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North Carolina car sales tax at a glance
| North Carolina | |
|---|---|
| Tax | highway use tax (HUT) |
| State rate | 3% |
| Counties and cities add tax | No |
| Trade-in lowers the tax | Yes, tax is on the price minus the trade |
| Leases | Its own rule (see leasing below) |
Checked on the state's official sources on 2026-11-02. Rates change; the state's revenue department has the last word.
How to work out North Carolina sales tax on a car
Multiply the taxable price by the rate. In North Carolina the trade-in comes off first.
A $30,000 car with a $5,000 trade: $25,000 x 3% = $750 at the state rate.
3% highway use tax at titling instead of sales tax, on retail value plus any regulated fee under G.S. 20-101.1. Max tax $2,000 per title applies only to Class A/B commercial vehicles and RVs. No local add-on.
Trade-ins
For a sale by a retailer, retail value is the sales price less any allowance the retailer gives for a motor vehicle taken in trade (G.S. 105-187.3(b)).
Leasing a car in North Carolina
North Carolina: for long-term leases (365+ days) the lessor either pays the 3% HUT on the vehicle's value at titling or makes an irrevocable election to pay 3% on the lease's gross receipts, which is added to the customer's charges (G.S. 105-187.5). The calculator taxes the price at signing, the nearest fit; check the lease contract. The lease calculator uses North Carolina's method when you pick the state.
Dealer doc fees
No cap found.