Real Arkansas deals, worked out
Each example runs through the same calculator above, line by line, so you can check every number yourself.
1Little Rock: new car with a trade-in
A buyer pays $34,000 for a new car and trades in $9,000. The 6.5% state tax applies to $25,000, while local tax applies only to $2,500.
| Vehicle price | $34,000.00 |
| State sales tax (6.5%) on $25,000.00 | $1,625.00 |
| City + county tax (2% on first $2,500) | $50.00 |
| Title fee | $10.00 |
| Registration (cars up to 3,000 lbs) | $17.00 |
| Out-the-door | $35,702.00 |
| Due after the $9,000 trade-in | $26,702.00 |
2Used car at $8,500
A buyer pays $8,500 for a used car. Because it's between $4,000 and $10,000, the state rate drops to 3.5%.
| Vehicle price | $8,500.00 |
| State sales tax (3.5000000000000004%) on $8,500.00 | $297.50 |
| City + county tax (2% on first $2,500) | $50.00 |
| Title fee | $10.00 |
| Registration (cars up to 3,000 lbs) | $17.00 |
| Out-the-door | $8,874.50 |
3Used car at $3,500
A buyer pays $3,500 for an older car. No state sales tax is due; only local tax on the first $2,500 and the fees.
| Price paid | $3,500.00 |
| City + county tax (2% on first $2,500) on $3,500.00 | $50.00 |
| Title fee | $10.00 |
| Registration (cars up to 3,000 lbs) | $17.00 |
| Out-the-door | $3,577.00 |
How the tax is figured
The state rate is 6.5% of the price after your trade-in. City and county taxes are where Arkansas is unusual: on a vehicle licensed for highway use, local taxes are collected only on the first $2,500. So a 2% local rate adds at most $50, no matter the price.
For used vehicles, Arkansas Code 26-53-150 sets lower state rates. A used car under $4,000 pays no state tax, and one from $4,000 up to $10,000 pays 3.5%. Local tax still applies on the first $2,500.
Arkansas car tax at common prices
What a new gas car bought from a dealer comes to at four prices, using a 2% local rate. The trade-in column shows how much a $10,000 trade-in changes the tax under Arkansas's rules.
| Price | Tax | Tax with $10,000 trade-in | Taxes + fees |
|---|---|---|---|
| $15,000 | $1,025.00 | $375.00 | $1,052.00 |
| $25,000 | $1,675.00 | $1,025.00 | $1,702.00 |
| $35,000 | $2,325.00 | $1,675.00 | $2,352.00 |
| $50,000 | $3,300.00 | $2,650.00 | $3,327.00 |
Title, registration and EV fees
The title fee is $10. Registration is by weight; the Department of Finance and Administration lists $17 for a car of 3,000 pounds or less, and heavier vehicles pay more. Electric vehicles pay an extra $200 a year, plug-in hybrids $100 and regular hybrids $50.
Arkansas taxes and fees at a glance
Officialfrom a state agency sourceEst.varies or not yet confirmed
| Item (little rock: new car with a trade-in) | Status | Amount |
|---|---|---|
| State sales tax (6.5%) | Official | $1,625.00 |
| City + county tax (2% on first $2,500) | Estimate | $50.00 |
| Title fee | Official | $10.00 |
| Registration (cars up to 3,000 lbs) | Estimate | $17.00 |
| Total taxes and fees | $1,702.00 |
Arkansas car tax FAQ
What is the sales tax on a car in Arkansas?
6.5% state plus city and county taxes, which apply only to the first $2,500 of the price.
Are cheap used cars exempt from Arkansas sales tax?
Used cars under $4,000 pay no state tax, and those from $4,000 to under $10,000 pay 3.5%. Local tax still applies.
How much is the Arkansas EV fee?
$200 a year for electric cars, $100 for plug-in hybrids and $50 for hybrids.
Sources
We build every number from these agency pages. If something has changed, tell us and we'll fix it.