New Hampshire Vehicle Sales Tax & Fees

New Hampshire Sales Tax

New Hampshire is often touted as one of the best places to buy and own a car thanks to having no sales tax on vehicle purchases.

You’ll still need to pay dealer fees and registration, but you can save thousands of dollars on sales tax when you register a vehicle in New Hampshire. Keep in mind that where you bought the vehicle will not determine the sales tax, but rather the state you register it in.

Does New Hampshire really have 0% sales tax for vehicles?

How Much Is the Car Sales Tax in New Hampshire?

How Much Is New Hampshire Sales TaxNew Hampshire is one of the five states that does not charge sales tax on vehicle purchases. When you register a vehicle in New Hampshire, you do not have to pay any sales tax.

Keep in mind that you must pay sales tax for the state you register the vehicle in, not the state you purchase it in. Therefore, if you are from another state and purchase a vehicle in New Hampshire, you must pay the sales tax for your state of residence.

Do I Have to Pay Sales Tax on a Used Car?

You do not have to pay sales tax on a used car in New Hampshire since there is no vehicle sales tax.

Which City Has the Highest Tax? Which City Has the Lowest Tax?

All of New Hampshire is tax-free for vehicle sales. This means that no city has higher or lower car tax rates. Therefore, all residents of New Hampshire will not have to pay vehicle taxes.

Trade Ins New HampshireCar Sales Tax for Trade-Ins in New Hampshire

Trade-ins can help lower the cost of purchasing a new vehicle. They will not change the sales tax for a new vehicle purchase, since New Hampshire does not charge sales tax on cars. However, trading in your vehicle can help you drastically reduce the purchase price of the new car.

Car Sales Tax for Private Sales in New Hampshire

You will not have to pay sales tax when purchasing a vehicle from a private seller in New Hampshire. However, you must still register the vehicle and pay the associated registration fees.

Tax on Rebates & Dealer Incentives

New Hampshire Dealer IncentivesRebates and dealer incentives are a great way to save on your new car purchase. They will not impact the sales tax you pay on your vehicle in New Hampshire since there is no car sales tax in that state.

Other Taxes & Fees for New Hampshire

While New Hampshire does not charge vehicle sales tax, they still have DMV fees.

New Hampshire DMV & Registration Fees

  • $18 per thousand for the current model year, $15 per thousand for the prior model year. The registration fee decreases for each year old the vehicle is. For example, a 2020 vehicle that costs $20,000 would cost $300 for new registration.
  • $25 title fee
  • $85 per year for plates
  • City fees. See examples of the city fees in Manchester, NH, here.

New Hampshire Dealership Fees

Documentation fees in dealerships in New Hampshire can vary. Dealers can only charge $27 on state document fees, but there’s no limit to the “administrative” fees they can charge. The average for New Hampshire doc fees was $304 in 2011, but it rose since then. Some dealerships charge up to $495 in documentation fees.

How to Calculate New Hampshire Sales Tax on a Car

You won’t need to calculate any sales tax on cars in New Hampshire, since there is no car sales tax! However, if you are buying the vehicle in New Hampshire and will register it in another state, then you must calculate the sales tax for that state. Additionally, you may want to calculate the registration fees you can expect to pay. See the tax rates for each state here. 

New Hampshire Tax ExemptionsWhen Sales Tax is Exempt in New Hampshire

Most states have car sales tax exemptions, especially for cars made before 1973, gifted vehicles, and disabled owners.

However, sales tax exemptions for vehicles aren’t necessary for New Hampshire since New Hampshire does not charge sales tax.

New Hampshire EV Rebates & Incentives

New Hampshire offers some incentives for electric vehicles.

 

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 cars purchased in New Hampshire?

New Hampshire does not charge sales tax on vehicles. Purchase location does not determine sales tax for a vehicle, state of registration does. If you purchase a vehicle in New Hampshire but register it in another state, you must pay sales tax for the state of registration.

Do I have to pay sales tax on a used car in New Hampshire?

No, you do not have to pay sales tax on a used car in New Hampshire.

Which city in New Hampshire has the lowest tax?

All of New Hampshire charges 0% on car sales tax.

Which city in New Hampshire has the highest tax?

The cities in New Hampshire do not charge sales tax.

Do I have to pay sales tax on a gifted car in New Hampshire?

No, you do not have to pay sales tax on a gifted vehicle in New Hampshire.

How much is registration in New Hampshire?

You must pay the state and the city for registration in New Hampshire. The cost of registration varies based on the model of your car. Registering the current model year starts at $18 per $1,000, while the next model year will cost $15 per every $1,000 of the car’s cost.

Does a trade-in reduce sales tax in New Hampshire?

Trade-in does not impact sales tax in New Hampshire because there is no car sales tax.

How can I avoid paying sales tax in New Hampshire?

If you are registering a car in New Hampshire, you will not have to pay sales tax.