Overview
Two real exceptions exist: a genuine gift transferred through Louisiana's notarized Act of Donation owes no sales tax at all, and new residents bringing a car from another state get a credit for tax already paid there, capped at $90 owed to Louisiana. This calculator applies the right rule for your situation.
01 - Official fees
Louisiana car sales tax fees at a glance
| Fee | Amount | Notes |
|---|---|---|
| State rate | 5.00% | effective through Dec 31, 2029 |
| Dealer sale base | price − trade-in | |
| Private sale base | full sale price | no casual-sale exemption for vehicles |
| Notarized Act of Donation | $0 tax | genuine gift, no assumed loan |
| New resident use-tax cap | $90 | after credit for tax paid in prior state, filed within 90 days |
| Late-payment tax penalty | 5% per 30 days | capped at 25% of tax owed |
Figures verified June 2026 against official sources (listed below). Always confirm the final amount with the Louisiana Office of Motor Vehicles (OMV) - often a privatized public tag agent, not a government office - counties can add small local fees.
03 - Same state, other costs
More Louisiana vehicle costs
04 - Common questions
Louisiana car sales tax FAQ
Why is my sales tax higher than the 5% I keep reading about?
5% is only the state's share. Every parish, and many cities inside a parish, add their own rate - often 4% to 6% more - so the real number you pay at OMV is a combined rate, commonly 9.5% to 11% depending where you live and where the sale is sourced.
Does trading in my old car lower the tax in Louisiana?
At a dealership, yes - tax applies to the price minus your trade-in allowance. A $20,000 purchase with a $6,000 trade-in is taxed on $14,000. Private-party sales don't get a trade-in mechanism because there's only one vehicle in the transaction.
Is a private-party car sale really taxed the same as a dealer sale here?
Yes. Louisiana specifically does not extend its 'isolated or occasional sale' exemption to motor vehicles the way it does for some other property (and even for boats, in limited cases). Buy from a neighbor, a co-worker, or a stranger off Facebook Marketplace, and you owe the same combined state-plus-parish rate on the price paid, collected when you title the car at OMV.
How do I avoid tax on a car my parent is giving me?
Don't structure it as a $1 'sale' - Louisiana taxes the real value transferred either way. Instead, use a notarized Act of Donation. As long as you're not assuming a loan balance on the vehicle, Louisiana sales and use tax simply doesn't apply. It works for gifts to anyone, not just family - see our dedicated gifting guide.
I moved to Louisiana with a car I already own - what do I owe?
You get a credit against Louisiana's 5% state tax for sales tax you already paid in your old state (assuming that state offers Louisiana residents the same courtesy). After the credit, what's left owed to the state is capped at $90, provided you register within 90 days of establishing residency and the vehicle was already titled or leased in your name elsewhere. Parish tax still applies on top.
What happens if I pay the tax late?
A penalty of 5% of the tax owed applies for each 30-day period you're delinquent, capping out at 25%, plus interest. The clock starts 40 days after an in-state sale (30 days for out-of-state purchases and new residents), so budget to title the car well before that window closes.
05 - Receipts
Official sources
Every number on this page comes from these documents - check them yourself.
