Illinois car tax
Illinois has no yearly car tax based on value. Owners pay a flat registration fee, and some cities, such as Chicago, add flat vehicle stickers. A dealer sale is taxed at 6.25% plus local tax. A private-party sale is taxed by a fixed table (RUT-50).
No yearly value-based tax. Chicago and some other cities charge flat yearly vehicle sticker or wheel tax fees.
Buying a car in Illinois: one-time tax
Illinois sales/use tax (dealer sales) — 6.25%, plus local sales tax where you live. Your trade-in is subtracted before tax.
Local rates are added on dealer sales. The trade-in credit has reportedly been capped at $10,000 since Jan 1, 2025. Private-party sales pay RUT-50 Private Party Vehicle Use Tax instead: by age for cars under $15,000 ($465 down to $100) and by price bracket from $15,000 ($850 and up).
Registration and due dates
Passenger car registration is about $151 a year (EVs $251). A title costs $165.
No yearly car tax. Registration renews every year. Chicago's city sticker is due each year with your registration.
Cut what your car costs in Illinois
Car tax is set by your town, but your loan and insurance aren't. Refinancing a car loan at a lower rate often saves more each year than the tax itself.
Questions
Is there a yearly car tax in Illinois?
No. There is a registration fee, plus flat local stickers in some cities.
How is a private-party car sale taxed?
With the RUT-50 tax: a flat amount by age for cars under $15,000, and a price-bracket amount from $15,000.
Can I deduct Illinois car taxes on my federal return?
Generally no. Illinois has no yearly value-based car tax, and flat registration fees cannot be deducted as personal property tax. Sales tax on the purchase can be deducted instead of income tax if you itemize.
Sources
Last checked October 14, 2026. Rates are for passenger cars owned by individuals; leased, business and specialty vehicles can differ. Confirm with your tax collector or commissioner of the revenue.