Tennessee Car Sales Tax Calculator Tax, title & license fees (2026)
State sales tax + single-article tax + local option tax · 7% state rate
Calculate Tennessee car tax & fees
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How much is car sales tax in Tennessee?
Tennessee's vehicle tax has three layers: the 7% state sales tax on the full amount, a small state single-article tax on the portion between $1,600 and $3,200, and a local option tax applied only to the first $1,600.
Start with the price minus your trade-in, plus the dealer's doc fee if one is charged. Multiply that by 7%.
Next, the single-article tax: 2.75% of the part of the price between $1,600 and $3,200. It reaches its $44 maximum once the net price passes $3,200, which almost every car does.
Finally, the local option tax applies only to the first $1,600, so even at a 2.75% local rate it adds just $44. Typical fees are a $14 title ($5.50 state plus $8.50 clerk) and $26.50 registration. Electric vehicles pay $200 a year ($274 from January 1, 2027), and hybrids $100. Some counties and cities charge a wheel tax.
- Net = price - trade-in + doc fee
- State tax = net x 7%
- Single-article tax = 2.75% x (portion of net between $1,600 and $3,200), max $44
- Local tax = local rate x min(net, $1,600)
- Total = state tax + single-article + local tax + title + plate + EV/hybrid fee + wheel tax + lien + doc fee
Tennessee car tax example with real numbers
Dealer purchase with a trade-in
You buy a car for $30,000, trade in your old one for $6,000 and pay a $699 doc fee. Your local option rate is 2.75%.
- Net price: $30,000 − $6,000 + $699 = $24,699.
- State tax: $24,699 × 7% = $1,728.93.
- Single-article tax: 2.75% of $1,600 (the $1,600–$3,200 slice) = $44.
- Local tax: $1,600 × 2.75% = $44. With the title and registration, the estimated total is $1,857.43.
| Taxes | |
|---|---|
| State sales tax7% of $24,699.00 | $1,728.93 |
| Single-article tax2.75% of $1,600–$3,200 portion | $44 |
| Local tax (first $1,600)2.75% of $1,600.00 | $44 |
| Title & registration | |
| Title | $14 |
| Registration | $26.50 |
| Estimated total | $1,857.43 |
Computed with the calculator on this page using the figures in our data. Local add-ons not mentioned in the example are left out.
Exceptions that change your Tennessee tax bill
Gifts and family transfers
A gift with nothing paid, and transfers between family members on the Department of Revenue's list, owe no sales tax.
Inheritance and divorce
Inheritance and divorce settlements between spouses owe no sales tax.
Military
Qualifying military purchases are exempt.
Tax paid in another state
Credit for tax paid elsewhere reduces the state and single-article tax, but the local tax is still due.
Tennessee vehicle sales tax rates
| State rate | 7% |
|---|---|
| Single article |
|
| Local rate | Varies by county; applies only to first $1,600 |
Tennessee title & registration fees
| Title | $14 |
|---|---|
| Title breakdown |
|
| Lien | $11 |
| Plate | $26.50 |
| Plate transfer | $1 |
| EV | $200 |
| Hybrid plug-in hybrid | $100 |
| Wheel tax | County/city; varies |
| EV from 2,027 | $274 |
| EV note | $200 for renewals through 2026-12-31; $274 from 2027-01-01 |
| Hybrid note | $100 through 2027; indexed for inflation from 2028 |
Tennessee car tax exemptions & special cases
| Gift | Tax $0 |
|---|---|
| Family transfer (DOR list) | Tax $0 |
| Inheritance | Tax $0 |
| Divorce settlement between spouses | Tax $0 |
| Military exemption | Tax $0 |
| Tax paid to another state | Credit applies to state and single-article tax only; local tax still due |
| Private sale under 75% of fair market value | May require Affidavit of Non-Dealer Transfer |
Tennessee car tax FAQ
Is Tennessee local sales tax charged on the whole price of a car?
No. It applies only to the first $1,600.
What is Tennessee's single-article tax?
A 2.75% state tax on the portion of the price between $1,600 and $3,200, so at most $44.
Is the dealer doc fee taxed in Tennessee?
Yes. When charged, it's included in the taxable amount.
How much do EVs pay in Tennessee?
$200 a year through 2026, rising to $274 from January 1, 2027. Hybrids pay $100.
Sources & verification
We checked these figures against the following official pages on October 7, 2026:
- revenue.support.tn.gov/hc/en-us/articles/360060541291-VR-5-Registration-Fees-for-Hybrid-or
- www.tn.gov/content/dam/tn/revenue/documents/notices/titlereg/tr23-14.pdf
Not yet confirmed on an official page: 7% state; single-article 2.75% on $1,600-$3,200 (max $44); local on first $1,600; title 14; lien 11. Treat these figures as estimates.
What changed in our last review
- EV fee becomes 274 for renewals from 2027-01-01; hybrid indexed for inflation from 2028
Spotted something out of date? Tell us and we'll recheck it.