Title: What Differences Does It Make Where I Register My Equipment?

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Introduction

Choosing where to title and register your trucking equipment can make a surprising difference in your bottom line. Each state calculates sales tax, registration fees, and property or excise taxes differently — and the right choice can mean thousands saved annually.

This guide breaks down how the rules differ across Georgia, Indiana, Tennessee, Ohio, and Maine, and what every carrier should know before registering tractors or trailers.

 

Title vs. Registration: What’s the Difference?

Before comparing states, let’s clarify the basics:

  • Titling proves ownership and determines when sales or use tax applies.
  • Registration (especially under the International Registration Plan, or IRP) authorizes a truck or trailer for road use and determines ongoing license and weight-based fees.


If your fleet operates interstate, your base jurisdiction (where equipment is housed and managed) collects apportioned fees under IRP — but tax obligations still depend on the state of title.


State-by-State Breakdown

Georgia

  • Taxes and Title: Georgia applies a Title Ad Valorem Tax (TAVT) on titled vehicles. However, IRP-registered tractors and trailers can be exempt by filing Form T-146 with the Georgia Department of Revenue.
  • Registration: Georgia’s IRP system apportions fees by mileage through the state’s trucking portal.
  • Property Tax: Non-titled trailers under 2,000 lbs remain subject to annual ad valorem tax.


Key Advantage: With proper filing, Georgia fleets can avoid TAVT and ad valorem tax on IRP-plated equipment.


Indiana

  • Sales Tax: Indiana charges a 7% sales or use tax on most vehicle purchases unless exempt.
  • Registration Fees: Indiana collects a Commercial Vehicle Excise Tax (CVET) with IRP renewals, replacing property tax.
  • Property Tax: CVET serves in place of local ad valorem tax on commercial vehicles.


Key Advantage: Predictable, one-time taxes with no annual property assessments — ideal for larger fleets.


Tennessee

  • Sales Tax: For-hire interstate carriers may claim an exemption on qualifying tractors and trailers used primarily in interstate commerce.
  • Registration: IRP accounts are managed by the Tennessee Department of Revenue.
  • Property Tax: Tennessee assesses business tangible personal property tax at the county level for vehicles located in the state.


Key Advantage: Exemptions reduce purchase tax burden, though local property filings still apply.


Ohio

  • Sales Tax: Charged based on the purchaser’s county; however, carriers engaged in transportation for hire may qualify for an exemption.
  • Registration: Ohio participates in IRP; apportioned fees are calculated by weight and mileage.
  • Property Tax: Ohio does not tax registered motor vehicles under personal property laws.


Key Advantage: For-hire carriers may avoid both sales tax and property tax when registered in Ohio.


Maine

  • Trailer Titling: Maine allows non-residents to title and register semitrailers over 3,000 lbs (under 25 years old).
  • Registration: Maine offers multi-year trailer registrations, often through authorized agents — a popular choice nationwide.
  • Sales and Use Tax: Exempt if the trailer enters interstate service within 30 days and is used at least 80% in interstate commerce for the next two years.


Key Advantage: Long-term trailer plates and potential sales tax exemption for interstate carriers.


Common Fleet Combinations

  • Georgia Tractors + Maine Trailers: Avoid Georgia TAVT with Form T-146 and gain Maine’s long-term trailer registration savings.
  • Indiana Base Fleets: Benefit from predictable CVET costs instead of fluctuating property taxes.
  • Tennessee For-Hire Carriers: Claim sales-tax exemption at purchase but plan for county property filings.
  • Ohio For-Hire Fleets: Simple IRP management with potential exemption from both sales and property tax.
  • Maine Trailer Fleets: Popular nationwide for cost efficiency and flexible registration terms.


Conclusion

Where you title and register your equipment can significantly impact your tax exposure and administrative workload.


Georgia and Maine offer popular savings strategies; Indiana and Ohio provide predictable, low-burden structures; and Tennessee delivers a strong exemption for qualifying interstate carriers.


The right combination depends on your operating base, for-hire status, and fleet structure.


Need Help Determining the Best Strategy?


At Transportation Tax Consulting LLC, we specialize in helping carriers structure equipment titling and registration to minimize tax costs while staying compliant.


Contact us today to schedule a fleet tax analysis or learn how to optimize your registration strategy.


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