Virginia car sales tax: 4.15% and what it applies to

• Virginia charges 4.15%, 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 does NOT come off — Virginia taxes the full price even when you trade a car in.

• Virginia charges 4.15% Motor Vehicle Sales and Use Tax, flat statewide. The regional sales tax add-ons in Northern Virginia and Hampton Roads do NOT apply to cars u2014 vehicles are exempt from that part of the tax code entirely.
• Virginia gives NO credit for a trade-in. Tax is calculated on the full negotiated price, even if you trade a car in. On a $40,000 car with a $15,000 trade, that is about $622 more than you would pay in a state that allows the credit.
• Manufacturer rebates and dealer discounts both reduce the taxable amount in Virginia u2014 the opposite of how trade-ins are treated.
• The doc fee (Virginia calls it a processing fee) is taxed, and it is not capped. Dealers must post the amount on a sign at least 8.5 by 11 inches and list it on your buyer's order.
• There is a $75 minimum tax, so a very inexpensive car still pays $75 rather than 4.15%. It starts to matter below about $1,800.
• Extended warranties and service contracts are not part of the taxable amount in Virginia.
• Virginia dealers handle the tax, title and registration for you, so the total above is what you should expect to pay at the dealership. One thing we cannot include: most dealers now e-file and pass through an 'on-line systems filing fee' set by their software vendor, which has no published amount.

Source: Virginia DMV - Motor Vehicle Sales and Use Tax (SUT) · rules last verified Oct 1, 2026. Methodology.