Texas car sales tax is 6.25 percent of the price of a used car. In a dealer sale, the tax is on the sales price minus any trade-in, and the dealer collects it. In a private sale, you pay the county when you title the car, and the tax is on the greater of the price you paid or 80 percent of the car's Standard Presumptive Value (SPV).
Some transfers skip sales tax entirely. Eligible family gifts pay $10, even trades pay $5, and new residents bringing a car they already registered elsewhere pay $90. The details below come from the Texas Comptroller, which writes the rules the county tax offices apply.
The basic rate: 6.25 percent
The Comptroller's motor vehicle tax page sets the rate at 6.25 percent of the sales price, minus any trade-in allowance. Example of the math only: if the taxable amount is $10,000, the tax is $10,000 x 0.0625 = $625. Your own number depends on your price, any trade-in and the SPV rule below.
Who collects it
- Dealer sale: The dealer collects the tax from you and sends it to the county tax assessor-collector. The Comptroller says this applies to vehicles of 11,000 pounds gross weight or less.
- Private sale: You pay the county tax office when you file for title, along with the title and registration fees. See Texas title transfer step by step.
Trade-ins lower the taxable amount
When you trade in a car as part of the purchase, the trade-in allowance is subtracted before tax is figured. That is one reason a dealer trade can cost less in tax than selling your old car privately and buying separately. Compare both routes in dealer vs private seller in Texas.
The Standard Presumptive Value (SPV) rule for private sales
Private sales have an extra step. The county does not simply take the price on Form 130-U. Under the Comptroller's SPV rules, tax is calculated on the greater of:
- the actual sales price, or
- 80 percent of the vehicle's SPV.
You can look up a car's SPV before you buy. The SPV calculator on the TxDMV site shows 100 percent of SPV; the county applies the 80 percent figure.
When SPV does not apply
The Comptroller lists transfers that are outside SPV procedures, including:
- vehicles sold by dealers,
- salvage vehicles,
- even trades,
- eligible gifts,
- abandoned vehicles and vehicles sold under storage or mechanic's liens,
- vehicles eligible for classic car or classic truck plates, and
- vehicles sold by Texas governmental entities or the United States (Comptroller).
That last one matters if you buy at a city or county surplus sale. See government surplus vehicle auctions.
If you paid less than 80 percent of SPV: the appraisal exception
Sometimes a car is worth less than SPV suggests, for example because of body damage, a failed transmission or very high miles. The Comptroller allows a certified appraisal to set the taxable value instead:
- The appraisal must be on Form 14-128.
- It must be obtained within 30 calendar days of the purchase date or of bringing the vehicle into Texas.
- The taxable value cannot be lower than the price you actually paid.
Who can do the appraisal is set by the Comptroller: a motor vehicle dealer licensed for that category of vehicle, or a licensed insurance adjuster. Dealer appraisal fees follow a schedule in Comptroller Rule 3.79; adjuster fees are not on a set schedule (Comptroller SPV page).
Take the appraisal to the county tax office with your title paperwork. Photos and repair estimates help explain a low price, but the appraisal is the document the rule names. Read the current form instructions on the Comptroller SPV page before you pay for one.
Taxes that replace sales tax
| Situation | Tax | Who qualifies | Source |
|---|---|---|---|
| Gift from an eligible family member or organization | $10 gift tax | Spouse, parent or stepparent, child or stepchild, sibling, grandparent or grandchild (and great-grandparent or great-grandchild), the in-law versions of these, guardian, a qualifying 501(c)(3) organization, and certain trusts | Comptroller gift tax |
| Even trade, no money or other value added | $5 even exchange tax, paid by each party | Two people swapping vehicles straight across | Comptroller |
| New resident with a car already registered in their name elsewhere | $90 new resident tax | People moving to Texas | Comptroller new resident tax |
| Texas resident buying out of state | 6.25% use tax, minus credit for tax paid to the other state | Texas residents bringing in a newly bought car | Comptroller |
Gifts
For the $10 gift tax, both the person giving the car and the person receiving it sign Form 14-317, Affidavit of Motor Vehicle Gift Transfer, and the form must be notarized or the signatures acknowledged in person by county tax office staff (Comptroller). The gift cannot involve any consideration, including cash or taking over a loan on the car. A no-payment transfer from a non-eligible person, such as an aunt, uncle, friend or business, is taxed as a sale, and SPV procedures may apply. Our guide to gifting a car in Texas walks through the paperwork.
Even trades
If you and another person swap cars and nothing else changes hands, each of you pays $5 instead of sales tax. If either side adds cash, it is no longer an even trade.
New residents
The $90 new resident tax applies only when the car was already registered in your name in another state or country. It is due within 30 calendar days of the car's first use in Texas (60 days for active-duty military), and Texas gives no credit for tax you paid to the other state (Comptroller). If the car was not registered in your name elsewhere, use tax applies instead. See new to Texas car registration.
Buying out of state
If you live in Texas and buy a car in another state, you owe 6.25 percent use tax when you bring it home, reduced by any sales or use tax you already paid to that state. Keep the receipt that shows the tax paid. More in buying a car out of state and bringing it to Texas.
Deadlines and late penalties
The Comptroller sets these deadlines, paid to the county tax assessor-collector:
- Private-party purchase in Texas: within 30 calendar days of the purchase.
- Vehicle brought in from out of state: within 30 calendar days of bringing it into Texas.
- Active-duty military: within 60 calendar days.
- Gift or even exchange: at the time of title transfer.
Late payment adds a penalty:
- 1 to 30 days late: 5 percent of the tax due.
- More than 30 days late: 10 percent of the tax due.
This is separate from the title delinquent transfer penalty, which starts at $25 on day 31 and can reach $250 (TxDMV Title Manual). Missing the deadline can trigger both.
Texas car sales tax worked examples
Every number below is hypothetical. The examples exist only to show how the official rules from the Comptroller combine. They are not estimates for any real car.
Example 1: dealer sale with a trade-in
- Agreed price: $20,000
- Trade-in allowance: $5,000
- Taxable amount: $20,000 - $5,000 = $15,000
- Tax: $15,000 x 0.0625 = $937.50, collected by the dealer
SPV does not apply because a dealer sold the car.
Example 2: private sale above 80 percent of SPV
- Price paid: $9,000
- SPV from the TxDMV calculator: $10,000, so 80 percent is $8,000
- The greater of the two is $9,000
- Tax: $9,000 x 0.0625 = $562.50, paid at the county tax office
Example 3: private sale below 80 percent of SPV
- Price paid: $6,000
- SPV: $10,000, so 80 percent is $8,000
- The greater of the two is $8,000
- Tax without an appraisal: $8,000 x 0.0625 = $500
Example 4: the same car with a certified appraisal
- Certified appraisal on Form 14-128, done within 30 calendar days: $6,500
- The taxable value becomes $6,500. It could not have gone below the $6,000 you paid.
- Tax: $6,500 x 0.0625 = $406.25
Whether the appraisal is worth it depends on its fee compared with the tax it saves. In this made-up case it saves $93.75, so a fee higher than that would not make sense.
Example 5: paying late
- Tax due: $500
- Paid 10 days after the 30-day deadline: 5 percent penalty = $25
- Paid 40 days after the deadline: 10 percent penalty = $50
The title delinquent transfer penalty is separate and can apply at the same time (TxDMV Title Manual).
Common mistakes with Texas car sales tax
- Budgeting tax on the price only, in a private sale. If 80 percent of SPV is higher than your price, that is your tax base. Look up SPV before you agree on a price.
- Writing a lower price on Form 130-U. It does not lower the tax when SPV is higher, and a false statement creates a bigger problem than the tax.
- Getting the appraisal too late. The certified appraisal must be obtained within 30 calendar days of the purchase or of bringing the car into Texas (Comptroller).
- Calling a sale a gift. The $10 gift tax only works for eligible relationships and with no payment of any kind, including taking over a loan (Comptroller gift tax).
- Adding a little cash to a swap. Once money changes hands, it is no longer a $5 even trade.
- Expecting credit for tax paid elsewhere as a new resident. The $90 new resident tax gives no credit for tax paid to another state (Comptroller).
- Missing the 30-day window. Penalties start right away: 5 percent, then 10 percent.
Where you pay in the Austin to San Antonio corridor
In a private sale, you pay sales tax at the tax assessor-collector office of the county where you live, at the same visit as your title application. The main offices are:
| County | Main office |
|---|---|
| Travis | 2433 Ridgepoint Dr, Austin |
| Williamson | 1848 Texas Trail, Georgetown |
| Hays | 712 S Stagecoach Trail, Suite 1120, San Marcos |
| Caldwell | 110 S Main St, Room 101, Lockhart |
| Comal | 205 N Seguin Ave, New Braunfels |
| Guadalupe | 307 W Court St, Seguin |
| Bexar | 233 N Pecos La Trinidad, San Antonio |
The tax rate is the same in every county. What differs is the local registration fee and whether you need an emissions test, covered in Texas title transfer step by step and our area pages.
What I would do
If I were buying a car from a private seller in Austin, I would look up the SPV on the TxDMV calculator before I made an offer. If 80 percent of SPV came out higher than the price I expected to pay, I would budget my tax on that higher figure from the start, so nothing at the county counter surprised me.
If the car really was worth less, for example because the inspection found a failing transmission, I would ask about an appraisal right away rather than near the end of the 30 days. I would keep the mechanic's report and repair estimate with it. And I would file the title and pay the tax in the first week, because the penalties are pure waste.
Budgeting for tax on a used car
When you compare cars, add the tax to the price before you decide what you can afford. For a private-sale car, look up the SPV first so you know whether the tax will be based on your price or on 80 percent of SPV. Our cost of owning a used car in Texas guide covers the other recurring costs.
Tax rules have edge cases, such as business purchases, leased vehicles and family trusts. Confirm your situation with your county tax office or the Comptroller before you file.
Sources
- Texas Comptroller - Motor Vehicle Sales and Use Tax
- Texas Comptroller - Private-Party Purchases and Standard Presumptive Values
- Texas Comptroller - Motor Vehicle Tax Guide, Gift Tax
- Texas Comptroller - Motor Vehicle Tax Guide, New Resident Tax
- TxDMV Motor Vehicle Title Manual (August 2026)
- County tax office pages: Travis, Williamson, Hays, Caldwell, Comal, Guadalupe, Bexar
Frequently asked questions
Is Texas car sales tax 6.25 percent everywhere?
Yes. The Comptroller sets motor vehicle sales tax at 6.25 percent statewide, applied to the sales price minus any trade-in allowance.
Why is my private-sale tax higher than 6.25 percent of what I paid?
In a private sale, the county taxes the greater of your price or 80 percent of the car's Standard Presumptive Value. If you paid less than that, a certified appraisal on Form 14-128 within 30 days can set a lower taxable value, but not below your price.
Do I pay sales tax when a parent gives me a car?
No. An eligible family gift pays a $10 gift tax instead, and both of you sign Form 14-317 (Comptroller).
Do I get credit for sales tax I paid in another state?
If you are a Texas resident buying out of state, yes: use tax is reduced by tax paid to the other state. If you are a new resident paying the $90 new resident tax, no credit is given.
Who can do a certified appraisal to lower the SPV tax?
A motor vehicle dealer licensed for that category of vehicle or a licensed insurance adjuster, on Form 14-128, within 30 calendar days of the purchase (Comptroller). The taxable value cannot go below the price you paid.
What happens if I pay the tax late?
You add 5 percent of the tax if you are 1 to 30 days late and 10 percent if you are more than 30 days late. A separate title transfer penalty may also apply.
Educational content. Anthony does not sell, broker or arrange vehicle sales in Texas. Confirm fees and rules with the office named in each source before you pay anything.
