Mississippi car sales tax: 5% and what it applies to

• Mississippi charges 5%, and that rate is the same everywhere in the state — no county or city adds to it on a vehicle purchase.

• Taxed on top of the vehicle price: the dealer doc fee and dealer-installed accessories.
• Not part of the taxable amount: extended warranties and service contracts.
• Your trade-in comes off before tax is calculated.

• Mississippi charges 5% sales tax on a car, van, SUV or pickup up to 10,000 pounds, the same in every city and county. A truck over 10,000 pounds pays 3%. No city or county adds to the 5% on a vehicle. The dealer collects it at the sale.
• Your trade-in comes off the price before tax, on new and used cars, with no dollar limit. A dealer discount comes off too. A manufacturer rebate does not: Mississippi taxes the price before the rebate.
• The dealer's document fee and any accessories attached to the car are taxed. A separately listed service contract or extended warranty is not taxed.
• The dealer files your title application. You then take the copy to your county tax collector within 30 business days to pay for the tag. The tag fee, privilege tax and county property tax are paid there, not to the dealer.
• The county property tax is the large Mississippi ownership cost: often several hundred dollars on a new car and more in some cities. The figure here is an estimate from the statewide median rate; your tag office has your exact amount.
• A franchised dealer may charge a document fee of up to $425 under the Motor Vehicle Commission's rule. The fee has to be the same for every buyer and listed separately. The rule does not name independent used-car dealers.
• A dealer can issue a drive-out tag good for seven working days (its cost to the dealer is $5) to a buyer who is leaving the state before tagging. Most in-state buyers go straight to their county tax collector, so it is not in the total.

Source: Mississippi Department of Revenue – Sales Tax Rates · rules last verified Oct 11, 2026. Methodology.