Sales tax calculator

For dealers outside Connecticut: use these tables to calculate sales tax

Sales tax calculator

For dealers outside Connecticut: use these tables to calculate sales tax

Sales tax calculator

This webpage is to assist out-of-state dealers (not licensed in Connecticut) and third-party titling services to calculate the sales tax that is due when they mail in the transactions to DMV's Vehicle and Business Regulation office for processing.  The sales tax calculator should be used on every out-of-state dealer transaction.  (Please note: this does not apply to leased vehicles.)

 

Please note: Cap cost reductions and cash down payments are not listed as taxable items since they are already included in the purchase price of the vehicle.
 
Tax rates: 

  • Sales tax is charged at a rate of 6.35% (vessels and trailers that transport vessels are at 2.99% sales tax rate), except for those vehicles that are exempt from sales tax. 
  • Sales tax is charged at a rate of 7.75% for any vehicle registered as passenger or combination when the total cost of the vehicle more than $50,000. 
  • When any of the below taxable items are added to the selling price of the vehicle and it brings the vehicle selling price over $50,000, the sales tax rate of 7.75% is charged. 

 

TAXABLE ITEM DESCRIPTION Taxable at 6.35%  Taxable at 7.75% - If the vehicle is $50,000.01 or more 
Conveyance/Document Fees YES YES
VIN Etching YES YES
Lo-Jack YES  YES 
Paint Sealant YES  YES 
Rust Protection YES  YES 
Service Warranties always 6.35% (never taxed at 7.75%) YES  Never 
Shipping/Freight YES  YES 
Fabric Guard YES  YES 
Extended Warranty always 6.35% (never taxed at 7.75%) YES  Never 
Misc. (Floor Mats, Wheels etc.) YES  YES 
Manufacture Rebate is taxable in CT – You will have to verify if the rebate amount is part of the selling price of the vehicle. If the rebate has not been deducted from the vehicle sale price, then you would not tax the rebate separately.   YES  YES 
Document Service Fee YES  YES 

 

NON-TAXABLE ITEM DESCRIPTION Taxable at 6.35%  Taxable at 7.75% - If the vehicle is $50,000.01 or more 
Cap Cost Reduction NO NO
Credit Life Insurance – (If separately stated and the lessee has the option to either accept the lessor’s insurance or procure other coverage) NO NO
Dealer Discount NO NO
Disability Insurance – (If separately stated and the lessee has the option to either accept the lessor’s insurance or procure other coverage) NO  NO 
Rollovers – (rolling over a loan to a new vehicle) NO  NO
Taxable Payoffs NO  NO
Registration and Title Fees NO  NO 
Trade-In NO  NO
Cost of equipment installed in vehicle for exclusive use of physically disabled NO NO 

 

OTHER SALES TAX EXEMPTIONS Taxable at 6.35%  Taxable at 7.75% - If the vehicle is $50,000.01 or more 
Trucks, truck tractors (cabs), or semi-trailers over 26,000 GVW Exempt Exempt
Farm Vehicle (Farmer Tax Exemption Permit) Exempt: used directly in agriculture process Exempt
Ambulances: Exempt: Used exclusively to transport medically incapacitated that have no obligation to pay for transportation. Purchaser has to provide proof attesting that these conditions are met. Exempt with proof Exempt 
Gifted Vehicle (Require Gift Affidavit) Exempt with gift affidavit Exempt with gift affidavit
Sold to immediate family (meet certain criteria) Exempt  Exempt 
Vehicle transferred in Estate Settlements (If stipulated in will) Exempt  Exempt
Vehicle won in a Raffle (If transfers from dealer to a tax-exempt organization) Exempt Exempt
Sold to tax exempt organization (tax exempt number issued) Exempt  Exempt 
Sold to municipality Exempt  Exempt 
Driver Training Vehicle Exempt    Exempt
Trade in vehicles Exempt  Exempt 
Vehicles involved in interstate commerce Exempt Exempt
Dissolution, partial liquidation of reorganization of business (See Reg – Lots of Stipulations) Exempt  Exempt 
Members of the United States Armed Forces on full-time active duty in CT who are residents of another state 4.5% Exempt