Connecticut Vehicle Tax Overview
Connecticut charges a 6.35% sales tax on vehicle purchases, with an additional 5% luxury surcharge on vehicles priced at $50,000 or above. No local sales tax applies to vehicles, making rates uniform statewide.
Standard Sales Tax
Connecticut's vehicle sales tax applies to all vehicle purchases:
- Rate: 6.35% of purchase price
- Less trade-in value
- No local sales tax
Luxury Vehicle Surcharge
Vehicles with a sales price of $50,000 or more pay an additional luxury surcharge:
- Rate: 5% of amount above $50,000
- Example: $60,000 vehicle pays 5% on $10,000 = $500 luxury tax
- Example: $80,000 vehicle pays 5% on $30,000 = $1,500 luxury tax
Combined Tax Examples
Total tax on a $60,000 vehicle with no trade-in:
- Sales tax: $60,000 × 6.35% = $3,810
- Luxury tax: ($60,000 - $50,000) × 5% = $500
- Total: $4,310
Trade-In Tax Exemption
Connecticut allows trade-in vehicle value to reduce the taxable purchase price. This exemption applies to both the standard sales tax and the luxury surcharge calculation, potentially saving thousands on high-value purchases.
Additional Connecticut Fees
Vehicle purchases include:
- Title fee: $25
- Registration: $60-80 first year
- Plate fee: $20-50 annually
- Sales tax: 6.35% minus trade-in
- Luxury tax: 5% of amount above $50k
Conclusion
Connecticut's standard 6.35% rate is moderate, but the luxury surcharge on $50k+ vehicles significantly increases costs for high-end purchases. Trade-in exemptions apply to both taxes, helping reduce the overall burden.