Federal Income Tax Calculator

IOWA CAR SALES TAX · 2026

Iowa car sales tax calculator

Iowa charges a fee for new registration in place of sales tax: 5% of the price less any trade-in, plus $10. On a $35,000 car with a $10,000 trade-in, bought from a dealer, the tax is $1,260.00.

Your purchase

Tax on this purchase

Tax due
$1,260.00
Fee for new registration
$1,260.00
Taxed amount
$25,000.00
Trade-in subtracted
$10,000.00

Iowa car sales tax by price

A new car from a dealer.

Iowa car sales tax by price — 2026
PriceNo trade-in$10,000 trade-in
$20,000$1,010.00$510.00
$35,000$1,760.00$1,260.00
$50,000$2,510.00$2,010.00
$75,000$3,760.00$3,260.00

Iowa car sales tax questions

How much is car sales tax in Iowa?

Iowa charges a fee for new registration in place of sales tax: 5% of the price less any trade-in, plus $10. On a $35,000 car with a $10,000 trade-in, bought from a dealer, the tax is $1,260.00.

Does a trade-in lower Iowa's car sales tax?

Yes. Iowa taxes the price less the trade-in. A $10,000 trade-in on a $35,000 car from a dealer saves $500.00.

Is a manufacturer rebate taxed in Iowa?

No. A manufacturer rebate applied at the sale lowers the taxed price in Iowa: a $2,000 rebate saves $100.00.

Is a private car sale taxed in Iowa?

Yes. Iowa taxes a private sale at the same rate, and a trade-in still counts.

What the calculator leaves out

Title, registration and plate fees, dealer fees, and any yearly tax on owning the vehicle are not included.

Sources

Read the full assumptions and sources.