Georgia’s title ad valorem tax, known as TAVT, is a one-time tax of 7% of a vehicle’s fair market value, paid when the vehicle is titled in Georgia.1Georgia Department of Revenue. Vehicle Taxes–Title Ad Valorem Tax (TAVT) and Annual Ad Valorem Tax It took effect March 1, 2013, and replaced both the sales tax that was collected at purchase and the annual property tax that used to come due on the owner’s birthday each year.2Georgia Department of Revenue. Title Ad Valorem Tax (TAVT) – FAQ Pay it once at titling, and you owe no further property tax on the vehicle for as long as you own it.
Which Vehicles TAVT Applies To
Any motor vehicle titled in Georgia on or after March 1, 2013, is covered: passenger cars, trucks, motorcycles, trailers, and motor homes designed for public roads. Every title transfer triggers TAVT, whether the vehicle came from a dealership, a private seller, or a gift.1Georgia Department of Revenue. Vehicle Taxes–Title Ad Valorem Tax (TAVT) and Annual Ad Valorem Tax
New Georgia residents have 30 days from establishing residency to register the vehicle and pay TAVT.3Georgia Department of Revenue. When and Where to Register Your Vehicle The same 30-day clock applies to any purchase. Miss it and penalties start stacking.
How the Tax Is Calculated
The Georgia Department of Revenue publishes a motor vehicle assessment manual that lists a fair market value for nearly every make, model, and trim.4Georgia Department of Revenue. Georgia Motor Vehicle Assessment Manual for Title Ad Valorem Tax The 7% rate applies to the taxable value, but the way that value is set depends on how you acquired the vehicle.5Georgia Department of Revenue. Policy Bulletin MVD-2023-02 Title Ad Valorem Tax (TAVT) Rate Changing to 7 Percent
New Vehicles
For a new vehicle purchased from a dealership, the taxable value is the higher of the retail selling price or the value in the state assessment manual. Trade-in credit, manufacturer rebates, and cash discounts given by the dealer reduce that figure. The retail selling price itself includes delivery charges, freight, and documentation fees.2Georgia Department of Revenue. Title Ad Valorem Tax (TAVT) – FAQ
Used Vehicles
For used vehicles listed in the assessment manual, the manual’s FMV controls. The price you paid doesn’t override it. If the vehicle isn’t in the manual, the state falls back on the selling price. One point that catches buyers off guard: a trade-in reduces the taxable amount only when you buy from a dealer. Private-party sales get no trade-in credit.2Georgia Department of Revenue. Title Ad Valorem Tax (TAVT) – FAQ
Leased Vehicles
Leases follow a separate formula. For most consumer leases originated on or after January 1, 2022, the taxable value is total depreciation plus any amortized amounts under the lease agreement, plus any down payment made at signing.6Justia. Georgia Code 48-5C-1 You’re effectively taxed on the portion of the vehicle’s value you use during the lease rather than its full sticker price. Business leases with rental-price adjustment clauses use the agreed-upon value instead.7Georgia Department of Revenue. Policy Bulletin MVD-2021-04 Revised TAVT Calculation for Leases The leasing company is technically the taxpayer at title acquisition, but the law lets it pass the cost to the lessee, which is what happens in practice. If you buy the car at lease end, expect to pay TAVT again on the residual value, because the buyout is a new title transfer.
Estimating Before You Go
The Department of Revenue’s online TAVT estimator at eservices.drives.ga.gov accepts a VIN and pulls the exact trim and weight class from the assessment manual. The number it produces is usually very close to what the county tag office will charge, with small differences possible when a new-vehicle purchase price exceeds the manual value.
Paying TAVT and Titling the Vehicle
TAVT is handled at the county tag office where you live. If you bought from a Georgia dealer, the dealer typically collects TAVT at the sale and files the paperwork. For private-party purchases and vehicles brought in from out of state, you’ll go to the tag office yourself with Form MV-1, the state’s title and tag application, and your payment.8Georgia Department of Revenue. MV-1 DOR Motor Vehicle Title/Tag Application
On top of TAVT, expect an $18 title fee and a $20 license plate fee for a standard passenger vehicle.9Georgia Department of Revenue. Motor Vehicles Fees, Fines, and Penalties County offices accept cash, certified checks, and most major credit cards, though credit cards usually carry a convenience fee.
One thing TAVT does not replace is the $20 annual tag renewal fee. The old annual property tax on the vehicle is gone; the plate renewal charge remains.9Georgia Department of Revenue. Motor Vehicles Fees, Fines, and Penalties
Exemptions and Reduced Rates
Some transfers qualify for a reduced rate or a full exemption from the standard 7%.
Immediate Family Transfers
When a vehicle that already has TAVT paid on it is transferred between immediate family members, spouses, parents, children, siblings, grandparents, or grandchildren, the recipient pays 0.5% of fair market value instead of 7%.1Georgia Department of Revenue. Vehicle Taxes–Title Ad Valorem Tax (TAVT) and Annual Ad Valorem Tax Submit Form MV-16, the Affidavit to Certify Immediate Family Relationship, with the title application. If the vehicle is still under the older annual ad valorem system, the full 7% applies; the reduced rate only exists once TAVT has been paid on the car.
Inherited Vehicles
A family member inheriting a vehicle already in the TAVT system also pays the 0.5% rate. The paperwork is Form T-20, the Affidavit of Inheritance. If the inherited vehicle is still under the annual ad valorem system, the heir can either stay under that system or pay the full TAVT to switch over.1Georgia Department of Revenue. Vehicle Taxes–Title Ad Valorem Tax (TAVT) and Annual Ad Valorem Tax
Disabled Veterans
Veterans rated 100% totally and permanently disabled by the VA are exempt from TAVT on one vehicle. The exemption also reaches veterans rated unemployable who receive or are entitled to receive VA statutory awards for loss of use of hands, feet, or eyesight. File Form MV-30, the Georgian’s Veteran Affidavit for Relief of State and Local TAVT Fees, with supporting military documentation.10Georgia Department of Veterans Service. Tax Exemptions
Non-Resident Military
Service members stationed in Georgia but paying taxes to another state are treated differently depending on how they got the vehicle. Bringing in a vehicle already titled in your home state, with a Leave and Earnings Statement showing home-state tax, means no TAVT; you pay only the $18 title fee and $20 plate fee. Buying from a Georgia dealership while stationed here means the full TAVT, regardless of home state. For a private-party purchase with a Georgia title, no TAVT is owed. For a private purchase with an out-of-state title, you can choose between TAVT and sales tax. These situations use Form PT-472NS, the Service Member Affidavit.1Georgia Department of Revenue. Vehicle Taxes–Title Ad Valorem Tax (TAVT) and Annual Ad Valorem Tax
Gifts Between Unrelated Parties
If someone outside your immediate family gives you a vehicle, the 0.5% rate is not available. The full 7% applies to the vehicle’s fair market value, regardless of whether any money changed hands.1Georgia Department of Revenue. Vehicle Taxes–Title Ad Valorem Tax (TAVT) and Annual Ad Valorem Tax
Late Payment Penalties
The clock is 30 days from the date of purchase, or from the date you become a Georgia resident. Miss it, and the state adds a 10% penalty on the unpaid tax.11Georgia Department of Revenue. TAVT Double Penalty After 60 days without registration, interest of 1% per month starts running on top of that penalty.9Georgia Department of Revenue. Motor Vehicles Fees, Fines, and Penalties On a $25,000 vehicle, the 10% penalty alone is $1,750.
Starting January 1, 2026, a separate rule doubles the TAVT penalty for a Georgia resident who owns at least 50% of a passive entity, such as an LLC, when a vehicle titled to that entity isn’t registered within 60 days. The doubled penalty can reach $2,500 for the state portion and $2,500 for the local portion per vehicle.11Georgia Department of Revenue. TAVT Double Penalty
Appealing the Assessed Value
If the state’s assessment manual overvalues your vehicle, high mileage, body damage, or mechanical problems that the standard listing doesn’t account for, you can appeal. You must pay the full TAVT based on the assessed value first, then file.
The appeal is filed on Form PT311A-MV with your county’s Board of Tax Assessors, within 45 days of the date you were notified of the state’s valuation. That notification date is typically the date a dealer collected the tax or the date you visited the tag office. Include photos of all four sides of the vehicle, the interior, any damage, and the odometer. If you paid substantially less than the assessed value, attach the bill of sale.
Out-of-State Purchases
A Georgia resident who buys a vehicle from an out-of-state dealer or private seller still owes TAVT when titling the vehicle in Georgia. The 7% rate and fair market value rules don’t change based on where you bought the car.2Georgia Department of Revenue. Title Ad Valorem Tax (TAVT) – FAQ Some out-of-state dealers will collect Georgia TAVT at the sale and remit it for you; many won’t. If yours doesn’t, bring the out-of-state title and bill of sale to your county tag office within 30 days to avoid the late penalty.
Georgia does not credit sales tax paid to another state against TAVT. If you paid sales tax elsewhere and then title the vehicle in Georgia, you owe TAVT on top of what you already paid.