Kentucky charges motor vehicle usage tax (mvut) of 6% statewide on vehicles, with no local add-on. A trade-in does reduce the taxable price, which is real money on the deal.
No local sales tax on vehicles in Kentucky.
Manufacturer rebates cannot be deducted from MSRP or the affidavit price (DOR MVUT guidance).
Leases: the lessor holding a U-Drive-It permit remits 6% usage tax on each lease payment rather than on the vehicle price.
| Fee | Amount |
|---|---|
| Title | $9.00 |
| Registration | ~$21 |
| Speed title (optional expedite) (if requested) | $25.00 |
Lease tax applies to each monthly payment rather than to the full price of the car, so you pay it as you go.
Pick your city for the exact combined rate where you register, plus what title and registration run there.
6%. Kentucky applies one rate statewide on vehicles, so it does not change from city to city.
A motor vehicle traded in at the time of purchase reduces the taxable retail price when attested in a notarized affidavit (KRS 138.450).
Title is $9.00. Annual registration $21 (prorated to the owner's birth month) plus county clerk fees (about $6) and the annual ad valorem property tax collected at registration.
No. Kentucky sets no statutory cap, and dealers typically charge around $450. No statutory cap. Typical from CarEdge 2026 (secondary).
Tax applies to each monthly payment rather than the whole price of the car, so the tax is spread across the lease.
Rates, fees, and rules change. These figures are estimates for planning, not tax advice; confirm the final numbers with the dealer and your state's motor vehicle agency before you buy.