Taxes and Fees
To simplify the car buying process, we have outlined the various federal and state taxes and fees that you might encounter. The costs vary based on factors such as your income level, state of residence, and type of vehicle. Keep in mind that these fees can change periodically at both the federal and state levels, so it is always a good idea to confirm the details with your store sales associate.
Taxes
No Sales Tax to Oregon residents
Vehicle Privilege Tax - Vehicles in Oregon are subject to the Vehicle Privilege tax on units that are 2018 and newer, with less than 7,500 miles on the odometer and have never been titled in the State of Oregon. Tax is calculated on the Total Sale Price x .5%
Corporate Activity Tax (CAT): In Oregon it applies to businesses, not individual car buyers. However, the law establishing the CAT does allow car dealerships to pass this cost onto consumers. Cat tax is calculated on the Vehicle Sale Price x .375%.
Fees
Registration Fees are based on MPG, Registration Type & County.
Oregon Title Fees
- 0-19 MPG $101
- 20-39 MPG $106
- 40+ MPG $116
- Electric $192
Oregon 2 Year Registration Fees
- 0-19 MPG $152
- 20-39 MPG $162
- 40+ MPG $182
- Electric $342
- Multnomah County Fee $112
- Clackamas County Fee $60
Oregon 4 Year Registration Fees
- 0-19 MPG $278
- 20-39 MPG $298
- 40+ MPG $338
- Electric $658
- Multnomah County Fee $224
- Clackamas County Fee $120
Other Fees
Dealer Documentation Fee: Dealers may charge a $250 document processing fee. This covers the cost of preparing and submitting documents for vehicle purchases.
Buying in Oregon and Registering in Washington
If you buy a car in Oregon and plan to register in Washington, here is what to expect:
Taxes and Fees in Washington
Even though Oregon has no sales tax, Washington requires residents to pay the use tax when registering an out-of-state vehicle.
Use Tax (Sales Tax Equivalent)
Washington charges a use tax when registering a vehicle purchased outside the state. The rate is the same as the local sales tax in your county. (8.5%–10.9%).This tax will be paid when the title and registration are processed with the Washington Department of Licensing (DOL).
Title & Registration Fees
Title Fee: $15.00
Registration Fee: Varies from $209.75 to $244.75.
Regional Transit Authority Tax (RTA)
If you live within the Sound Transit District and are a resident of King, Pierce, or Snohomish Counties, you must pay the RTA tax when you purchase a new or used vehicle or renew tabs.
Dealer Documentation Fee
Dealers may charge a $200 document fee. This covers the cost of preparing and submitting documents for vehicle purchases.
Exemptions from Use Tax
If you paid sales tax in another state, Washington may give you credit for that amount. If you have owned the car for 90+ days before moving to Washington, you may qualify for an exemption.
If you are buying a car in Washington State, here is what to expect in terms of tax and fees:
Taxes
Sales Tax: Washington has a state sales tax of 6.8%, but the total tax rate varies by location due to local taxes. In most areas, the total sales tax on vehicle purchases ranges between 8.5% and 10.9%.
Trade-In Sales Tax Credit: Washington law allows you to subtract the value of your trade-in vehicle from the purchase price of the new or used vehicle before calculating sales tax. This means you only pay sales tax on the net amount, the difference between the vehicle’s selling price and your trade-in value. However, there is no sales tax credit on any trade-in that is a leased vehicle.
Example:
New vehicle purchase price: $30,000
Trade-in value: $10,000
Taxable amount: $30,000 - $10,000 = $20,000
Fees
Washington Title Fee: $15.00
Registration Fee: Varies from $209.75 to $244.75.
Regional Transit Authority Tax (RTA): If you live within the Sound Transit District and are a resident of King, Pierce, or Snohomish Counties, you must pay the RTA tax when you purchase a new or used vehicle or renew tabs.
Dealer Documentation Fee: Dealers may charge a $200 document fee. This covers the cost of preparing and submitting documents for vehicle purchase.
Buying in Washington and Registering in Oregon
If you are a non-Washington resident, you can buy a car in Washington and not be subject to WA State Sales Tax if you provide proof of residency in the state you reside and have a valid non-Washington driver's license. Co-Buyer, if applicable, must also provide proof of residency and a valid non-Washington driver's license. However, 8.9% Washington State Sales Tax is due on the sale price of aftermarket service warranties and other back-end products sold.
Buyer(s) must complete the WA Dept of Revenue Buyer’s Certificate for the out-of-state delivery.
Valid Proof of Residency accepted by the Department of Revenue, in addition to a non-Washington Driver's License:
- Current rental agreement
- Utility bill within the last 2 months
- Voter registration card
- Current credit report
- State income tax return from the previous year
Oregon Tax:
No Washington Sales Tax to non-Washington residents
Vehicle Privilege Tax: Vehicles in Oregon are subject to the Vehicle Privilege tax on units that are 2018 and newer, with less than 7,500 miles on the odometer and have never been titled in the State of Oregon. Tax is calculated on the Total Sale Price x .5%
Corporate Activity Tax (CAT): In Oregon it applies to businesses, not individual car buyers. However, the law establishing the CAT does allow car dealerships to pass this cost onto consumers. Cat tax is calculated on the Total Sale Price x .375%.
Disclaimer: Taxes, fees, and licensing costs shown are estimates only. Actual amounts may vary depending on the customer's city, state, and county. Final figures will be calculated based on the applicable local regulations and requirements at the time of purchase.