Free Michigan Car Sales Tax Calculator

Work out the Michigan car sales tax on a new or used car. Michigan charges sales tax (6%). Trade-in credit is limited.

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Sales tax (6%).
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
$1,800.00
Taxable amount$30,000.00
Tax$1,800.00
Total due (before title and registration)$31,800.00
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Michigan car sales tax rules

  • Tax type: Sales tax (6%)
  • Rate used in the calculator: 6%
  • Local taxes: Michigan has one statewide 6% rate.
  • Trade-in credit: Yes, up to $12,000 in 2026 on a dealer purchase. The cap rises to $13,000 in 2027 and $14,000 in 2028, and is removed from 2029.
  • Manufacturer rebates: Taxed: tax is figured on the price before the rebate.
  • Also note: Buyers from some other states pay the lower of Michigan’s 6% or their home-state tax.

Tax on common car prices in Michigan

PriceTaxTax with $5,000 trade-inPrice + tax
$10,000$600.00$300.00$10,600.00
$20,000$1,200.00$900.00$21,200.00
$30,000$1,800.00$1,500.00$31,800.00
$40,000$2,400.00$2,100.00$42,400.00
$50,000$3,000.00$2,700.00$53,000.00

At 6%.

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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 Michigan?

Michigan charges sales tax (6%). Trade-in credit is limited.

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

About $1,800.00 at 6%, or $1,500.00 with a $5,000 trade-in. Title, registration and plate fees are extra.

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

Yes, up to $12,000 in 2026 on a dealer purchase. The cap rises to $13,000 in 2027 and $14,000 in 2028, and is removed from 2029.

Do local taxes apply to cars in Michigan?

Michigan has one statewide 6% 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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