Minnesota Vehicle Registration Cost
Minnesota uses a value-based registration tax that's rare in its structure: $10 base fee plus 1.575% of the vehicle's original MSRP times an age depreciation factor that starts at 100% and decreases by ~10 percentage points per year, eventually flattening at a $20 minimum from year 11 onward. Combined with a 6.875% Motor Vehicle Sales Tax (MVST), full trade-in credit, and modest title/filing fees ($8.25 + $11), Minnesota is mid-cost overall. The Twin Cities metro counties all charge a $20/year county wheelage tax; rural counties may charge $10 or nothing. EVs pay an extra $75/year. A new $35,000 vehicle in Hennepin County (Minneapolis) runs about $3,050 in first-year costs, with annual renewals around $585 in year 1 dropping to about $115/year by year 10.
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Itemized breakdown
| Registration Tax (value-based portion) (annual) | $551 |
| Registration Tax (flat base portion) (annual) | $10 |
| Technology Surcharge (annual) | $2 |
| County Wheelage Tax (typical) (annual) | $10 |
| Title Fee | $8 |
| Filing Fee | $11 |
| License Plate Fee | $14 |
| Motor Vehicle Sales Tax (MVST) | $2,406 |
| First-year total | $3,013 |
| Annual renewal thereafter | $574 |
How Minnesota calculates registration
- Registration Tax (value-based portion) — 1.575% of depreciated value (annual) Per Minn. Stat. 168.013. Calculated as 1.575% (1.50% base + 5% surtax) of MSRP × age depreciation factor. The factor decreases by 10 percentage points each year for the first 10 years, then flattens at the $20 minimum from year 11 onward. Together with the separate $10 base fee shown below, this gives MN drivers a registration tax that decreases steeply over a vehicle's first decade.
- Registration Tax (flat base portion) — $10 (annual) The $10 fixed component of the annual registration tax, added to the value-based amount above per Minn. Stat. 168.013 subd. 1a.
- Technology Surcharge — $2 (annual) Annual technology surcharge funding DVS IT infrastructure.
- County Wheelage Tax (typical) — $10 (annual) Per Minn. Stat. 163.051. Optional county-level fee, $10-$20/year. About half of Minnesota's 87 counties opt in — the Twin Cities metro counties (Hennepin, Ramsey, Anoka, Dakota, Washington, Carver, Scott) all charge $20. Many rural counties charge $10 or nothing at all.
- Title Fee — $8 (one-time) One-time fee for new title.
- Filing Fee — $11 (one-time) Charged at title and registration transactions.
- License Plate Fee — $14 (one-time) One-time fee for new double-plate set.
Sales tax
Minnesota charges 6.875% state Motor Vehicle Sales Tax (MVST) . Trade-in credit: full. Tax basis: purchase price.
Minnesota's vehicle sales tax (MVST) is collected at title transfer at a 6.875% statewide rate with no local additions — unlike general retail sales tax which can have local additions in some Twin Cities metro cities. MVST applies to dealer and private-party sales alike. Trade-in value is fully credited.
Electric vehicle surcharge
Minnesota charges an additional $75/year for electric vehicles.
Per Minn. Stat. 168.013 subd. 1m. Battery EVs and plug-in hybrids both pay $75/year additional registration. Minnesota previously offered an EV purchase rebate of up to $2,500 through the Drive Electric Minnesota program — funding may be limited; check current status.
What makes Minnesota distinctive
- Minnesota's value-based registration tax depreciates aggressively: a $35,000 vehicle pays $561 in year 1 (= $10 + $35K × 1.575%), drops to about $440 in year 4, $285 in year 6, and just $20 from year 11 onward. The state's average vehicle is 11+ years old, which is why average annual registration tax across all MN vehicles is only ~$178.
- Minnesota's MVST (Motor Vehicle Sales Tax) at 6.875% has NO local additions — every county pays the same rate. This is unusual among large states (WI has local additions, IL goes up to 11%, IA varies by county). Combined with full trade-in credit, MN's vehicle purchase tax is competitive.
- Minnesota's county wheelage tax of $10-$20/year is optional at the county level. The 7 Twin Cities metro counties (Hennepin, Ramsey, Anoka, Dakota, Washington, Carver, Scott) all charge $20. Many rural counties charge nothing — check your county clerk for the current rate.
- Minnesota's $75/year EV surcharge is moderate compared to Wisconsin ($175), Pennsylvania ($250), or Georgia ($214). Plug-in hybrids also pay $75/year. Minnesota previously offered up to $2,500 in EV purchase rebates through Drive Electric Minnesota, though program funding has been uneven year to year.
- Minnesota uses the original MSRP as the depreciation base, not the purchase price. A buyer who pays $20,000 for a used vehicle with $35,000 original MSRP pays the registration tax based on the $35,000 figure, depreciated by age. The MSRP is captured at first MN registration and used for the life of the vehicle.
Frequently asked questions about Minnesota vehicle registration
How much does it cost to register a car in Minnesota?
Registering a new $35,000 passenger vehicle in Minnesota costs approximately $3,013 in the first year, including sales tax, title, registration, and any applicable state surcharges. Annual renewal in subsequent years drops to roughly $518 once one-time fees like title and sales tax are paid.
What is the sales tax on a vehicle purchase in Minnesota?
Minnesota charges a 6.875% state Motor Vehicle Sales Tax (MVST) with no local additions. Trade-in credit treatment is "full", applied to the purchase price.
Does Minnesota have an electric vehicle registration fee?
Yes — Minnesota charges $75/year extra for battery electric vehicles in addition to standard registration fees, to compensate for lost gas tax revenue. Per Minn. Stat. 168.013 subd. 1m. Battery EVs and plug-in hybrids both pay $75/year additional registration. Minnesota previously offered an EV purchase rebate of up to $2,500 through the Drive Electric Minnesota program — funding may be limited; check current status.
How much is annual vehicle registration renewal in Minnesota?
Annual registration renewal in Minnesota for a typical passenger vehicle is approximately $518, covering registration fees, plate fees, and any annual ad valorem or surcharges. This excludes one-time costs like sales tax and title fee paid only at initial registration.
Where do I register my vehicle in Minnesota?
Vehicle registration in Minnesota is handled by the Minnesota DVS. Some fees vary by county, so transactions are typically processed through county clerk or tax collector offices. See the Minnesota DVS website for the official fee schedule, online renewal options, and required documents.
Official sources: Minnesota DVS • Official fee calculator
Data last updated: 2026-05-23