Transferring ownership is slightly different depending on whether you’re selling, gifting, or donating a car. Regardless of the type of transfer, there are several documents you have to complete to transfer vehicle ownership. We’d like to tell you more about how you transfer a vehicle in Silver Spring, MD.
Selling a Car
The documents you need to sell a car are determined by the Maryland Motor Vehicle Administration (MMVA). If you’re selling a car, you’ll need your certificate of title and a bill of sale. In addition, if your car was subject to a lien, you’ll need to complete a lien release form. You’ll also need an odometer statement. The certificate of title is the most important document for your car as it proves car ownership.
To complete the transfer, you’ll fill in and sign the certificate as the seller, and the other party will complete and sign the form as the buyer. Once this form is complete, it needs to be sent to the MMVA together with the other documentation. The MMVA will update its systems and issue an updated certificate of title to the new owner.
Gifting a Car
Gifting a car involves transferring ownership of your car to a family member or friend. The procedure is very similar. You’ll need the same forms used for selling a car. The difference is you need to fill in “Gift” under the purchase price. The MMVA has strict requirements for defining who is a family member.
A close family member can receive your car as a gift and not be liable for the 6% excise tax. It’s advisable to go to the local MMVA office with your family member and the completed documentation. This should allow for a smoother and quicker transfer of ownership.
Donating a Car
Donating a car is almost identical to gifting a car, except you’re transferring ownership to a charity. When you choose a charity, it’s important to check that they can receive a car as a donation. If they can, the next step is to check that the charity is registered with the IRS as a 501 (3) (c) institution. Your chosen charity will send a representative to complete the paperwork with you.
You’ll complete the form as the seller, and the charity representative will complete the form as the buyer. In the purchase price section, you’ll write “Donation”. If your chosen charity is registered, you should be able to claim the value of your car as a donation with the IRS.
If you’d like to know more about these processes or to choose a replacement from our wide selection of cars, begin browsing our inventory now or click here for more helpful automotive tips & tricks today!
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