The state rate is only 2.9 percent but local and special district taxes usually more than double it. What matters is where you register, not where you buy. Trade-ins reduce the base. Manufacturer rebates and EV tax credits do not, which surprises a lot of buyers.
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Sources
Statute: C.R.S. § 39-26-106, § 39-26-113
Colorado Department of Revenue, Motor Vehicle Sales “Which local taxes apply depends on the city, county, and special district(s) in which the vehicle will be registered ... Dealer discounts may reduce the taxable purchase price, but rebates and tax credits do not. ... the fair market value of the trade-in is excluded from the taxable purchase price”
Last verified: September 21, 2026.
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Estimates only. Your dealer or the state issues the final bill, and exemptions can change what you owe. This page does not collect or store anything you enter.