

Do Illinois Vehicle Taxes Apply to Trade-Ins and Rebates? The average cost of fees at the DMV in Illinois after a new car purchase is made is just shy of $1,000, when all fees are assessed. Those fees were subject to recent legislation and have changed. Other fees that buyers are subject to, no matter how a car was purchased, include registration, title, and plate fees. explains that if a car is being purchased between two private parties, there may be different taxes and requirements. Also, if the dealership handles your vehicle's documentation in any capacity, they may require an additional fee called a dealership documentation fee. Per the Daily Herald, if you live inside the city of Chicago, you will be charged an additional city sales tax of 1.25%. Toyota of Naperville says these county taxes are far less and tend to range from 0.25% - 0.75%. For example, there's a state sales tax on the purchase of automobiles, which is 7.25%, and additional county taxes apply. Illinois Sales Tax on Car PurchasesĪccording to the Sales Tax Handbook, because vehicle purchases are prominent in Illinois, they may come with substantial taxes. For this reason, it's beneficial to understand how sales tax is calculated on Illinois' new car purchases. For example, sales tax on a car might be different depending on whether you apply trade-in value or incentives, or purchase from a dealership versus private party. Illinois car sales tax impacts how consumers in Illinois are charged for their vehicles.
