Free Tennessee Car Sales Tax Calculator

Work out the Tennessee car sales tax on a new or used car. Tennessee charges sales tax (7%) plus local tax on the first $1,600. Your trade-in lowers the taxable price.

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State 7%. Local tax (average 2.61%) is added on the first $1,600 only.
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
$2,141.76
Taxable amount$30,000.00
Tax$2,141.76
Total due (before title and registration)$32,141.76
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Tennessee car sales tax rules

  • Tax type: Sales tax (7%) plus local tax on the first $1,600
  • Rate used in the calculator: 7%
  • Local taxes: Local tax applies only to the first $1,600 of the price. A state single-article tax of 2.75% also applies to the next $1,600 (at most $44).
  • Trade-in credit: Yes, up to the price of the car you buy.
  • Manufacturer rebates: Taxed: tax is figured on the price before the rebate.
  • Also note: Manufacturer rebates do not reduce the taxable price. The calculator leaves out the single-article tax (at most $44).

Tax on common car prices in Tennessee

PriceTaxTax with $5,000 trade-inPrice + tax
$10,000$741.76$391.76$10,741.76
$20,000$1,441.76$1,091.76$21,441.76
$30,000$2,141.76$1,791.76$32,141.76
$40,000$2,841.76$2,491.76$42,841.76
$50,000$3,541.76$3,191.76$53,541.76

At 7%.

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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 Tennessee?

Tennessee charges sales tax (7%) plus local tax on the first $1,600. Your trade-in lowers the taxable price.

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

About $2,141.76 at 7%, or $1,791.76 with a $5,000 trade-in. Title, registration and plate fees are extra.

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

Yes, up to the price of the car you buy.

Do local taxes apply to cars in Tennessee?

Local tax applies only to the first $1,600 of the price. A state single-article tax of 2.75% also applies to the next $1,600 (at most $44).

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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