Tennessee charges sales and use tax (single article rules) of 7% at the state level, and local jurisdictions add their own, which brings a typical vehicle to about 9.5%. A trade-in does reduce the taxable price, which is real money on the deal.
Type your own numbers and see the same car priced as cash and as a loan, with the taxes and state fees for Tennessee. Nothing you type leaves this page.
To see a lease, pick a vehicle. A lease is priced on one car: what it is expected to be worth at the end (its residual) and the leasing company's money factor change by model and by month.
An estimate on the numbers you type, not an offer of credit or a quote from any dealership. Starting loan rates are Rateous's rates for each credit range and term; they are not an offer from any lender. The documentary fee starts at an example figure, the state's legal cap where it has one or $599 where it does not, not any dealership's fee; each dealership sets its own. Taxes and state fees are estimates for Tennessee; the dealership's paperwork and your motor vehicle agency have the final numbers. Nothing you type is sent, saved, or used to check your credit.
Worked example ($40,000 car, 2.25% local county): state 7% = $2,800; local 2.25% x $1,600 = $36; state single-article 2.75% x $1,600 = $44; total $2,880.
Local rate is that of the buyer's county of residence (where the vehicle is registered). Per the DOR local rate list most counties are 2.75%; Davidson, Hamilton, Knox and Shelby are 2.25%; a handful are 2.0%-2.5%.
Manufacturer rebates do not reduce the taxable sales price in Tennessee; dealer discounts do.
Title fee: DOR pages list $14 (duplicate title $14); the noting-of-lien fee is $11. County clerk fees are added.
On a $35,000 new car with a $37,000 sticker, registered in Memphis, no trade-in: the same figures the calculator above uses. The dealership's documentary fee is its own and is not included.
| Fee | Amount |
|---|---|
| Title fee | $14.00 |
| Registration (est., flat based) | $26.50 |
| In all | $40.50 |
Tennessee taxes a lease one payment at a time: the tax is added to each monthly payment, so you pay it as you go.
Pick your city for the exact combined rate where you register, plus what title and registration run there.
Tennessee charges 7% at the state level and local jurisdictions add more, so a typical combined rate on a vehicle is about 9.5% and can reach 9.75% at the high end. The rate is set by where you live, so pick your city above for the exact figure.
Trade-in allowance for a motor vehicle taken in trade reduces the taxable sales price (Tenn. Code 67-6-510).
On a $35,000 new car with a $37,000 sticker, registered in Memphis: Title fee $14.00, Registration (est., flat based) $26.50, about $40.50 in all. Standard automobile plate $26.50 per year (state) plus county clerk fees and county wheel taxes (up to about $100 in some counties). EVs pay $200 per year (2026), hybrids $100.
No. Tennessee sets no statutory cap. Each dealership sets its own documentary fee (not a government fee), and each car shows its dealership's fee.
Tennessee taxes a lease one payment at a time: the tax is added to each monthly payment, so you pay it as you go.