How to Calculate the Ad Valorem Tax for Georgia Vehicles

How to Calculate the Ad Valorem Tax for Georgia Vehicles
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Everyone who owns a vehicle licensed in Georgia must pay ad valorem tax at the time of purchase. Currently, the ad valorem tax formula that applies to your vehicle depends on whether you purchased the vehicle before March 1, 2013 or after. Under this system, owners of all vehicles purchased before March 2013 pay an annual ad valorem tax when renewing their vehicle tag. The Georgia Department of Revenue's website calculators conveniently let you calculate the amount due for any vehicle that you already own or intend to buy.

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GA TAVT for Recent Purchases

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In 2013, Georgia created the Title Ad Valorem Tax, or GA TAVT, for vehicles purchased in March 2013 and later. As of 2018, residents in most Georgia counties pay a one-time 7 percent ad valorem tax on these vehicles at the time of purchase. Owners of vehicles that fit this category can use the DOR's Title Ad Valorem Tax Calculator tool to calculate their Georgia car tax.

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You must enter your vehicle identification number for a vehicle you currently own. You will also indicate whether the vehicle is new or used. The tool also lets you calculate tax for a vehicle that belongs to a new resident of Georgia, if applicable.

GA TAVT for Planned Purchases

The DOR's Title Ad Valorem Tax Calculator provides an alternative link to use if you don't have the VIN for a vehicle you do not own yet. After you select this option, you must indicate whether the vehicle is new or used. Then enter an estimated purchase date, purchase price and base price for the vehicle model.

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To get your ad valorem tax estimate, you must enter an amount for taxable fees and select purchase or lease. You can fill in trade-in value and rebates, if applicable.

GA TAVT for Transferred Vehicles

People who transfer a vehicle from another state also pay the GA TAVT ad valorem tax to register their vehicle. However, Georgia allows you to pay half of the amount due at the time of registration. The owner must pay the balance within 12 months.

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Georgia Car Tax for Pre-2013 Purchases

For vehicles purchased before March 2013, you must pay ad valorem tax every year to renew your car tag or license plate. Use the DOR's Vehicle Ad Valorem Assessment tool to calculate the amount of your ad valorem for vehicles in this category.

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The Vehicle Ad Valorem Assessment tool requires that you enter basic information about your vehicle into the online form. To determine the fair market value, the tool requires the make, model and year, along with the trim or series of your vehicle. After the tool returns the market value, it asks for your county of residence and city or local jurisdiction. The tool applies your applicable mileage rate to the vehicle's fair market value, then makes your final Georgia car tax calculation.

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Calculation for Inheritances and Transfers

The ad valorem calculation formula for inherited vehicles and those transferred between family members will depend on the age of the vehicle. If the previous owner paid the GA TAVT, the new owner pays a one-time flat rate of 1/2 percent.

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Family members who receive vehicles from someone who has not paid the GA TAVT have two options. You can choose to license the car under the state's annual ad valorem tax or change to the one-time TAVT payment. The amount you'll pay depends on the current market value of the vehicle.

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