Free Alabama Car Sales Tax Calculator

Work out the Alabama car sales tax on a new or used car. Alabama charges state automotive sales tax (2%) plus city and county tax, about 7.46% on average with local taxes. Your trade-in lowers the taxable price.

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State 2% plus average local 5.46%. Enter your exact rate if you know it.
More options: rebate, dealer fees, state rules
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Doc fees are taxable in many states. Leave at 0 if unsure.
Estimated tax
$2,238.00
Taxable amount$30,000.00
Tax$2,238.00
Total due (before title and registration)$32,238.00
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Alabama car sales tax rules

  • Tax type: State automotive sales tax (2%) plus city and county tax
  • Rate used in the calculator: 7.46% (state 2% plus the average local rate; up to 10% in some areas)
  • Local taxes: City and county sales taxes apply on top of the 2% state rate. Many localities charge a lower rate on vehicles than on other goods, so check your local automotive rate.
  • Trade-in credit: Yes. Tax is charged on the difference between the price and your trade-in.
  • Manufacturer rebates: Taxed: tax is figured on the price before the rebate.
  • Also note: The 2% state rate on vehicles is half the 4% general rate; parts and accessories bought with the car are taxed at 4%.

Tax on common car prices in Alabama

PriceTaxTax with $5,000 trade-inPrice + tax
$10,000$746.00$373.00$10,746.00
$20,000$1,492.00$1,119.00$21,492.00
$30,000$2,238.00$1,865.00$32,238.00
$40,000$2,984.00$2,611.00$42,984.00
$50,000$3,730.00$3,357.00$53,730.00

At 7.46%. Your exact rate depends on where you live or register the car; enter it in the calculator.

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Other costs when you buy a car

On top of the tax, expect title, registration and plate fees, and a dealer documentation fee. Check whether the car fits your budget with the car affordability calculator, or compare with a lease.

Frequently asked questions

How much is sales tax on a car in Alabama?

Alabama charges state automotive sales tax (2%) plus city and county tax, about 7.46% on average with local taxes. Your trade-in lowers the taxable price.

How much tax will I pay on a $30,000 car in Alabama?

About $2,238.00 at 7.46%, or $1,865.00 with a $5,000 trade-in. Title, registration and plate fees are extra.

Does a trade-in reduce car sales tax in Alabama?

Yes. Tax is charged on the difference between the price and your trade-in.

Do local taxes apply to cars in Alabama?

City and county sales taxes apply on top of the 2% state rate. Many localities charge a lower rate on vehicles than on other goods, so check your local automotive rate.

Sources

Rules last reviewed 2026-11-11. Estimates only; the dealer or your state motor vehicle agency calculates the final amount.

Other states

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