Nebraska car sales tax and motor vehicle tax

The motor vehicle tax follows the sticker price

Nebraska replaced the old property tax on cars with a schedule tied to the MSRP. The DMV tax table assigns a base tax to each $2,000 band of value when new: $100 at $10,000, $580 for a car that listed between $34,000 and $35,999, up to $1,900 from $100,000. The full base tax is due in the first year, then 90%, 80% and 70%, down to 7% in the twelfth and thirteenth years and nothing from the fourteenth. The money goes to the schools, county and city where the car is kept. A smaller motor vehicle fee of $5, $20 or $30, set by the same MSRP, is added and never disappears entirely. Because the price you paid plays no part, a used car carries the tax of its original sticker; type that MSRP into the calculator for an exact figure.

Sales tax where you live

The 5.5% state rate applies everywhere, and the local rate is the one of the address on the registration, not the dealer's. More than 270 cities and villages add 0.5% to 2%, and Dakota County adds 0.5% outside cities with their own tax; the Department of Revenue table for July 1, 2026 is built into the calculator. A trade-in comes off the price, but a dealer's document processing charge is taxed, as are service contracts. A new car also owes a $1 tire fee per new tire, spare included.

Fees, plates and electric cars

The registration fee is $15 for a passenger car, with $0.50, $2, $1.50 and $1.50 added for emergency medical services, the DMV, recreation roads and the county. Plates are $4.10 each and passenger cars carry two. Electric cars pay a $150 alternative fuel fee each year and plug-in hybrids $75. There is no safety or emissions inspection, only a $10 sheriff's identification check for a car arriving from another state. For a neighbor without a yearly value tax at the DMV, compare Wyoming.

What sets Nebraska apart

• Nebraska's motor vehicle tax is a property tax set by the MSRP: a car that listed at $34,000 to $35,999 starts at a $580 base tax (Nebraska DMV).
• The base tax falls with age, to 90% in the second year, 51% in the sixth and 7% in the twelfth and thirteenth years, and nothing is due from the fourteenth year (Nebraska DMV).
• A separate motor vehicle fee of $5, $20 or $30 depends on the MSRP band and drops to 70% after five years and 35% after ten, but never reaches zero (Nebraska DMV).
• The state sales tax is 5.5% and cities may add up to 2%, with Lincoln at 1.75% and Omaha at 1.5% from July 1, 2026 (Nebraska Department of Revenue).
• The address on the registration decides which local sales tax applies to a car, not the dealer's address (Nebraska Department of Revenue).
• A dealer's document processing charge is part of the taxable sales price, while the trade-in is deducted (Nebraska Department of Revenue).
• Every passenger registration costs $15 plus $5.50 of add-ons for emergency medical services, the DMV, recreation roads and the county (Nebraska DMV).
• Electric and hydrogen cars pay a $150 alternative fuel fee at each registration, plug-in hybrids $75 (Nebraska DMV).
• In 2025 Nebraska motorists paid about $45 million of city wheel taxes, which range from $10 to $370 a year (Nebraska DMV).
• A Nebraska title costs $10 at the county treasurer, and a car from another state needs a $10 sheriff's inspection first (Nebraska DMV).

What the Nebraska calculation cannot know

• Several cities (Omaha and Lincoln among them) charge a yearly wheel tax of $10 to $370 set by local ordinance; the DMV does not publish a city table, so it is shown as a range.
• The motor vehicle tax and fee are set on the MSRP of the vehicle when new; if you do not type it, the engine uses the price, which understates them for a used car.
• The $1 tire fee counts every new tire including the spare, so a new car pays $4 or $5 depending on the spare; it is shown as a range.
• Plates cost $4.10 each and a passenger car gets two; nothing is charged when you move plates you already own to the new car.
• The motor vehicle tax chart read on the DMV site is marked Rev 2019; the Nebraska Legislature statute site could not be reached to compare it with the current text of section 60-3,185.
• No dealer documentation fee cap was read in Nebraska law for this release; Nebraska taxes that fee as part of the sale price.