Motor Vehicle: Excise Tax
Excise
tax is assessed upon each transfer of
vehicle, boat or outboard motor
ownership, unless specifically exempted
by law.
- Excise tax is
collected at the time of issuance
of the new Oklahoma title.
- Oklahoma residents
are subject to Oklahoma excise
tax on vehicles purchased in
another state.
- Nonresidents who
purchase vehicles in Oklahoma are
not assessed Oklahoma excise tax,
provided they title and register
the vehicle in their state of
residence.
Most
vehicles are assessed excise tax on the
basis of their purchase price, provided
that purchase price is within 20% of the
average retail value for that specific
model vehicle. If the purchase price
provided is not within that 20% range, a
taxable value within that range is
established for excise tax assessment
purposes.
- The purchase price may
include a deduction for any
dealer rebates or discounts.
- The purchase price may
not include a deduction for
any traded in vehicle.
- For new vehicles, a
copy of the contract, purchase
agreement or bill of sale from
the dealer is required.
- For used vehicles,
either purchase price listed in
assignment portion of conforming
title certificate, a copy of a
bill of sale or contract, or a
notarized Declaration
of Vehicle Purchase Price (Form
722-1
available for downloading from
the Forms
section of
this site) is required.
| Please note, in
establishing an average retail
value for the purpose of
assessing vehicle excise tax,
Oklahoma law makes no provision
for adjusting the value of a
vehicle due to that specific
vehicle’s condition –
be that condition above or below
average. An average value
for all such model
vehicles is utilized. |
Standard vehicle excise tax
is assessed as follows:
- New Vehicle:
3.25% of the purchase price (or
taxable value, if different)
- Used Vehicle:
$20.00 on the 1st
$1500.00 of value + 3.25% of the
remainder
Excise
tax on boats and outboard motors is based
on the manufacturer's original retail
selling price of the unit. Boat/outboard
motor excise tax is assessed as follows:
- New Boat/motor:
3.25% of the manufacturer's
original retail selling price
- Used Boat/motor:
For each subsequent year of age,
the taxable value is decreased
35%
Excise
tax on manufactured homes is based on the
actual purchase price/current value of
the home and is assessed in the following
manner:
- New Manufactured
Home: 3.25% of ½ the actual
purchase price/current value
- Used Manufactured
Home: 3.25% of 65% of ½ the
actual purchase price/current
value
Excise
tax on new and used all terrain vehicles,
utility vehicles, and off road
motorcycles is 4.5% of the actual
purchase price with a minimum of $5.00.
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