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How to Transfer a Title After Gifting a Car in College Park, MD

Holding Car Keys College Park, MD
College Park, MD, is a family community, so generosity is a fixture of the region. If you're thinking about going big and gifting a car to a family member, keep these valuable tips in mind.

Qualifications

By Maryland statutes, vehicle gifts to families typically apply to the most immediate family members. Parents can gift cars to their children, and children can gift vehicles to their parents. In the case of children, the gift-giving can also extend to in-laws (a son-in-law or daughter-in-law). Step relationships and relationships made through adoption also are included. Spouses can gift vehicles to each other, too, as can siblings and grandparents, and grandchildren. Aunts and uncles may potentially gift a car as well, provided they are at least 65 years old. In all of the above cases, the gift-giver cannot receive compensation in any form or the transfer will not be considered a gift. In addition, the vehicle must not have any outstanding tickets or violations associated with it.

Proof of Relationship

All involved parties will need to establish that they are related. If the last names of the gift-giver and giftee are the same, this situation is usually enough proof. If the last names are different, however, the documented proof is required. Official documents might include a marriage certificate or a birth certificate. If both the parties prove they are either spouses or parent and child, the tags of the auto can be transferred. For all other applicable family relationships, a new license plate will need to be purchased.

Other Documentation

Formal filing and transfer of ownership will take place at the Maryland Motor Vehicle Administration (MVA). The MVA might ask for the following documents during this process: driver's license, car insurance information, auto's mileage (or odometer disclosure), security interest filing, lien release statement (if applicable), registration card (for tag transfers), and safety inspection certificate. Two additional documents are crucial to the transfer. For one, the car's current title will need to be provided, and this document is essentially a certificate of ownership for the auto. Further, the gift-giver should sign and submit a gift certification form, which can be obtained from the MVA. If an aunt or uncle is gifting the vehicle, he or she should enclose a Certified Statement form with the gift certification.

Taxation and Fees

In most cases, a gift to a qualified family member will not be subject to taxes. If the vehicle has a Maryland title, it will not be taxed. A car that has been out-of-state but still has a title history in Maryland will also not fall under taxation guidelines. If the vehicle has always been titled outside of Maryland, or if the family relationship does not fall into the aforementioned categories, the giftee will probably pay an excise tax. In Maryland, this tax constitutes six percent of what the vehicle is worth. The new owner will still have to pay the title fee and the registration fee for the car in any case. Are you planning to give the gift of a new car in College Park, MD, soon? If so, be sure to get to know the Nissan lineup today! Our dealership guarantees to have the perfect vehicle for your loved one and our sales team is here to help you find it!
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