How to Transfer a Car Title to an LLC in New York
Transferring a personal vehicle to your LLC in New York involves a title change at New York DMV, potential sales/use tax, a new insurance policy, and — if financed — lienholder coordination. Here is exactly what to expect.
Consult a tax professional in New York before transferring a vehicle to your LLC. Tax treatment of personal-to-LLC transfers is complex and varies by LLC structure. This guide provides a general overview — not tax advice.
How to Transfer the Title to Your LLC in New York
New York tax treatment of personal-to-LLC transfers is complex. New York treats a personal-to-LLC transfer as a taxable event. The applicable rate is the county rate where the LLC registers the vehicle. NYC transfers face the full 8.875% combined rate. Consult a New York tax professional before proceeding.
Personal auto loans cannot be assumed by an LLC — the loan must be paid off or refinanced into a commercial loan
New York requires the vehicle to be insured in the LLC's name. Obtain commercial auto or business-use coverage before going to the DMV. New York has strict minimum insurance requirements and will not process the transfer without valid insurance.
Gather: Current New York title (signed by individual); MV-82 (Vehicle Registration/Title Application) — LLC as buyer; DTF-802 (Statement of Transaction) for tax calculation; LLC Articles of Organization or Certificate of Incorporation; New York commercial auto insurance card in LLC name; Valid ID of LLC officer/member signing on behalf of LLC.
The individual owner signs the current title as seller. The LLC is listed as buyer on MV-82 and DTF-802. The LLC's authorized member/manager signs on the LLC's behalf. Present at the DMV with a certificate of incorporation or articles of organization. Pay $50 title fee plus any applicable taxes.
Required Documents in New York
- 1Current New York title (signed by individual)
- 2MV-82 (Vehicle Registration/Title Application) — LLC as buyer
- 3DTF-802 (Statement of Transaction) for tax calculation
- 4LLC Articles of Organization or Certificate of Incorporation
- 5New York commercial auto insurance card in LLC name
- 6Valid ID of LLC officer/member signing on behalf of LLC
New York requires the vehicle to be insured in the LLC's name. Obtain commercial auto or business-use coverage before going to the DMV. New York has strict minimum insurance requirements and will not process the transfer without valid insurance.
New York City's 8.875% combined tax rate makes LLC transfers extremely expensive for NYC residents. A $30,000 vehicle costs $2,662.50 in tax alone. Carefully evaluate whether an LLC provides enough liability protection to justify the transfer cost. For vehicles used for business operations, the tax may be deductible as a business expense — consult a CPA.
New York Car Title to LLC FAQ
How do I transfer a car title to my LLC in New York?
Sign the current title as the individual seller naming your LLC as the buyer. Complete MV-82 (Vehicle Registration/Title Application) — LLC as buyer at New York DMV. The individual owner signs the current title as seller. The LLC is listed as buyer on MV-82 and DTF-802. The LLC's authorized member/manager signs on the LLC's behalf. Present at the DMV with a certificate of incorporation or articles of organization.
Will I owe taxes when transferring my car to an LLC in New York?
New York sales tax (4%–8.875%) typically owed. New York treats a personal-to-LLC transfer as a taxable event. The applicable rate is the county rate where the LLC registers the vehicle. NYC transfers face the full 8.875% combined rate. Consult a New York tax professional before proceeding.
What happens to my car loan if I transfer the title to an LLC in New York?
Personal auto loans cannot be assumed by an LLC — the loan must be paid off or refinanced into a commercial loan
Do I need a new insurance policy when I transfer my car to an LLC in New York?
New York requires the vehicle to be insured in the LLC's name. Obtain commercial auto or business-use coverage before going to the DMV. New York has strict minimum insurance requirements and will not process the transfer without valid insurance.
What documents are needed to transfer a car title to an LLC in New York?
Required: Current New York title (signed by individual); MV-82 (Vehicle Registration/Title Application) — LLC as buyer; DTF-802 (Statement of Transaction) for tax calculation; LLC Articles of Organization or Certificate of Incorporation; New York commercial auto insurance card in LLC name; Valid ID of LLC officer/member signing on behalf of LLC.
How much does it cost to transfer a car title to an LLC in New York?
$50 title fee. Standard New York $50 title fee applies. New York State and county sales tax on the fair market value of the vehicle will also be assessed at the DMV.