Title and Registration Fees

• Your title fee can range from $10 to around $100; call your state's motor vehicle office for the exact amount. The charge is usually listed as an "application fee" and differs widely by state. Registration fees are usually determined by vehicle age and weight class and purchased for at least one year, although some states require a two-year registration. You must also pay your taxes or provide proof of paid taxes to title the vehicle. Some states offer a set tax rate, some have no taxes for vehicle purchase and others tax by individual county.
  
  

Inspection and Emission Fees

• Inspection fees are mandatory if you wish to register your vehicle. States differ in requirements for this as well. Most states require a basic safety and emissions inspection, and the fee is not great (usually under $30). Your state's motor vehicle website should offer detailed information and vehicle requirements, as some require vehicles in high-traffic area to obtain an emissions inspection or certificate, and some require the inspection for vehicles state-wide.
  
  

Tax Exceptions

• States that require sales tax for vehicle purchases often allow some form of discount if trading in a car at a dealership. Because you already paid taxes on the vehicle you are trading in, you can deduct its tax value from the purchase price of the used car. For example, if you trade in a vehicle worth $2,000 toward a car that cost $10,000, you are taxed on $8,000 instead. Also, some states tax on the vehicle's actual sale price while others consider fair market value, determined by the state.
  
  

Dealer Fees

• Dealership document fees also differ by state. Some states limit the amount a dealer can charge to less than $100, while others can charge over $500 for a used car purchase as of 2010. A dealership collects all state taxes, complies with emissions and inspections requirements and submits titling and registration paperwork on your behalf. The document fee is used to cover this service. You will not pay a document fee during a private sale, as you complete your paperwork on your own.