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Vehicle Title Transfer to Daughter-Gift or Sell #14369839 05/17/22 12:40 PM
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TR22johnson Offline OP
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My daughter who has been driving a jeep that we bought when she was 16(titled in my name) and is now 24 and now out of college is time for her to get her own insurance policy. I have also decided to "give" her the jeep and to get the title out of my name and into hers. Would it be better/easier to do as a gift or sell for a minimum value to transfer? Is there any tax implications either way?

Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14369847 05/17/22 12:52 PM
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kennerdude Offline
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I don’t know about easier/ better but we’ve gifted two vehicles to 2 different people without any issues. The receivers went to their county to transfer the vehicle in their name. Instead of a bill of sale, we just did a simple-short gift letter.


NIL CARBORUNDUM
Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: kennerdude] #14369893 05/17/22 01:31 PM
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LoneStarSon Offline
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Originally Posted by kennerdude
I don’t know about easier/ better but we’ve gifted two vehicles to 2 different people without any issues. The receivers went to their county to transfer the vehicle in their name. Instead of a bill of sale, we just did a simple-short gift letter.

Yeah, just gift it.

Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14369899 05/17/22 01:34 PM
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fishmagnet Offline
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My MIL just 'gifted' us her Toyota Avalon due to her age and non-correctable poor eyesight.
It was an easy process provided you fill out the correct form, gather signatures, and obtain a notary.
Take it all to your local DMV office with a current inspection receipt, write a check for next year's registration and you're done!


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Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14369908 05/17/22 01:38 PM
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Indianation65 Offline
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I just did this a few months ago.

My senior dad gifted me his car.

There are about 3 items/pages needed to be filled out.
You'll need a notary.
Your daughter will go to the tax office and pay the gift fee of $10 or $15, I forgot.
She also get new plates.

She can simply call the tax office, get a rep on the phone, and that person will describe the exact pages/forms needed.

...!

Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14369949 05/17/22 02:08 PM
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PondFish Offline
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The great thing is you can do most of it on-line.

Tx DMV site. Complete and print off the Affidavit of Motor Vehicle Gift Transfer. Don't sign it until you are in front of a Notary.

Complete and print off the Application for Texas Title. Your daughter will be the 'Buyer/Applicant/Owner' and you will be the 'Seller'.

Sign the actual Title over to her, Notary not needed for that..

She goes to the tax office.

Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14369991 05/17/22 02:54 PM
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thrashfish Offline
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What they said, gift it.

Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14370010 05/17/22 03:13 PM
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TR22johnson Offline OP
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Great-Thank you

Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14370014 05/17/22 03:17 PM
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Uncle Zeek Offline
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Gifting the vehicle to a specified family member (parent to child or such) only has the registration fees plus a small gift tax. Transferring it for any nominal dollar amount will result in sales tax based on the DMV opinion of value (comparable to blue book value).

Last edited by Uncle Zeek; 05/17/22 03:17 PM.

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Re: Vehicle Title Transfer to Daughter-Gift or Sell [Re: TR22johnson] #14370047 05/17/22 03:32 PM
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moss2940 Offline
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FWIW, if the state minimum value is more than $16k make sure you understand and follow the IRS rules on gifts above that amount.
Here is an article that helps explain it.
https://www.nerdwallet.com/article/taxes/gift-tax-rate

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