Idaho Vehicle Sales Tax & Fees [+Calculator]
Before you purchase a car, it’s critical to know the associated sales taxes and fees, as they can be hundreds or thousands of dollars.
Idaho falls in the average range of national car sales tax brackets. We will cover the state sales tax and other fees related to vehicle purchases in Idaho and discuss various scenarios that can or cannot discount tax fees.
Table of Contents
- How Much Is the Car Sales Tax in Idaho?
- How to Calculate Idaho Sales Tax on a Car
- Idaho Sales Tax Calculator
- Do I Have to Pay Sales Tax on a Used Car?
- Which City Has the Highest Tax?
- Which City Has the Lowest Tax?
- Car Sales Tax for Trade-Ins in Idaho
- Car Sales Tax on Private Sales in Idaho
- Tax on Rebates & Dealer Incentives
- Idaho DMV/State Fees
- When Sales Tax Is Exempt in Idaho
- Idaho EV Rebates & Incentives
- Best Car Deals by Category
- Frequently Asked Questions
How Much Is the Car Sales Tax in Idaho?
The car sales tax rate for Idaho is 6% on the purchase price of each vehicle you buy.
However, there may be an extra local or county sales tax added onto the base 6% state tax. Local tax rates range from 0% to 3%, with an average of .074%.
How to Calculate Idaho Sales Tax on a Car
It’s easy to calculate the state sales tax on your vehicle purchase in Idaho. Take your original purchase price, deduct any trade-in values, and multiply against the sales tax rate.
For example, imagine you are purchasing a vehicle for $60,000 with the state sales tax of 6%. You trade-in a vehicle for $9,000 and get an incentive for $1,000. Idaho does not charge tax on trade-ins, but does on rebates, so you would only subtract the $9,000 trade-in value from the car cost, to get $51,000, which is the taxable amount.
In this example, multiply $51,000 by .06 to get $3,060.
Calculate Car Sales Tax in Idaho Example:
- Initial Car Price: $60,000
- Sales Tax Rate: 6%
- Trade-In Amount: $9,000
- Rebate/Incentive Amount: $1,000
Sales Tax = ($60,000 - $9,000) * .06
Sales Tax = $3,060
Remember that the total amount you pay for a car (out the door price) not only includes sales tax, but also registration, and dealership fees.
Idaho Sales Tax Calculator
Do I Have to Pay Sales Tax on a Used Car?
Yes. All vehicle purchases, whether new or used, will be subject to the 6% state sales tax.
Which City Has the Highest Tax?
Cities within Blaine County have the highest total sales tax at 9%. The next highest county is Custer County, with an 8.5% total sales tax rate.
Which City Has the Lowest Tax?
Most cities have the lowest sales tax of 6% within certain counties, including:
- Ada County
- Bear Lake County
- Boise County
- Camas County
- Clearwater County
- Gooding County
- Lincoln County
- Twin Falls County
The average sales tax rate in Idaho is 6.074%.
Car Sales Tax for Trade-Ins in Idaho
The trade-in value of your current car will not be subject to the state sales tax.
For example, if you’re purchasing a new vehicle at $50,000, and you have a trade-in value from your current car at $10,000, then you will only be taxed on the difference of $40,000.
Car Sales Tax on Private Sales in Idaho
Private sales of vehicles in Idaho are subject to the 6% sales tax. After your purchase, you will need to go to the Idaho Department of Motor Vehicles to pay the sales tax along with other DMV fees.
Tax on Rebates & Dealer Incentives
Rebates and dealer incentives are subject to the state sales tax meaning you’ll have to pay sales tax regardless of the rebates and dealer incentives.
For example, if a vehicle’s sticker price is $50,000 and you have a rebate of $1,000, and the dealership is offering a $5,000-off holiday incentive, you will still be responsible for paying the full state sales tax on the sticker price of $50,000.
Idaho DMV/State Fees
In addition to sales tax, the Idaho DMV sets related fees that must be paid. These fees are based on many factors like vehicle age, type and weight of vehicle, inspection requirements, your county of residence, and other considerations.
- Title Fee - $14
- VIN Inspection - Add $5 if registering a vehicle that’s never been registered or isn’t currently registered in the state of Idaho
- Smog Testing - $11
- Basic Annual Registration Fee - $45 to $69 based on age of vehicle
- Electric Vehicles - Add $140
- Plug-In Hybrid Vehicles - Add $75
- Plate Transfer Fee - $10
The average DMV costs are $62 for gas-powered vehicles, but may be closer to $92 with other types of vehicles and considerations.
Idaho Dealership Fees
Along with purchasing your car, you will be subject to dealership fees like documentation fees. This can vary from dealer to dealer.
The median document fees add up to $265 in Idaho, and there is no law limiting “doc” fee prices.
When Sales Tax Is Exempt in Idaho
Car sales tax can be exempt if you fall into one of these categories:
- Government Agency
- Non-resident Buyer
- Member of American Indian tribes
- Some Nonprofits
- American Indian tribe
Idaho EV Rebates & Incentives
There is a federal tax credit of up to $7,500 for qualifying EV purchases. Be sure to consult a tax professional to make sure you qualify.
Currently, Idaho does not offer any rebates or incentives for owning an EV or hybrid vehicle. You will, however, be exempt from motor vehicle inspections and maintenance program fees.
Tax information and rates are subject to change, please be sure to verify with your local DMV.
Frequently Asked Questions
What is the sales tax on a car purchased in Idaho?
The state sales tax for a car purchased in Idaho is 6%. There may be extra local or county taxes, but Idaho's average overall sales tax is 6.074%.
Do I have to pay sales tax on a used car in Idaho?
Yes, all car purchases in Idaho are subject to the 6% state sales tax rate plus any local option tax rates.
Which city in Idaho has the lowest tax?
Cities in most Idaho counties have the lowest sales tax rate of 6%.
Which city in Idaho has the highest tax?
All cities within Blaine County are subject to a 9% sales tax rate.
Do I have to pay sales tax on a gifted car in Idaho?
If someone gifts you a car, then you do not have to pay the state sales tax on the car. Be sure to fill out the Sales Tax Exemption form to make this official.
How much is registration in Idaho?
The basic car registration fee in Idaho ranges from $45 to $209, depending on the age and type of vehicle.
Does a trade-in reduce sales tax in Idaho?
Yes. You will only pay sales tax on the cost of the car after the trade-in value is deducted.
How can I avoid paying sales tax in Idaho?
If a friend or family member gifts you a car, you can avoid paying sales tax. Also, if you are not a resident of Idaho when purchasing, you will avoid paying sales tax in that state. Note that buying or receiving vehicles in these manners may accrue other fees.