new hampshire is often touted as one of the best places to buy and own a car thanks to its car sales tax rate.
You’ll still have to pay dealer fees and registration, but you can save thousands of dollars in sales tax when you register a vehicle in New Hampshire. Keep in mind that the place where you bought the vehicle will not determine the sales tax, but the state in which you registered it.
does new hampshire really have a 0% sales tax on vehicles?
how much is car sales tax in new hampshire?
New Hampshire is one of the few states that does not charge sales tax on vehicle purchases. When you register a vehicle in New Hampshire, you do not have to pay any sales tax.
Please note that you must pay sales tax from the state in which you register the vehicle, not the state in which you purchase it. therefore, if you are from out of state and purchase a vehicle in new hampshire, you must pay the sales tax of your state of residence.
Do I have to pay sales tax on a used car?
You don’t have to pay sales tax on a used car in New Hampshire as there is no vehicle sales tax.
which city has the highest tax? which city has the lowest tax?
all of new hampshire is tax free for vehicle sales. this means that no city has higher or lower car tax rates. therefore, all new hampshire residents will not have to pay vehicle taxes.
Car Sales Tax for Trade-Ins in New Hampshire
Trades can help lower the cost of buying a new vehicle. They will not change the sales tax for a new vehicle purchase, as New Hampshire does not charge sales tax on automobiles. however, trading in your vehicle can help you dramatically reduce the purchase price of a new car.
car sales tax for private sales in new hampshire
You won’t have to pay sales tax when you buy a vehicle from a private seller in New Hampshire. however, you must still register the vehicle and pay any associated registration fees.
tax on returns & dealer incentives
Rebates and dealer incentives are a great way to save on your new car purchase. They will not impact the sales tax you pay on your vehicle in New Hampshire since there is no car sales tax in that state.
other taxes & rates for new hampshire
while new hampshire doesn’t charge vehicle sales tax, they still do have dmv fees.
new hampshire dmv & registration fees
- $18 per thousand for current model year, $15 per thousand for prior year model. the registration fee decreases for each year the vehicle is old. for example, a 2020 vehicle that costs $20,000 would cost $300 to re-register.
- $25 title fee
- $85 per year for tags
- registration fees the city. See examples of municipal fees in Manchester, NH, here.
new hampshire dealer fees
documentation fees at new hampshire dealerships may vary. dealers can only charge $27 in state document fees, but there is no limit to the “administrative” fees they can charge. new hampshire document fees averaged $304 in 2011, but have since increased. some dealers charge up to $495 in documentation fees.
how to calculate new hampshire sales tax on a car
You will not need to calculate any car sales tax in New Hampshire, as there is no car sales tax. However, if you are purchasing the vehicle in New Hampshire and registering it in another state, then you must calculate the sales tax for that state. Additionally, you may want to estimate the registration fees you can expect to pay. check the tax rates for each state here.
When Sales Tax is Exempt in New Hampshire
Most states have car sales tax exemptions, especially for cars made before 1973, gifted vehicles, and disabled owners.
however, vehicle sales tax exemptions are not required for new hampshire as new hampshire does not charge sales tax.
new hampshire & incentives
new hampshire offers several incentives for electric vehicles, including:
- $1,000 for the purchase or lease of a new or used electric vehicle
- $600 rebate for the lease or purchase of a new or used plug-in hybrid electric vehicle
- rebate of $300 for the rental or purchase of a used or new electric motorcycle
- bonuses for the installation of up to two electric vehicle power equipment systems.
- separate metering of electricity used for vehicle charging.
tax information and fees are subject to change, be sure to check with your local dmv.