Indiana Car Sales Tax Calculator
Indiana charges 7% indiana sales and use tax on a used car purchase, verified September 15, 2026. There is no local tax on top. A trade-in is deducted before tax. Private-party sales are taxed too, paid when you title the car.
Figures verified September 15, 2026; sources linked per row. Re-checked quarterly, next due December 15, 2026.
Taxable amount: $25,000. Tax only; dealer doc fees, title and registration are separate, and some states tax the doc fee as part of the price. The local figure is an estimate from the state's published range unless you entered your own rate.
The Indiana numbers, with sources
Each figure below was checked on September 15, 2026 against the page linked in the source column, and the wording the state uses is quoted so you can confirm it yourself.
| Item | Indiana | Source |
|---|---|---|
| State rate (Indiana sales and use tax) | 7% | in.gov(state source)As published: “If the motor vehicle is to be moved and titled in another state or country within 30 days of the sale, Indiana sales tax at the rate imposed by that other state or country may apply instead of the normal 7% rate.” |
| Local tax range | None | in.gov(state source)As published: “If the motor vehicle is to be moved and titled in another state or country within 30 days of the sale, Indiana sales tax at the rate imposed by that other state or country may apply instead of the normal 7% rate.” |
| Trade-in credit | Yes, full credit | in.gov(state source)As published: “The value of property from a like-kind exchange is deductible from the taxable gross retail income for Indiana sales tax purposes.” |
| Dealer doc fee | $261.72 cap | in.gov(state source)As published: “the Division advises that it will not take enforcement action related to documentation preparation fees at or below $261.72 as of July 1, 2026.” |
| Title fee | $15 | in.gov(state source)As published: “Issue, duplicate or replace title $15.00” |
| Registration (flat plus value or weight) | $48.35 to $568.35 | in.gov(state source)As published: “Passenger motor vehicle $21.35 ... Transportation Infrastructure Improvement Fee $15.00” |
| Private-party sale taxed | Yes, paid when you title the car | in.gov(state source)As published: “Generally, the sale of any motor vehicle or trailer is subject to Indiana sales and use tax unless such transaction is entitled to a statutory exemption.” |
- Local tax: No local sales tax is added on a vehicle purchase; the Department of Revenue's vehicle bulletin describes a single 7% state rate.
- Trade-in: Like-kind exchanges only (a motor vehicle traded for a motor vehicle); the traded vehicle must be owned and titled in the customer's name; negative equity financed into the deal is not taxed.
- Doc fee: IC 9-32-13-7(b) cap is indexed to the Consumer Price Index by the Secretary of State's Auto Dealer Services Division each July 1: $261.72 from July 1, 2026 (was $251.05 from July 1, 2025).
- Registration: Sum of three state charges: passenger motor vehicle registration fee $21.35, Transportation Infrastructure Improvement Fee $15, and the annual vehicle excise tax, which runs from $12 to $532 depending on vehicle class (manufacturer's original retail price) and age and falls as the vehicle ages (BMV excise tax page https://www.in.gov/bmv/fees-taxes/vehicle-registration-fees-and-taxes/excise-tax-information: 'The excise tax amount is based on the vehicle class and age'; model year 1980 or older pay a flat $12). Counties and municipalities may add a wheel tax or vehicle excise surtax; electric vehicles pay a $242 supplemental fee and hybrids $81.
Next steps
- Out-the-door price calculator: adds the Indiana doc fee, title and registration to the tax for the full figure.
- Dealer doc fees by state and registration and title fees by state: see how Indiana compares.
- All states: the full sales tax table.
Tax is fixed. The price is not.
CarWorthIt prices a specific VIN at its mileage against cars actually for sale near your ZIP code from $2.99. The $9.99 Negotiation Bundle adds an opening offer and a walk-away figure, so the number Indiana taxes is the right one.
Indiana car tax questions
Does Indiana charge sales tax on a private-party car sale?
Yes. Every sale of a motor vehicle is taxable unless a statutory exemption applies; when the seller is not a registered dealer the 7% tax is paid to the Bureau of Motor Vehicles when the buyer files the title application (IC 6-2.5-9-6 conditions title and registration on paying the tax).
Does Indiana give a trade-in credit on car sales tax?
Yes. The value of your trade-in is deducted from the price before Indiana tax is calculated. Like-kind exchanges only (a motor vehicle traded for a motor vehicle); the traded vehicle must be owned and titled in the customer's name; negative equity financed into the deal is not taxed.
What is the dealer doc fee cap in Indiana?
Indiana caps the dealer documentation fee at $261.72 (IC 9-32-13-7(b)). IC 9-32-13-7(b) cap is indexed to the Consumer Price Index by the Secretary of State's Auto Dealer Services Division each July 1: $261.72 from July 1, 2026 (was $251.05 from July 1, 2025).
Do local sales taxes apply to car purchases in Indiana?
No. No local sales tax is added on a vehicle purchase; the Department of Revenue's vehicle bulletin describes a single 7% state rate.
How much does a car title cost in Indiana?
$15 (flat). BMV Fee Chart revised 1/1/26. Speed title $25; administrative penalty for late title $30.
How much is annual car registration in Indiana?
$48.35 to $568.35 a year for a passenger car, flat plus value or weight. Sum of three state charges: passenger motor vehicle registration fee $21.35, Transportation Infrastructure Improvement Fee $15, and the annual vehicle excise tax, which runs from $12 to $532 depending on vehicle class (manufacturer's original retail price) and age and falls as the vehicle ages (BMV excise tax page https://www.in.gov/bmv/fees-taxes/vehicle-registration-fees-and-taxes/excise-tax-information: 'The excise tax amount is based on the vehicle class and age'; model year 1980 or older pay a flat $12). Counties and municipalities may add a wheel tax or vehicle excise surtax; electric vehicles pay a $242 supplemental fee and hybrids $81.
Checking a specific car?