Michigan Vehicle Sales Tax Calculator
State rate: 6.00%. Trade-in credit: Yes.
Inputs
Michigan sales tax
About Michigan vehicle tax
Michigan charges 6% with no local additions. Trade-in credit is capped at $9,000 (2024 limit, indexed annually).
Estimates only. Tax rates change and local rates vary by city/county. Always verify with the Michigan DMV before finalizing a purchase.
About Michigan vehicle tax
Michigan charges 6% with no local additions. Trade-in credit is capped at $9,000 (2024 limit, indexed annually).
State sales tax
Max observed local rate
Trade-in credit
Title transfer fee
Michigan used car market
Tax math tells you what a car costs to buy. CarFlipIQ tells you whether it'll actually sell in Michigan. We track every Facebook Marketplace listing across the state — real comps, real days-on-market, for every make and model.
Sales tax in other states
Buying or selling across state lines? Compare the rate, trade-in rules, and out-the-door cost in other states — or read the full used car sales tax by state guide.
FAQ
What is the vehicle sales tax in Michigan?
Michigan charges a state-level rate of 6.00% on vehicle purchases. No local additions apply to vehicles. Trade-in value is deductible from the taxable basis.
Does Michigan give a trade-in tax credit?
Yes. In Michigan, the value of your trade-in is subtracted from the purchase price before sales tax is calculated. On a $20,000 car with a $5,000 trade-in, you only pay tax on $15,000.
What is the title transfer fee in Michigan?
Michigan charges approximately $15 for title transfer. Dealer documentation ("doc") fees typically range up to $230, though these are dealer-set and negotiable on most transactions.
How do I calculate out-the-door price in Michigan?
Out-the-door = purchase price + (taxable amount × effective rate) + title fee + registration. Taxable amount equals purchase price minus trade-in (where allowed). Effective rate is state plus local. Use the calculator above for an exact figure on your specific purchase.