Check if you are overpaying for car insurance. When establishing your vehicle budget, its necessary to factor this in with all other expenses. Yes. You plan to move to a state without sales tax within 90 days of the vehicle purchase. . Power National Automobile Dealer's Association Official Car Guide's value. The completed vehicle title. The state puts forth a base rate, while each county sets its own additional percentage. Or, if math isn't your strong suit, you can use. The largest sum to be paid is the sales tax. Ft. 1482 E Avenida Isabela --, Casa Grande, AZ 85122. Quisque rutrum. In Arizona, the sales tax for cars is 5.6%, but some counties charge an additional 0.7%. The state rate is added to the county rate to get the total sales tax percentage for that particular transaction. Sed consequat, leo eget bibendum sodales, augue velit cursus nunc, DICE Dental International Congress and Exhibition, K.I.T. Michael Collado is a car buying expert and has been a professional automotive writer since 2009. Payments in Lieu of Taxes (PILT) are Federal payments to local governments to help offset losses in property taxes due to the existence of nontaxable Federal lands within their boundaries. Etiam sit amet orci eget eros faucibus tincidunt. what is lieu tax when buying a car in arizona Working out how much you have to pay is the tricky part. Include your personal property tax receipt or an affidavit from the county assessor. For The dealer will remit the tax to the county tax assessor-collector. This will give you the sales tax you should expect to pay. However, the total tax may be higher, depending on the county and city the vehicle is purchased in. Sales Tax Calculator | Sales Tax Table. 0% + municipality. No phone calls. Remember to do a thorough search all the way down to the county or city you live in, as some also charge a set amount per $100 a car is worth or a set amount per $1,000. Vehicle registration in Arizona is determined by the assessed value of the vehicle. In his spare time, Jason loves hanging out with his nephews and dog-phews. Editorial Note: The content of this article is based on the authors opinions and recommendations alone. Let your local Valley Chevy dealer help you find the perfect car. NOTE: The AZ MVD Bill of sale asks . You do not have to pay a sale tax on the trade-in on your vehicle in the state of Arizona. When the sales tax is greater than 5.6%, you pay this percentage at the time of purchase. Owners of commercial vehicles may face other fees, too, including a weight fee. Average DMV fees in Arizona on a new-car purchase add up to $5321, which includes the title, registration, and plate fees shown above. Most states require you to get a bill of sale or ownership title, which you need to register the vehicle at the DMV. After an outcry, it was reduced to $250. (VCET), Vasai, Mumbai and also worked as Senior lecturer and lecturer in the same institute. If I purchase a car from a Phoenix dealership to register where I live in Nevada, would the dealership collect sales tax at the time of purchase and Buying car from AZ dealership- Live in Nevada sales tax question (Phoenix: transfer, legal) - Arizona - City-Data Forum Arizona: 5.6 percent state sales tax, plus local taxes. Add city, plus county, plus state car tax for total. Doc fees range from $0 to nearly $1,000 depending on which dealer and state you purchase from. Those new to the area might be shocked by just how little it costs to register a vehicle in Arizona. If you buy new, the dealer usually does that part for you, even if you live in a different state. Buyers are exempt from Arizona taxes in these situations but must pay the states sales tax when the car is registered. Owners of commercial vehicles may face other fees, too, including a weight fee. Take delivery of the vehicle. Are there states with little to no sales tax on new cars? MLS # 6525314 While your VLT is based on the calculated value of 60% of the manufacturers price, you reduce that value by 16.25% for each successive year you register your car. The "new" car can be a brand-new car or a previously owned car you are buying from the dealership. It still seems to be going strong, but Im not sure how long I should expect it to be able to last. Was it first registered before 08/01/1998? The sales tax ranges from 0% to 11.5% depending on which state the car will be registered in. Paperwork Required to Buy a Car in Arizona. Dr. Tawanda Mushiri is a Senior Research and Lecturer as well as a Robotics, AI and Health 4.0 expert. Some states charge extra on top of that, calling it a wheelage tax, personal property tax, use fee, excise tax, privilege tax or (if they really want to sound fancy) an ad valorem tax. Read answer. Zero phone calls or manual intervention required. If you are using the vehicle for a non-profit or religious institution, you may be exempt from paying sales tax. For example, a lieu tax on private car companies is levied on the property of private car companies in lieu of all other taxes on such property. The rate imposed is equal to the state rate where the car will be registered. Around half the states in the USA view a car as personal property, which means it's subject to annual personal property tax. For states that have a tax rate that is less than Arizonas 5.6%, tax is collected by the state of Arizona at the time of purchase. The minimum is 7.25%. Were working with a base price of $16,750. Find out more about how to get a last will in Conduct a physical inspection of the motor vehicle, if needed. If youre able to get $5,000 for your old car, and you replace it with a model that is $20,000, you would only have to pay the sales tax on $15,000. First, its important to know that every dealer may have its own policy on markups. In fact, the tax costs $2.00 per pack of 20 cigarettes, or 10 cents per stick. He currently works in the Psychiatric Unit of University Magna Graecia of Catanzaro (Italy) directed by Prof. Pasquale De Fazio. Vehicles built before 1973 are tax exempt in most states, and you don't need to pay vehicle sales tax if you are disabled. You live in a state that does not have tax reciprocity with Arizona. Answer (1 of 4): Depends on what you are buying. With over 10,000 different tax areas, it's difficult to tell you exactly how much tax you need to pay. In addition to taxes, car purchases in Arizona may be subject to other fees like registration, title, and plate fees. Lieu tax refers to a levy imposed as an alternate for another tax. As of January 2005, there is no estate tax in Arizona. If you bought a new car in a non . Some states such as California limit the maximum amount a dealer can charge . Look out for add-ons. Heres what it looks like: 100.50 x 2.89 = $290.45. But most states charge sales tax on the full purchase amount before the rebate is . Determine how many years the vehicle has been previously registered in Arizona (if purchasing a used car). Arizona collects a 6.6% state sales tax rate on the purchase of all vehicles. what is lieu tax when buying a car in arizona . The government views a vehicle as property, and as such, it is subject to personal property tax. Sales Tax = ($45,000 - $5,000 - $2,000) * .056 what is lieu tax when buying a car in arizonacabins for sale in medicine bow national forest Moslem Ali Khan Model Dakhil Madrasah Moslem Ali Khan Model Dakhil Madrasah. This includes previous owners. Joe has been closely associated with the automotive industry for the past 10 years. Dealers usually carry this cost over to the person buying the car, though. Arizona law does not limit the amount of doc fees a dealer can charge. Arizona Tax, Title and License Fees Vehicle Sales Tax: 5.6%. If you see a "P" in the chart below, this is how your state handles taxes. Think about the regulations in Sweden where you may not have to pay tax at all, but they do charge $31.40 for every gram of CO2 over 111g/km on your vehicle. Failure to apply for an auto title before the deadline results in a title transfer penalty fee in addition to regular titling fees. Servius Felix Roman Soldier, We read every comment. $24.50, $6 to transfer. Sales Tax = $2,128. For example, in New York, the state sales tax rate is 4%, but county and A lien release (if applicable) All applicable title and registration fees. Arizona collects a 6.6% state sales tax rate on the purchase of all vehicles. Usage is subject to our Terms and Privacy Policy. Taxes and fees when buying a car. MLS# 22304545. PHOENIX - Arizona residents who buy cars out of state now have a much easier way to pay the city and state use taxes. File for tax credits. Except for the states mentioned earlier, each state charges a percentage of the vehicle's price. MLS# 222015080. Do I have to pay taxes twice if I buy a car out . Arizona Non-residents must register their vehicle after 7 months of living in the state. To find out more about calculating the true cost of buying a new car, read our blog post on this, here. 6% for vehicles that weigh less than 3,499 lbs. It's in AZ where I'm buying it. There are five states in the USA that don't impose a state sales tax: Even though these states may be free, there might still be some sort of cost involved that you'd never know about unless you were a tax practitioner. Title fees are $4.00, registration fees are $8.00, and an air quality research fee tacked on to every new vehicle sale adds a whopping $1.50. Vehicles purchases are some of the largest sales commonly made in Arizona, which means that they can lead to a hefty sales tax bill. However, if you are buying a car in a state you don't live in, you will pay your home state's For vehicles that are being rented or leased, see see taxation of leases and rentals . Mark helpful. However, this amount does not include local county sales taxes. Maas points to a CNCDA study that found the national average is $349. Or save time, and apply online. In most cases, you'll still be taxed on the full price. Renato does research in clinical psychiatry and he works as a clinical psychiatrist. Do you know how to reset the Bluetooth in a Mini Cooper? If you bought your car from a private party, you'll need to obtain a Restricted Use 3-day permit. ft. home is a 3 bed, 3.0 bath property. There are a few exceptions that count in most states. All rights reserved. So, we have a car originally priced at $20,000, but lets reduce that by 16.25% since its a year old. Buying a used car in Arizona doesn't have . The "new" car can be a brand-new car or a previously owned car you are buying from the dealership. A purchaser of a vehicle may negotiate the amount of the document processing fee with a vehicle dealer, but in no case shall the document processing fee charged by a vehicle dealer exceed: (a) $150, if the vehicle dealer uses an integrator; or (b) $115, if the vehicle dealer does not use an integrator (see ORS 822.043 ). Utah, New Jersey, Michigan, Idaho, and Colorado don't charge registration fees. In this example, multiply $38,000 by .056 to get $2,128, which makes the total purchase price, $40,128. The completed vehicle title. Your VLT calculation will change each year you register your car. Your car is covered by the Arizona Used Car Lemon Law if a major component of your car breaks before the earlier of 15 days or 500 miles after you buy the car. Arizona does not charge tax on trade-in and rebates, so you would subtract $7,000 from the car cost, to get $38,000, which is the taxable amount. Examples include military personnel, Native Americans, and disabled individuals. Aenean vulputate eleifend tellus. Shoppers who buy a used car there save an average of $298 on the car. With cars, this can be a substantial number. For example, you could trade-in your old car and receive a $5,000 credit against the price of a $10,000 new vehicle, making your out-of-pocket cost only $5,000. if(!gi.call(d,id)) { j=ce.call(d,"script"); j.id=id; j.type="text/javascript"; j.async=true; If you don't transfer the plates within 30 days, you'll need to hand them over at an MVD office or an authorized third-party office. Copyright Arizona Department of Transportation All rights reserved. Under the new system, both state and city taxes will be calculated and paid when the customer registers the vehicle. One thing to keep in mind is that regardless of the cars pristine condition, you likely will not receive the full Kelley Blue Book value. There is no tax on private sales of vehicles in the state of Arizona. The registration fee may seem like an amount added by the dealer (they might charge additional fees for convenience), but it's still paid to the state. Ditching the engine and going green will also save you some money, but only in the states that offer tax credit when buying a new electric or plug-in hybrid car. These may sneak up on you if youre not used to budgeting for them. Preparing Your Car for a Stress-Free Vacation, 2010-2023 CarBuzz Inc. All Rights Reserved, calculating the true cost of buying a new car, read our blog post on this, here. You trade-in a vehicle for $5,000 and get an incentive for $2,000. You also have to pay tax when you sell a car, whether you sell it to a person or a faceless corporation. No, you will only pay taxes once to the state where you register the car. It's a written document that helps to provide proof of transfer of ownership of personal property, such as a car. Generally, although the rates are the same, it is the responsibility of the purchaser to report and pay use tax if the seller did not collect an amount for California sales or . Sales Tax Guideline for Older Cars. Dealerships may also charge a documentation fee or "doc fee", which covers the costs incurred by the dealership preparing and filing the sales contract, sales tax documents, etc. The amount in sales tax does go up as the purchase price increases, but you can factor the extra cost into your budget if you plan ahead well. His recognition in the ad industry includes awards from Communication Arts and The Clios. State sales tax: Unless you live in a state where there is no sales tax, you need to pay it. Some cities can charge up to 2.5% on top of that. "That's why you pay a 7.95 percent sales tax in Scottsdale, 8.0 percent in Phoenix, 8 . There is no county use tax in Arizona. In effect, you're paying 9%. Typically, when you buy a car in a different state than your home state, the car dealer collects your sales tax at the time of purchase and sends it to your home state's relevant NOTE: If you purchased a used car from a dealer, please see Buying from a Private Party below. The Vehicle Use Tax Calculator is available on our website to help you determine how much use tax you owe. Now that you understand the basics of auto sales tax, you are better prepared to buy the car of your dreams. In Arizona, the sales tax for cars is 5.6%, but some counties charge an additional 0.7%. In other states, you are taxed on the deposit and every monthly payment you make after that. Manufacturer Rebate. In this case, it's 37,851 x 0.06 = 2,271,06. Curabitur ullamcorper ultricies nisi. $319,000 Last Sold Price. Multiply the vehicle price (before trade-in or incentives) by the sales tax fee. Find insurance savings it's 100% free, Compare Free Quotes (& Save Hundreds per Year! If math is your equivalent to the scary monster under the bed, dont fretcalculating your VLT is simple. It can add as much as $4,256 to the incentivized price in states with a high sales tax percentage. The county rate thats applied depends on where the purchase is made. It's worth noting that many cities in Mohave County do not add on an extra local tax, so it uses the base 5.6%. The purchaser has to provide proof that the vehicle is registered in another state in order to operate in Arizona. All used and new car purchases in Arizona have the statewide sales tax of 5.6% applied to them. The state sales tax rate in Arizona is 5.600%. A Direct Tax On Personal Income Was Allowed Under What Aspect Of The Constitution? In Arizona, a sales tax is not collected on the vehicle purchase but rather a Vehicle License Tax is levied against the vehicle. (Still, that's $100 more than an owner . When you calculate the state and the county tax, the county with the highest total tax rate is Pinal County at 11.2%. Aenean imperdiet. By law, your dealer is required to provide you with your new title within 30 days of your vehicle purchase. You might opt for a less expensive car, or you may also decide to save up for a little longer to get the vehicle you really want. 2 Check local laws before you head to the dealership, and be sure to question any amount much more than that. You live in a state where the sales tax is greater than 5.6%. For example, if you buy a car in South Carolina but you live in Florida, you'll be subject to the latter's tax rates. Vehicles under $4,000 are exempt. If you are buying a business, you will first need to know the types of taxes levied on the business you are buying. You are here: Home. An automobile is a major expenditure, so you want to know that you are protected in your purchase. Published and presented many researches in international conferences. Instead of the 6.5% Motor Vehicle sales tax, a $10 In-Lieu of Tax applies if the vehicle meets all of the following: The vehicle is 10 years or older, and. On a nationwide scale, Arizona taxes cigarettes at a high rate. 2023 ADOT- This is a Free Drupal Theme, Law Enforcement Resources/AZCrash Report/Training Resources, Transportation Systems Management and Operations. If you purchased your car from a dealership, the dealer will give you a Temporary Registration Plate. "mainEntity": {
The amount you pay in VLT will change each year you register your car. While I sold cars were had several Sales to out of state customers. Arizona collects a 6.6% state sales tax rate on the purchase of all vehicles. Lets say you buy a new car for $20,000 and you need to calculate and pay your VLT. Required fields are marked *, How To Check If Amended Tax Return Status? You can get one from any MVD office or an authorized third-party office. Title and Processing Fees. (Perfect answer). If your state has a "T" in the tax column, your trade . However, there are exceptions based on the tax rate of your home state. One Governor told us a few years ago that if we went to Oregon to buy a Washington machine or whatever, we were suppose to pay sales tax on it in Washington. Use tax applies to the sale of vehicles, vessels, and aircraft purchased from non-dealers (for example, private parties) or from outside California for use in this state. Some cities can charge up to 2.5% on top of that. Get the latestCar Dealsas soon as they come out. You may choose to not file taxes, or forget or refuse to file, but the IRS will eventually file on your behalf. See dealer for details. Then, there's a vehicle license tax (VLT), which is based on the manufacturer's base retail price of your vehicle. In 2011 Davor Mucic launched Telemental Health Section within EPA (European Psychiatric Association). If your new car meets the criteria defined in the Arizona They do on new or used cars from dealers. There is no one-size-fits-all formula for calculating vehicle tax, as it's subject to state, county, city, and municipalities, and there are more than 10,000 different tax areas in the USA. "name": "How much is the sales tax on a car in Arizona",
Calculate Car Sales Tax in Arizona Example: Do I Have to Pay Sales Tax on a Used Car? Here are some of the most common exemptions to paying Arizonas VLT: Alternative fuel vehicle/electric vehicle owners, Non-government emergency service personnel, Vehicle used for a non-profit organization, school, or religious institution, Recipient of social security income disability payments from the federal government. j.dataset.calconic=true; For example, $20,000 - 60% gives us $12,000. All you need to know about car-related tax. Davor Mucic is also Editor-in-Chief on Edorium Journal of Psychiatry. Dealer's Zip Code. Tax Rate of Dealership Arizona officially refers to a How much is the base MSRP? The VLT is a fluid number in that it changes every year because it is based on the value of your vehicle. Nulla consequat massa quis enim. Question: Is there a current "2016" Arizona Sales tax when buying a used car from a private party. In this case, it's 37,851 x 0.06 = 2,271,06. This may sound like a terribly confusing topic - so, why read up on something as dreary as taxes when buying or selling a car? Arizona (AZ) Sales Tax Rates by City. Property taxes in Arizona are imposed on both real and personal property. How much your trade-in is worth depends on several criteria. For example, if your budget for your next car is $15,000, and you make your purchase in Apache County, you would pay about $915 in sales tax (15,000 x .061). You can get up to $7,500 off the purchase price, but keep in mind that the federal government stops paying these grants once a manufacturer sells 200,000 of a specific vehicle. multiply $2.80 for every $100 of your cars assessed value. No tax is required when selling a car to a blood relative, when a car is received as a gift from a blood relative, or when a car is inherited. The state of Arizona does not tax rebates and dealer incentives. States like Montana, New Hampshire, Oregon, and Delaware do not have any car sales tax. How much are dealer fees? Is it cheaper to buy a car in Arizona? For example, a lieu tax on private car companies is levied on the property of private car companies in lieu of all other taxes on such property. Some dealers in your region may not have what youre looking for, or you might be on the hunt for a very specific model. View more recently sold homes. You live in a state where the sales tax is less than 5.6%. SOLD FEB 8, 2023. Do you have a comment or correction concerning this page? When you sell a personal vehicle for less than you paid for it, there's no need to pay tax. SalesTaxHandbook is a free public resource site, and is not affiliated with the United States government or any Government agency, Sales Tax Handbooks By State | Tax percentage for that particular transaction state use taxes your equivalent to the monster... And Operations vehicle at the DMV be going strong, but Im sure! ( before trade-in or incentives ) by the assessed value MVD office or an third-party. Much your trade-in is worth depends on where the sales tax for cars is 5.6 % you! Officially refers to a state without sales tax is greater than 5.6 %, may... Found the National average is $ 349 meets the criteria defined in the costs. Including a weight fee Grande, AZ 85122 7 months of living in the USA view a car as property. Register their vehicle after 7 months of living in the same institute how to reset the Bluetooth a... The city and state you purchase from vehicle in the tax column, dealer... Total purchase price, $ 40,128 or incentives ) by the sales rate... - Arizona residents who buy cars out of state customers registration in Arizona a percentage the... With the automotive industry for the what is lieu tax when buying a car in arizona usually does that part for you, even if you new... A substantial number for them % gives us $ 12,000 298 on the value of your vehicle Arizona! Is 5.600 % added to the state where there is no estate tax Arizona... And disabled individuals Arizona have the statewide sales tax for cars is 5.6 %, some! Receipt what is lieu tax when buying a car in arizona an authorized third-party office calculate and pay your VLT calculation will change each you! Taxed on the tax to the scary monster under the new system, both state and the rate. '' Arizona sales tax percentage for that particular transaction your local Valley Chevy dealer help you how... The tricky part every comment and as such, it was reduced to $ 250 VLT simple... States require you to get $ 2,128, which you need to know you. Party, you may be subject to annual personal property, which makes total. Of buying a business, you 'll need to pay is the tricky.! In VLT will change each year you register your car from a private party blog post on this,.! $ 250 county at 11.2 % vehicle after 7 months of living in the chart below, amount... Add as much as $ 4,256 to the state rate is Pinal county 11.2. Arizona are imposed on both real and personal property tax $ 100 than. Vehicle has been closely associated with the highest total tax may be to. The IRS will eventually file on your vehicle budget, its necessary to factor this in all! County, plus state car tax for cars is 5.6 %, but Im not how... As of January 2005, there 's no need to pay tax when buying a used ). Costs $ 2.00 per pack of 20 cigarettes, or 10 cents per stick home is a 3,. County sets its own additional percentage purchaser has to provide you with new... And dog-phews paid when the sales tax for cars is 5.6 % but!, 3.0 bath property Official car Guide 's value rate is added to the might... Has to provide you with your new car for $ 20,000 and you need to pay city! Own policy on markups you, even if you bought your car face other,! Provide proof that the vehicle 's price save Hundreds per year rate get! Buy cars out of state now have a car $ 0 to $. It is based on the purchase of all vehicles pay your VLT you buy car..., We have a much easier way to pay it a CNCDA study found... If needed about how to reset the Bluetooth in a non cars had! To factor this in with all other expenses you bought your car car Guide 's value who... Sales to out of state now have a much easier way to pay tax a & ;!, 3.0 bath property party, you are taxed on the tax costs 2.00! Where there is no tax on new cars 5.6 % applied to them sold cars were had several sales out! A sale tax on new cars for cars is 5.6 %, but some charge! Auto sales tax: Unless you live in a state without sales tax, title License. Of 5.6 %, but Im not sure how long I should expect it to be paid is tricky. Owned car you are buying a used car ) tell you exactly how much your trade-in worth... Subject to our Terms and Privacy policy how little it costs to register a vehicle License tax is greater 5.6! Cars assessed value what is lieu tax when buying a car in arizona, there are a few exceptions that count in most states its policy... Is n't your strong suit, you may choose to not file taxes, car purchases Arizona... Ownership of personal property, which you need to register a vehicle in,... Savings it 's 37,851 x 0.06 = 2,271,06 I buy a used car there an! Business, you need to know the types of taxes levied on the full purchase before. 2011 Davor Mucic launched Telemental Health Section within EPA ( European Psychiatric Association.! Year you register your car from a private party, you are buying January 2005 there! Law does not have to pay at 11.2 % of state customers subject... Receipt or an affidavit from the dealership, and Colorado do n't charge registration fees math is n't your suit! Going strong, but some counties charge an additional 0.7 % pay this at... Dealer 's Association Official car Guide 's value on you if youre used. Tax ranges from 0 % to 11.5 % depending on which dealer state. A sales tax percentage a substantial number and recommendations alone DICE Dental Congress... Choose to not file taxes, or forget or refuse to file, but not... A Temporary registration plate.056 to get the total sales tax is greater than 5.6 % applied them... 0 % to 11.5 % depending on which state the car is registered your car from a dealership the. While I sold cars were had several sales to out of state now have a comment or concerning. It to be paid is the base MSRP ; for example, multiply $ 38,000 by.056 to a! Owners of commercial vehicles may face other fees, too, including a weight fee ranges! Registration fees 100.50 x 2.89 = $ 290.45 are taxed on the value of vehicle. State has a & quot ; t have tax for cars is 5.6 %, you need! Michigan, Idaho, and plate fees 6.6 % state sales tax: 5.6 %, but some charge! To them makes the total purchase price, $ 20,000 and you need register. Registered in Arizona doesn & # x27 ; s $ 100 of your home state EPA ( European Association. With over 10,000 different tax areas, it 's difficult to tell exactly! You to get a last will in Conduct a physical inspection of the vehicle $ 2.00 per pack of cigarettes. Post on this, here - 60 % gives us $ 12,000 county and city taxes will be registered car. Industry for the past 10 years Arizona have the statewide sales tax ranges from 0 % to 11.5 % on... Your dreams recognition in the chart below, this amount does not include local county sales taxes, eget... Vehicle purchase be sure to question any amount much more than an owner usually carry this cost over the... As $ 4,256 to the incentivized price in states with little to no sales tax, you need... After that rate in Arizona % gives us $ 12,000 help you find the perfect car you 'll be... % to 11.5 % depending on the car will be registered in another state in order to operate in are. Davor Mucic launched Telemental Health Section within EPA ( European Psychiatric Association ) criteria defined in the institute... Vehicles that weigh less than 3,499 lbs that helps to provide proof of transfer of of... Valley Chevy dealer help you find the perfect car the purchaser has to provide you with your new within... Will in Conduct a physical inspection of the vehicle has been previously registered Arizona. Not file taxes, or 10 cents per stick assessed value of the vehicle for less than 3,499.! Or an authorized third-party office his spare time, Jason loves hanging out with his nephews and dog-phews article. In most states charge sales tax on the value of the motor vehicle, if needed 2.89 = $.! 'M buying it is the base MSRP, it 's a written document that helps to provide you your... Applied to them is registered in Arizona Working out how much tax should! Associated with the automotive industry for the dealer will give you a Temporary registration plate to pay a sale on! $ 5,000 and get an incentive for $ 20,000 and you need to pay the city and state purchase! National average is $ 349 to file, but Im what is lieu tax when buying a car in arizona sure how long I expect! Registers the vehicle for less than you paid for it, there are few! To file, but lets reduce that by 16.25 % since its a year old to... An incentive for $ 5,000 and get an incentive for $ 5,000 and get an incentive for $ and... Can get one from any MVD office or an affidavit from the dealership, and as,. Doc fees range from $ 0 to nearly $ 1,000 depending on the full price sets its own policy markups!