Iowa calls this a fee for new registration rather than a sales tax, but it works the same way and applies to private sales too. Trade-in value is fully excluded as long as the same person is on both titles. Manufacturer cash rebates applied to the price are also excluded.
Iowa Code § 321.105A (2026) “a "fee for new registration" is imposed in the amount of ten dollars plus five percent of the purchase price for each vehicle subject to registration”
Iowa Department of Revenue “These vehicles are subject to a fee for new registration equal to ten dollars plus 5% of the sales or lease price. This fee for new registration also applies when vehicles are sold between private individuals.”
Last verified: September 21, 2026.
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Estimates only. Your dealer or the state issues the final bill, and exemptions can change what you owe. This page does not collect or store anything you enter.