Indiana Car Sales Tax Calculator

What you pay in tax when you buy a vehicle in Indiana, from the statute and the revenue department.

Verified September 21, 2026 · statute and revenue department cross-checked

Vehicle price (USD) Trade-in value (USD)

Buying the car is only half the cost. You still owe an annual registration fee.

What to know about Indiana

A clean 7 percent with no local add-on anywhere in Indiana. Trade-in credit is full and uncapped but only for like-kind trades, vehicle for vehicle. Manufacturer rebates are taxable. From July 1, 2026 Indiana charges a $500 penalty to residents who register through an out-of-state LLC to dodge the tax.

Sources

Statute: IC 6-2.5-2-2

Indiana DOR Sales Tax Information Bulletin #84
“As a general matter, the sales tax rate imposed on all retail transactions in Indiana is 7%.”

Indiana DOR Bulletin #28S
“These examples show that regardless of who receives the rebate, it does not reduce the taxable selling price of the vehicle.”

Last verified: September 21, 2026.

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.