Last checked Nov 10, 2026
Buying a car in North Dakota
The tax you will pay, whether your trade-in lowers it, what the dealer may charge for paperwork, and where to title and register. Taken from official North Dakota sources.
- State tax on vehicles
- 5%
- Trade-in lowers tax
- Yes
- Doc fee limit
- Check with the state
- Deadline to title or register
- 30 days
motor vehicle excise tax
details below
Sales tax on a car in North Dakota
North Dakota charges a state motor vehicle excise tax of 5% on vehicle purchases.
The motor vehicle excise tax applies instead of state and local sales taxes, so no city or county sales tax is added.
The tax is paid to the Motor Vehicle Division when the title application is made. A manufacturer's incentive or discount that reduces the amount paid at the time of purchase is excluded from the taxable price.
Does a trade-in lower the tax?
The tax is computed on the purchase price less any qualifying trade-in allowance; the traded vehicle must be identified by year, make and VIN.
Example, state tax only. On a $30,000 car with a $10,000 trade-in, the taxable amount is $20,000, so the state tax is about $1,000. Without the trade-in it would be $1,500. Local taxes and fees are extra.
Dealer doc fees in North Dakota
We could not confirm from an official source whether the state limits the documentation fee. Ask the dealer for the fee in writing and compare it with other dealers.
Whatever the rule, the fee is part of your out-the-door price. Ask for it in the written quote and negotiate the total, not the line. See dealer fees explained.
Title and registration
Titles and registrations are handled by the North Dakota Department of Transportation, Motor Vehicle Division. The seller must deliver the title within 30 days, and the buyer must submit it for transfer within 30 days of receiving it.
Also worth knowing
- A buyer may drive the vehicle for up to 5 days from the date of acquisition with dated proof of ownership, such as a bill of sale.
- North Dakota residents can self-issue a temporary registration permit that is valid for 75 days from the date of acquisition.
Sources
- North Dakota Century Code Chapter 57-40.3: Motor Vehicle Excise Tax (ndlegis.gov)
- NDDOT Motor Vehicle Dealer Handbook (dot.nd.gov)
- North Dakota Office of State Tax Commissioner: Special Taxes (tax.nd.gov)
Last checked Nov 10, 2026; next review by Feb 10, 2027. This page explains how the rules generally work and is not tax or legal advice. Rules change, so confirm with the state. Report an error.
Concierge
Rather not do this part yourself?
Tell us the car you want. A person finds it, checks it, negotiates the out-the-door price in writing, and lines up the paperwork. You approve every step.