Illinois taxes dealer sales at 6.25% plus local taxes where they apply, and a trade-in comes off the price. Private sales work completely differently: you pay a flat amount from a state table based on the car’s age or price.
Illinois car taxes and fees at a glance
| Dealer sales | 6.25% state rate plus local taxes where they apply |
|---|---|
| Trade-in | Subtracted (no cap since January 1, 2022) |
| Private sales under $15,000 | Flat tax by age: $465 for a car 1 year old or less, down to $100 at 11 years or more |
| Private sales $15,000+ | Flat tax by price: $850 to $10,100 |
| Title | $165 |
| Registration | $151 a year (passenger plate) |
Rules worth knowing
- Private-party tax is filed on Form RUT-50 with the Secretary of State title application.
- Some local governments add their own private-party vehicle tax (see Form RUT-6); it isn’t included here.
- From 2020 through 2021 Illinois capped the trade-in credit at $10,000; that cap ended on January 1, 2022.
Example: what you’d pay in Illinois
Buying a $30,000.00 used car from a dealer, with a $5,000.00 trade-in:
| Sales tax (6.25%) | $1,562.50 |
| Original title | $165.00 |
| Registration (passenger plate, 1 year) | $151.00 |
| Taxes and fees | $1,878.50 |
|---|---|
| Out-the-door price | $26,878.50 |
Dealer documentation fees aren’t included in this example; add your dealer’s fee in the calculator.
Frequently asked questions
How much tax do I pay on a private car sale in Illinois?
A flat amount from Form RUT-50: by the car’s age if the price is under $15,000, or by price bracket if it’s $15,000 or more.
Is there a cap on the trade-in credit in Illinois?
Not anymore. The $10,000 cap only applied in 2020 and 2021.
Checked October 2026 against official Illinois sources. Rates and fees change; your dealer or the motor vehicle office has the final numbers. How we calculate.
Sources
- Illinois DOR: RUT-50 instructions (tax tables)
- 86 Ill. Adm. Code 130.425 (trade-ins)
- Illinois Secretary of State: Fees