Oklahoma (OK) Vehicle Sales Tax & Fees [+ Calculator]

Oklahoma Sales Tax

Looking to purchase a vehicle in Oklahoma? Then you may have to pay an excise sales tax of 3.25%.

Because of this potential expense, many people want to know if tax exemptions or if buying a car out of state can help.

Let our experienced editors guide you through the current sales tax rate and associated fees with Oklahoma car sales.

Key Takeaways

  • Vehicle excise sales tax in Oklahoma is 3.25%
  • Rebates, incentives, and trade-ins are subtracted before sales tax is applied
  • The only vehicles exempt from sales tax are vehicles received as a gift or in a divorce or will

How Much Is the Car Sales Tax in Oklahoma?

How Much Is Oklahoma Sales TaxThe Motor Vehicle Excise Tax on a new vehicle sale is 3.25%.

The normal sales tax in Oklahoma is 4.5%, but all new vehicle sales are taxed at a flat 3.25%. There are special tax rates and conditions for used vehicles, which we will cover later.

How to Calculate Oklahoma Sales Tax on a New Car

To calculate the sales tax on your vehicle, find the total sales tax fee for the city and/or county. In Oklahoma, this will always be 3.25%. Multiply the vehicle price (after trade-ins and incentives) by the sales tax fee.

For example, imagine you are purchasing a vehicle for $50,000 with the state sales tax of 3.25%. You trade-in a vehicle for $5,000 and get an incentive for $1,000. Oklahoma does not charge tax on trade-ins or incentives/rebates, so you would subtract $6,000 from the car cost, to get $44,000, which is the taxable amount.

In this example, multiply $44,000 by .0325 to get $1,430. The total purchase price of the vehicle would be $45,430.

Calculate Sales Tax in Oklahoma Example (New Car)

  • Initial Car Price: $50,000
  • Sales Tax Rate: 3.25%
  • Trade-In Amount: $5,000
  • Rebate/Incentive Amount: $1,000

Sales Tax = ($50,000 - $5,000 - $1,000) * .0325
Sales Tax = $1,430

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

You will have to pay the same 3.25% sales tax on used vehicles, however, the first $1,500 is taxed for $20, and the remainder is taxed at the 3.25% rate.

Calculate Sales Tax in Oklahoma Example (Used Car)

  • Initial Car Price: $20,000
  • First $1,500 Tax: $20
  • Remainder Amount to be Taxed at 3.25%: $18,500
  • Tax for Remaining Amount: $601.25
  • Total Tax: $601.25 + $20 = 621.25

Total Tax = $20 + [($20,000-$1,500) * .0325]

Oklahoma Sales Tax Calculator for New & Used Cars

Which County Has the Highest Tax? Which Has the Lowest?

The county with the highest sales tax is Okfuskee County with an 11.5% tax rate. The county with the lowest sales tax is Washington County with an 8.9% tax rate.

However, Oklahoma charges a flat 3.25% Motor Vehicle Excise Tax for car purchases.

Car Sales Tax for Trade-Ins in Oklahoma

Trade In OklahomaYou do not have to pay a sale tax on the trade-in on your vehicle in the state of Oklahoma.

In other words, when calculating sales tax, be sure to subtract the trade-in amount from the car price.

Let’s say that you're purchasing a new car for $40,000 and your trade-in is valued at $10,000. This would put your new vehicle purchase price at $30,000, which is the taxable amount.

Car Sales Tax on Private Sales in Oklahoma

You will have to pay the Motor Vehicle Excise Tax of 3.25% for private sales.

It's important to note, that for used cars, the first $1,500 has a flat $20 tax, and the remainder is then taxed at 3.25%.

Tax on Rebates & Dealer Incentives

Dealer Incentive OklahomaThe state of Oklahoma does not tax rebates and dealer incentives. In other words, be sure to subtract any rebates or incentives from the purchases price before calculating the sales tax amount.

As an example, let’s say you want to purchase a new truck for $50,000 and the dealer provides a $4,000 rebate. You do not have to pay a sales tax on the $4,000 rebate. Therefore, the taxable amount is $46,000.

Oklahoma DMV & State Fees

The vehicle registration fee will vary according to how long you own the vehicle.

  • First Year - Fourth Year: $91.00 per year
  • After Fourth Year: $81.00 per year
  • Title Cost: $17.00

Oklahoma Dealership Fees

The average dealer fee in Oklahoma is $270, with no statewide limit. This is known as the document fee or the “doc fee".

This fee covers the cost of the paperwork processing that is required by the state. This fee is usually non-negotiable. However, other fees such as advertising or transport fees can be negotiated.

When Sales Tax Is Exempt in Oklahoma

Oklahoma Tax ExemptionsThe following situations allow for car sales tax exemptions:

  • A vehicle is received as a gift
  • A vehicle is received in a divorce
  • A vehicle is received in a will

Oklahoma EV Rebates & Incentives

There are some EV rebates available in Oklahoma, related to charging.

Oklahoma residents can still claim the federal EV tax credit for qualifying 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 a car purchased in Oklahoma?

The sales tax on a new vehicle sale is 3.25% in Oklahoma.

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

The first $1,500 has a flat tax amount of $20, and the remaining amount is taxed at 3.25% for used car sales in Oklahoma.

Which county in Oklahoma has the lowest tax?

The county with the lowest sales tax is Washington County with an 8.9% tax rate. However, Oklahoma taxes car purchases at a different rate of 3.25%.

Which county in Oklahoma has the highest tax?

The county with the highest sales tax is Okfuskee County with an 11.5% tax rate. However, Oklahoma taxes car purchases at a different rate of 3.25%.

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

You don’t have to pay sales tax on a gifted car. However, you will have to pay $10 for an affidavit that the vehicle was a gift.

How much is registration in Oklahoma?

The vehicle registration fee will vary according to how long you own the vehicle.

  • First Year - Fourth Year: $91.00 per year
  • After Fourth Year: $81.00 per year

Does a trade-in reduce sales tax in Oklahoma?

A trade-in can reduce the overall sales tax. As an example, if you purchase a car for $50,000 and the trade-in is worth $10,000, then you only pay sales tax on the $40,000.

How can I avoid paying sales tax in Oklahoma?

You can be exempt from a car sales tax in the following situations.

  • You receive a vehicle title as a gift
  • You receive a vehicle title in a divorce
  • You receive a vehicle title in a will