Florida car sales tax and fees: what you pay on a new or used Mercedes
In Florida you pay 6% state sales tax on the price after your trade-in, plus your home county's surtax on only the first $5,000. On top of that come the state title fee, a registration fee set by weight, and a one-time $225 initial registration fee if you have no Florida plate to move over. Every one of those lines shows up on the numbers I send, so you can check them against this page.
The 6% state sales tax
Florida's state sales tax is 6%, and it applies to new and used vehicles alike. The Florida Department of Revenue's published guidance for vehicle sales starts from that rate.
The tax is figured on the selling price of the car less the value of any trade-in. That credit is written into the statute itself (Fla. Stat. 212.09): when a dealer takes your car in trade, tax is paid on the price of the new car minus the trade credit. So a trade does two things on a Florida deal sheet: it lowers what you owe on the car, and it lowers the amount the 6% is charged on.
The county surtax, and why it stops at $5,000
Most Florida counties add a discretionary sales surtax. For a car, two rules make it smaller than people expect.
First, the surtax only applies to the first $5,000 of the price of a single item (Fla. Stat. 212.054). A 1% surtax therefore adds at most $50 to a car purchase, whatever the car costs.
Second, the county that counts is the one where you live, as shown on the registration or title, not the county where the dealer sits (same statute). A Palm Beach County resident who buys in Pompano Beach pays the Palm Beach rate.
The 2026 rates for the three counties most of my customers come from, from the Department of Revenue's surtax chart for calendar year 2026:
- Broward County: 1% (a transportation surtax in place since January 1, 2019)
- Miami-Dade County: 1%
- Palm Beach County: 0.5% since January 1, 2026, down from 1% (the old 1% infrastructure surtax ended December 31, 2025, and a new 0.5% school surtax began the next day)
If you lease instead of buy
A lease is taxed differently. For a lease of 12 months or longer on a car registered in Florida, sales tax is due on the lease payments rather than on the whole price of the car (Fla. Stat. 212.05). Each payment carries the 6% state rate plus the county surtax.
Money you pay when you sign is taxed too. The Department of Revenue has advised that when a dealer collects a down payment and the first payment at signing, the dealer collects and sends in the sales tax on both. That is why the amount due at signing on a Florida lease always has a tax line, even before the first month is over.
Title and registration fees
These are state fees, set by the Florida Department of Highway Safety and Motor Vehicles (FLHSMV), and they are the same at every dealer. The state's fee schedule lists:
- Title, original for a new car: $77.25 (electronic title)
- Title, original for a used car: $85.25 (electronic title)
- Lien recording, when there is a loan or lease: an additional $2
- Paper title instead of electronic: an additional $2.50
- Registration for an automobile of 3,500 lbs or more: $32.50 (the lighter brackets are $14.50 and $22.50). All 55 Mercedes-Benz curb weights I have from mbusa.com are above 3,500 lbs; the lightest is the 2027 CLA 220 Hybrid at 3,594 lbs. County service fees can add to the state amount.
- Initial registration fee: $225, one time
What a tag actually costs: my own numbers
Those line items add up to more than people expect, because a new plate stacks the $225 initial fee, the plate fee, the title, the registration and the county's service charges. When I got a new tag at the Broward County office myself in 2026, the total came to about $370 to $380. A plate transfer, where you move your existing Florida plate to the new car, runs about $180 to $220.
Buying from a dealer, the same state fees apply, and the dealer handles the title and plate paperwork for you.
Where people overpay is the private tag agency. These are private businesses, not the county tax collector, and they add their own service charges on top of the state fees. In my experience a new plate through one runs $600 or more, and a transfer $400 to $500. If you're registering a car you bought privately, the county office is the cheaper stop.
Either way, the transfer is the cheaper path whenever you have a plate to move.
The $225 initial registration fee, and how to avoid it
Florida charges $225 the first time a plate is issued to you for a car (Fla. Stat. 320.072). You do not pay it when you move a Florida plate from a car you no longer own onto the new one. That is the usual way around it: if your old car is being traded in or sold, keep the plate and transfer it.
The statute also exempts renewals, transfers between co-owners or to an immediate family member in the same household, and certain military members stationed in Florida. If you are new to Florida, or adding a car without retiring one, plan on the $225.
Buying in Florida when you live in another state
Florida collects 6% from out-of-state buyers in general. If your home state's rate is lower than 6%, you can sign an affidavit at the time of sale (Form DR-123) and pay Florida only what your home state would have charged, as long as you register the car at home within 45 days. That is the Department of Revenue's rule as of its February 11, 2026 publication.
The same publication warns that a few states, including Arkansas, Mississippi and West Virginia, do not credit tax paid to Florida, so buyers from those states can owe tax twice. Check with your home state before you sign.
Dealer fees are a separate thing
Tax, title and registration go to the state and county. A dealer fee goes to the dealer. Florida law treats them differently in advertising: an advertised price must already include every fee the dealer charges, while taxes, tag, registration and title fees may be left out (Fla. Stat. 501.976(16)).
When I send you a number, it lists every line: the car, each dealer fee, the 6% and your county's surtax, title, registration and the $225 if it applies. Nothing gets added when you sit down.
Questions people ask
- Does my trade-in lower the sales tax in Florida?
- Yes. Florida charges sales tax on the price of the car minus the trade-in credit (Fla. Stat. 212.09).
- Which county's surtax do I pay?
- The county on your registration or title, meaning where you live, not where you buy. It applies to the first $5,000 of the price only.
- Who pays the $225 initial registration fee?
- Anyone registering a car in Florida without a plate to transfer from a car they previously owned. Moving your old plate to the new car avoids it.
- Is a Florida lease taxed on the whole car?
- No. On a lease of 12 months or more, tax is charged on each payment and on what you pay at signing, not on the full price of the car.
Models in this guide
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Ask for Alfredo at Mercedes-Benz of Pompano · 350 W Copans Rd, Pompano Beach, FL 33064
Sources
- Florida Department of Revenue, TIP 26A01-01, Motor Vehicle Sales Tax Rates by State (Feb 11, 2026) · read October 15, 2026
- Florida Department of Revenue, DR-15DSS, Discretionary Sales Surtax Information for Calendar Year 2026 · read October 15, 2026
- Florida Statutes 212.05, sales tax on leases of motor vehicles (2026) · read October 15, 2026
- Florida Statutes 212.054, discretionary sales surtax and the $5,000 limit (2026) · read October 15, 2026
- Florida Statutes 212.09, trade-ins deducted (2026) · read October 15, 2026
- Florida Department of Revenue, Technical Assistance Advisement 06A-019, tax on lease down payments and first payments · read October 15, 2026
- FLHSMV, Fees (title and registration fee schedule) · read October 15, 2026
- FLHSMV, Motor Vehicle Registrations (initial registration fee) · read October 15, 2026
- Florida Statutes 320.072, initial registration fee and exemptions (2026) · read October 15, 2026
- Florida Statutes 501.976, dealer advertising and predelivery charges (2026) · read October 15, 2026
- Mercedes-Benz USA, Build Your Own specifications (curb weights), read Oct 13, 2026 · read October 13, 2026