Colorado vs Utah

Registering a new $35,000 vehicle costs about $2,685 in Utah versus $3,318 in Colorado — a $633 first-year advantage for Utah.

Colorado
$3,318
first year, $35K gas car
vs +$633
Utah
$2,685
first year, $35K gas car

Cost comparison

Colorado Utah Difference
First-year total
All-in cost to register a new $35,000 gas vehicle for the first time, including sales tax, title, and registration.
$3,318 $2,685 +$633
Annual renewal (year 2+)
Recurring annual cost after the first year — what you actually pay every year you own the car.
$542 $194 +$348
Sales tax (one-time)
Sales/use/excise tax owed at purchase on a $35,000 vehicle, using typical local rates.
$2,590 $2,485 +$105
Combined sales tax rate
State rate plus typical local rate (where applicable).
7.40% 7.10% +0.30 pp
EV first-year total
Same $35K scenario but as a battery electric vehicle, capturing EV-specific surcharges.
$3,391 $2,828 +$563
EV annual renewal
Recurring EV-ownership cost in year 2+.
$615 $337 +$278
EV surcharge
Annual EV-specific registration fee (zero in states without one).
$73 $143 −$70

How each state structures it

Colorado

Colorado's vehicle tax structure is dominated by the Specific Ownership Tax (SOT) — an annual depreciating tax that replaces traditional vehicle property tax. SOT is based on 85% of the original MSRP (not what you paid, not the current value) with rates that drop sharply each year: 2.10% year 1, 1.50% year 2, 1.20% year 3, 0.90% year 4, 0.45% years 5-9, then a flat ~$3 minimum from year 10 onward. The state sales tax is the lowest in the US at 2.9%, but local rates can push combined rates to 8.85% in Denver and Boulder. EVs pay about $73/year (decal fee + road usage equalization, both rising annually) but qualify for a state tax credit of up to $5,000 on new purchases (through 2026). A new $35,000 vehicle in Denver runs about $3,260 in first-year costs, with annual renewals around $720 dropping fast to about $200/year by year 5.

Utah

Utah uses an AGE-BASED UNIFORM FEE that replaces traditional vehicle property tax — a flat dollar amount per age tier rather than a percentage of value. Tiers: under 3 years $150, 3-6 years $110, 6-9 years $80, 9-12 years $50, 12+ years $10. A $150,000 Tesla and a $15,000 Civic in the same age bracket pay identical uniform fees. Base registration is $44/year. Sales tax is 4.85% state + local (typically ~2.25%) for combined rates of 6.1%-7.75%. EV surcharge is $130/year with an opt-in Road Usage Charge alternative for low-mileage drivers. A new $35,000 vehicle in Salt Lake County runs about $2,913 in first-year costs ($2,713 in sales tax + $194 in DMV fees), with annual renewals around $194 dropping over the age tiers.

What this means for you

Frequently asked questions

Is it cheaper to register a car in Colorado or Utah?

Utah is cheaper to register a new $35,000 vehicle: $2,685 first year vs $3,318 in Colorado, and the gap continues into annual renewals.

What is the sales tax difference between Colorado and Utah?

Colorado charges 7.40% combined sales tax on vehicles; Utah charges 7.10%. On a $35,000 purchase that's $2,590 in Colorado vs $2,485 in Utah.

Do Colorado and Utah both charge EV registration fees?

Colorado: $73/year EV surcharge. Utah: $143/year EV surcharge. EV fees are added on top of standard registration costs.

Official sources: Colorado DMVUtah DMV

Data last updated: 2026-05-23