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Alabama Guide

How to Title a Private Car Sale in Alabama

Last verified: November 2026 against Alabama Department of Revenue sources

When you buy a car from a private seller in Alabama, you apply for the title and get a plate from your county licensing official within 20 calendar days. You pay the sales tax there too.

Here is the order to do it in, what it costs, and what to bring.

Step by step

  1. 1

    Get the signed title from the seller

    The seller assigns the title to you. Alabama does not require the title assignment to be notarized. The seller removes their license plate.

  2. 2

    Insure the car

    The vehicle must be covered by an Alabama liability insurance policy before it can be registered.

  3. 3

    Apply for the title

    The title application must be completed before the registration can be processed. The application fee is $15, plus a $1.50 commission for the designated agent; the license plate issuing official may add another $1.50 and some counties charge local fees.

  4. 4

    Pay the sales tax

    A purchase from someone who is not a licensed dealer is taxed at the 2% state rate plus the county and city automotive rates where you live (Ala. Code 40-23-101). ALDOR’s November 2026 local rate file shows combined local rates from 0% to 5.25% where they can be matched to one place.

    If the seller took your vehicle in trade, the tax is on the price less the trade-in credit (Ala. Code 40-23-103).

  5. 5

    Get a plate within 20 calendar days

    A passenger car plate is $23 a year plus a $1.25 issuance fee and any local fees. Battery electric vehicles add $203 and plug-in hybrids $103. The licensing official also collects ad valorem (property) tax.

What to bring

  • The title, signed over to you by the seller
  • Proof of Alabama liability insurance
  • The purchase price, for the sales tax
  • Payment for the $15 title fee and commissions
  • Payment for the sales tax, the $23 plate, and ad valorem tax

Estimate your Alabama costs

The calculator applies 2% plus the 0% to 5.25% local range to the price less any trade-in, with the $15 title and $23 plate. Ad valorem tax and issuance fees are not included.

Open the full Alabama calculator

Vehicle & Transaction Details

Enter purchase information to calculate true out-of-pocket costs in Alabama.

51 Jurisdictions Active
Alabama 2% tax base
$
7 years old
Alabama tag options
1-Year Term (Alabama registers for one year)
EV surcharge rules
Lien fee: $15.00
Alabama: Deductible
$

Alabama Notice: Alabama taxes the price less the credit for a vehicle taken in trade, on private sales too (Ala. Code 40-23-103). Enter a trade-in only if the seller took your vehicle as part of the payment.

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Estimated taxes & fees

Estimated taxes & fees

Jurisdiction

Alabama

Estimated taxes & fees
$338.00 – $1,125.50

Sales/Excise Tax (State + Local Range) + Title Certificate + Tags & Registration

Itemized Line ItemEstimated Fee
1Vehicle Sales / Excise Tax (2% State + Local Range)

State tax $300.00 + Local tax (varies by county) $0.00–$787.50

$300.00 – $1,087.50
2Certificate of Title Fee

Standard state title certificate issuance

$15.00
3Lien / Security Filing Fee

Unfinanced / cash purchase (waived $0.00)

$0.00
4Registration & Tag Fee

Base license plates & tags

$23.00

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Alabama rates last verified: November 2026
Official Notice & Statutory Disclaimers

Estimates only, not tax or legal advice. Verify with your county licensing official or the Alabama Department of Revenue (ALDOR).

The local range comes from ALDOR's November 2026 local rate file. Your county licensing official applies the exact rate for your address.

Ad valorem tax, the $1.25 issuance fee, and local issuance fees are not included. Licensing officials may also add small commissions.

Registration may be prorated to your renewal month, which is set by the first letter of your last name.

Alabama’s sources do not say whether its electric vehicle and plug-in hybrid fees apply to motorcycles, so the estimate leaves them out for a motorcycle. Confirm with the Department of Revenue.

County & Local Tax Note: Alabama charges a 2% state sales tax on a vehicle bought from a private seller, plus the county and city automotive rates where you live. The licensing official collects it when you register. ALDOR's November 2026 local rate file shows combined county and city automotive rates from 0% (Monroe County outside city limits) to 5.25% (Shorter, in Macon County) where the levies can be matched to one place. Some counties split their levies by city limits, police jurisdictions, and unabated portions, and the file does not say which combine, so a few places may be higher.

Frequently Asked Questions

Common questions about this Alabama Department of Revenue process.

No. ALDOR says Alabama does not require the assignment of a title to be notarized.

Sources

Last verified: November 2026. Rules change, so check with Alabama Department of Revenue before you go.

More Alabama guides

How to Gift a Car in AlabamaNo sales tax on a true gift; the title, plate, and ad valorem tax.Titling a Car in Alabama After Moving From Another State30 days, no sales tax on a car you already used, and the fees.
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