How Arizona DMV Fees Are Calculated in 2026
Arizona's Vehicle License Tax (VLT) is unique — it's calculated as 2% of 60% of your vehicle's original value, reduced by 16.25% each year. On top of VLT, the actual state registration fee is just $9, making Arizona's base registration one of the cheapest in the country.
Vehicle License Tax (VLT) explained
The VLT is Arizona's version of vehicle property tax, charged annually at registration. The formula:
- Take the vehicle's original MSRP
- Multiply by 60% to get assessed value
- Reduce by 16.25% for each year of age
- Apply 2% rate to remaining assessed value
A new $35,000 vehicle pays about $420 in VLT year one. After 5 years, roughly $155. After 15+ years, the minimum of $10.
Registration fee — just $9
Arizona's state registration fee is only $9/year — one of the lowest flat registration fees anywhere. Plus $1.50 air quality fee and $1.50 highway patrol fee.
Title fee — $4
Arizona has the lowest title fee in the country at just $4. This applies to new and used vehicle purchases and title transfers.
Sales tax — high variation
Arizona state sales tax is 5.6%, but city and county taxes add significantly. Pinal County reaches 10.1%. Phoenix (Maricopa) is 8.6%. Rural counties can be as low as 5.6%.