The state of Utah applies a tax rate of 6.85% to all car purchases. The total tax on your purchase, however, will take county and local rates into account, which combined can total up to 9.05%. The average total car sales tax in Utah ranges from 6.85% and 8.7%.
Finding the perfect car is hard enough without having to calculate the taxes that will contribute to the final sale price. Whether you live in Salt Lake City
or outside of Ogden
, you’ll have to pay the state car sales tax in addition to your local taxes. Thankfully, car insurance
expert app Jerry
is here to go over the car sales tax in Utah. We’ll break down how much you can expect to pay and exemptions to the sales tax laws—plus, how to save on your Utah car insurance costs
! How much is the car sales tax rate in Utah?
Utah’s statewide sales tax is 6.85% for new and used vehicle purchases. On top of that, you’ll also have to factor in the county or local sales tax for the dealership where you’re buying.
Summit County is the most expensive place in Utah for car sales tax—buying a car here comes with a sales tax rate of 9.05%. Piute and Wayne County charge the lowest sales tax for car purchases—the same as the state tax rate at 6.85%.
How are car trade-ins taxed in Utah?
Most dealerships allow you to trade in an old vehicle
and apply the value of the trade-in to your purchase, and in Utah, the value of a trade-in is not subject to tax. Therefore, the full trade-in credit is deducted from the taxable price of your new vehicle. For example, say you’re buying a $27,000 Honda CR-V
in Wayne County, and you want to trade in a Toyota Avalon
for a credit of $2,500. The total taxable amount of your purchase subject to Wayne County’s 6.85% combined tax rate will only be $24,500. Dealer rebates and incentives, on the other hand, may not be exempt from sales tax. In general, you can expect the taxable price of your vehicle to be the price before dealer incentives come into effect.
How to calculate sales tax on a car in Utah
With Utah’s online tax calculator tool
, you can easily get an estimate of how much sales tax you can expect to pay on your car purchase. All you need to do is enter your dealership’s address and the price tag value of your vehicle. Key Takeaway To determine the car sales tax where you live, combine the statewide sales tax of 6.85% with your local or county sales tax.
MORE: Best road trips in Utah
Exemptions from Utah car sales tax
There are a few circumstances in Utah where a car sales tax does not apply to a purchase:
Sales in different states
Use of vehicles by an authorized carrier
Auxiliary equipment added by an authorized carrier
Resale or re-lease with a certificate of exemption
Diplomat vehicles with proper documentation
You can visit Utah’s DMV website
to find out more about car purchases that are exempt from a car sales tax. How to estimate Utah tax, title, and registration fees
In addition to the car sales tax in Utah, you’ll also have some additional fees to factor into the final cost of your vehicle purchase. Title and registration fees, license plates transfer costs, and any dealership documentation fees all come into play.
Here’s a list of the average costs you might expect to pay for a car purchase in Utah:
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| $305 (varies depending on the dealership) |
MORE: Is car insurance tax deductible?
How to find affordable car insurance in Utah
Now that you know how much you’ll pay for your car purchase, why don’t you see if you can save on your insurance with the Jerry
app? Jerry is easy to use—no long wait times and no unexpected phone calls to worry about! Download the app and relax as Jerry searches for custom quotes from 50+ top insurance companies. And the best part? Jerry users save an average of $800+ a year on car insurance!
“I had a great experience using Jerry
for the first time. Once my boyfriend buys his new car, we’ll use Jerry together to make sure he doesn’t end up overpaying on new insurance!” —Stephanie S.
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