusetts |
6.25% |
Yes |
|
| Michigan |
6% |
Up to $12,000 |
Only the first $12,000 of a trade-in reduces the tax in 2026. The limit rises $1,000 a year until there is no limit.
|
| Minnesota |
6.875% |
Yes |
Motor vehicle sales tax; the rate rose from 6.5% on July 1, 2023.
|
| Mississippi |
5% |
Yes |
Rate for cars and light trucks; local taxes may add more.
|
| Missouri |
4.225% |
Yes |
Local taxes add more, based on where you live.
|
| Montana |
None |
– |
No sales tax. Registration fees depend on the vehicle’s age.
|
| Nebraska |
5.5% |
Yes |
Local taxes add more.
|
| Nevada |
6.85% |
Yes |
County taxes add more.
|
| New Hampshire |
None |
– |
No sales tax. Title and registration fees still apply.
|
| New Jersey |
6.625% |
Yes |
|
| New Mexico |
4% |
Yes |
Motor vehicle excise tax.
|
| New York |
4% |
Yes |
Local sales tax where you live adds more.
|
| North Carolina |
3% |
Yes |
Highway use tax.
|
| North Dakota |
5% |
Yes |
Motor vehicle excise tax.
|
| Ohio |
5.75% |
Yes |
A trade-in lowers the tax only when buying a new vehicle, not a used one. County taxes add more.
|
| Oklahoma |
4.5% |
No |
3.25% excise tax plus 1.25% sales tax on new vehicles, both on the price before any trade-in. Used vehicles: $20 on the first $1,500, then 3.25%, plus the sales tax.
|
| Oregon |
0.5% |
No |
Vehicle privilege tax on new vehicles only (7,500 miles or fewer). No general sales tax.
|
| Pennsylvania |
6% |
Yes |
Local taxes apply in some areas.
|
| Rhode Island |
7% |
Yes |
The trade-in credit applies when a passenger car is traded for a passenger car.
|
| South Carolina |
5% |
Yes |
Capped at $500. Infrastructure maintenance fee instead of sales tax, capped at $500.
|
| South Dakota |
4% |
Yes |
Motor vehicle excise tax.
|
| Tennessee |
7% |
Yes |
Local tax on the first $1,600 and a state single-article tax of up to $44 add a little more.
|
| Texas |
6.25% |
Yes |
|
| Utah |
4.85% |
Yes |
Local taxes add more.
|
| Vermont |
6% |
Yes |
Purchase and use tax on the price or the clean trade-in value, whichever is higher.
|
| Virginia |
4.15% |
No |
Motor vehicle sales and use tax, $75 minimum.
|
| Washington |
6.8% |
Yes |
6.5% state sales tax plus the 0.3% motor vehicle sales tax; local taxes add more.
|
| Washington, DC |
1%–11% |
No |
An excise tax on fair market value, set by weight and city MPG. The calculator starts at 6%, the rate for a 3,500–4,999 lb vehicle that gets 21–25 MPG.
|
| West Virginia |
6% |
Yes |
The trade-in must be titled in West Virginia in your name.
|
| Wisconsin |
5% |
Yes |
County taxes add more.
|
| Wyoming |
4% |
Yes |
Local taxes add more.
|
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