New Jersey Vehicle Tax Overview
New Jersey applies sales tax to vehicle purchases and has specific registration requirements that vary by vehicle type and weight. The state also has unique inspection requirements and regional considerations.
Sales Tax Structure
- State Rate: 6.625%
- Tax Base: Purchase price or fair market value
- Private Sale Rate: 6.625%
- Trade-In Credit: Full value deducted
- Lease Tax: On total lease payments
Registration Fees (2024)
- Passenger Vehicles:
- Under 2,700 lbs: $35.50
- 2,701-3,800 lbs: $46.50
- 3,801-5,000 lbs: $63
- Over 5,000 lbs: $84
- Title Fee: $85
- Plate Fee: $6
- Security Fee: $7.50
Urban Enterprise Zones
- Reduced Rate: 3.3125% (half regular rate)
- Eligible Areas:
- Newark
- Camden
- Trenton
- Other designated zones
- Requirements: Purchase from qualified dealer
Tax Exemptions
- Vehicles transferred between spouses
- Inherited vehicles
- Certain disabled veterans
- Government vehicles
- Qualifying nonprofit organizations
- Zero emission vehicles (partial)
Registration Requirements
- New Residents: 60 days to register
- Insurance: Mandatory liability coverage
- Documentation:
- New Jersey driver's license
- Proof of insurance
- Vehicle title
- Sales tax payment proof
- Inspection certificate
Vehicle Inspections
- Initial Inspection: Free at state stations
- Private Inspection: Fees vary
- Frequency:
- New cars: 5 years
- Used cars: Every 2 years
- Items Checked:
- Emissions systems
- Safety equipment
- On-board diagnostics
Special Vehicle Categories
- Historic Vehicles:
- 25+ years old
- Special plates available
- Modified inspection rules
- Electric Vehicles:
- Tax incentives available
- Special registration fees
- Charging station benefits
Regional Considerations
- Urban Areas:
- UEZ tax benefits
- Enhanced emissions requirements
- Shore Region:
- Seasonal registration options
- Special vehicle considerations
Money-Saving Tips
- Consider UEZ purchases
- Use trade-in credits
- Check for veteran benefits
- Research EV incentives
- Multi-year registration options
Common Questions
- Q: When is inspection required?
A: 5 years for new, 2 years for used
- Q: Do I pay tax on private sales?
A: Yes, at standard rate
- Q: Can I transfer plates?
A: Yes, with proper documentation