Cost to buy a car in Tennessee
Tennessee has no income tax but a 7% sales tax plus a local single-article tax on part of the price, and a $100 EV registration fee.
What does it really cost to buy a car in Tennessee?
Tennessee applies a 7% state sales tax + local single-article tax to a vehicle purchase, a $11 title fee and about $29 to register, with no cap on dealer doc fees. On a $35,000 car that's roughly $3,025 in taxes and fees — about 8.6% over the price, for an out-the-door total near $38,025. Minimum liability insurance is 25/50/15.
Tennessee vehicle costs & rules at a glance
Out-the-door price on a $35,000 car
Here's how the taxes and fees stack up on a $35,000 vehicle with no trade-in. Swap in your own price and trade-in with the calculator below.
| Vehicle price | $35,000 |
| Sales / use tax on $35,500 | $2,485 |
| Dealer doc fee | $500 |
| Title fee | $11 |
| Registration (base) | $29 |
| Total taxes & fees | $3,025 |
| Out-the-door price | $38,025 |
Modeled estimate, not a dealer quote — local/county tax and optional add-ons can push it higher. Registration is a base figure that varies by the vehicle.
Minimum car insurance in Tennessee
To drive legally in Tennessee you need at least 25/50/15 liability coverage: $25,000 in bodily-injury liability per person, $50,000 per accident, and $15,000 in property damage. State minimums are the legal floor — they often don't cover a serious crash, so many drivers carry more.
Run your own Tennessee numbers
Pre-filled with the Tennessee figures above — a 7% tax rate (county or city tax can add on top), $40 in title and registration, and a $500 doc fee. Swap in your own price and trade-in.
Your numbers
Total taxes & fees
$3,025
8.6% over price
Out-the-door price
$38,025
Sales tax
$2,485
Insight — The advertised price is rarely what you pay. Sales tax plus registration, title and doc fees commonly add 8–12% on top. Negotiate the doc fee where it isn't capped, and always agree on the out-the-door number, not the sticker.
What if Vehicle price changes?
| Vehicle price | Total taxes & fees |
|---|---|
| $20,000 | $1,975 |
| $30,000 | $2,675 |
| $40,000 | $3,375 |
| $50,000 | $4,075 |
| $60,000 | $4,775 |
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Good to know
State-specific answers for buying and registering a car in Tennessee.
How much is car sales tax in Tennessee?＋
Tennessee applies a 7% state sales tax + local single-article tax, and county or city taxes can add on top. On a $35,000 car the state portion is about $2,485.
What are the minimum car insurance requirements in Tennessee?＋
Tennessee's minimum liability limits are 25/50/15 — that's $25,000 bodily injury per person, $50,000 per accident and $15,000 property damage. These are legal minimums; higher limits are usually worth the small extra premium.
What's the real out-the-door price on a $35,000 car in Tennessee?＋
Roughly $38,025. That's the $35,000 price plus about $3,025 in taxes and fees — state vehicle tax of $2,485, the dealer's doc fee, a $11 title fee and about $29 to register. Local tax and county fees can push it higher.
Does Tennessee charge an extra fee for electric vehicles?＋
Yes. Tennessee charges about $100 a year in EV registration fees — ev fee scheduled to rise in coming years, meant to offset the fuel taxes EV drivers don't pay.
Compare other states
Where these figures come from
State-specific figures are compiled from each state's Department of Revenue / Motor Vehicles (tax regime, rate, trade-in rule, title and registration schedules), the state Department of Insurance and NAIC compilations (statutory minimum liability limits), and the Tax Foundation (sales-tax rates). Each state page links the state's OWN tax-authority and fee pages — the primary sources behind its numbers, collected and load-verified July 17, 2026. Liability minimums are statutory and the most precise values here; registration and title fees are representative base amounts that vary by a vehicle's weight, value, age and county; doc-fee caps and EV fees reflect the latest 2025–26 published amounts. All figures are estimates for guidance, not quotes or legal advice — verify current amounts with the relevant state agency before you buy.
Tennessee's own agencies: vehicle tax rules · title & registration fees. These are the primary pages behind the rate, trade-in rule and fee figures above.
How we calculate these figuresSources: State motor-vehicle & revenue agencies · Tax Foundation · National Association of Insurance Commissioners