Vehicle Gift Tax in New Hampshire: Who Pays, Who's Exempt, and What Forms You Need

Gifting a car in New Hampshire comes with specific tax rules that vary by relationship and vehicle value. Here is what the recipient owes, which family members qualify for exemptions, and exactly which forms to file.

Does New Hampshire Tax Vehicle Gifts?

Rules vary significantly by state — some states offer full exemptions for family gifts, others charge full sales tax on fair market value.

Always check with your state DMV or tax authority before completing the transfer.

Family Members Exempt in New Hampshire

Varies by state — spouses are commonly exempt; parent-child transfers may or may not be exempt

Contact your state DMV to confirm whether your relationship qualifies for a gift tax exemption.

Required Forms

Most states require a title transfer form plus a gift affidavit or statement of transaction

Your state DMV will provide the correct forms. Some states require notarization of the gift affidavit.

How Fair Market Value Is Assessed

Most states use NADA or Kelley Blue Book retail value as the baseline fair market value for tax assessment.

If the vehicle has significant damage or high mileage, a professional appraisal can support a lower FMV.

Federal Gift Tax

The federal annual gift exclusion is $18,000 (2024). Gifts above this amount require IRS Form 709. Most vehicle gifts fall under this threshold.

Penalty for Misrepresentation

Misrepresenting a sale as a gift to avoid taxes is tax fraud in all states. Penalties include back taxes, interest, and potential criminal charges.

New Hampshire-Specific Facts for Vehicle Gift Tax

New Hampshire Vehicle transfer fees and requirements

In New Hampshire, the title transfer fee is $25 and registration costs Based on vehicle weight; $31.20 - $103.20. Vehicle sales are subject to No sales tax; local municipal permit fees apply. New Hampshire does not require notarization for private-party vehicle transfers. Emission testing is required in New Hampshire — verify the vehicle passes before completing the sale.

No state sales tax on vehicle purchases
Annual safety and OBD emissions inspection required
Registration done at town or city clerk
Municipal permit fee based on vehicle value

New Hampshire sales tax on vehicle purchases

New Hampshire has a 0% state sales tax rate. No sales tax; municipal vehicle registration permit fees apply. Private-party vehicle sales in New Hampshire may be exempt from state sales tax. New Hampshire has no state sales tax; local permit fees vary. The title transfer fee is $25.

New Hampshire bill of sale statistics

BillOfSaleNow has generated 342 bill of sale documents for New Hampshire transactions, with 9 generated this month alone. The most popular vehicle type is car.

More New Hampshire Vehicle Guides

Each guide is written specifically for New Hampshire laws, agencies, and procedures. Bookmark for future reference.

Frequently Asked Questions

Do I owe sales tax when I gift a car to a family member in New Hampshire?

Rules vary significantly by state — some states offer full exemptions for family gifts, others charge full sales tax on fair market value. Always check with your state DMV or tax authority before completing the transfer.

Which family members are tax-exempt for vehicle gifts in New Hampshire?

Varies by state — spouses are commonly exempt; parent-child transfers may or may not be exempt. Contact your state DMV to confirm whether your relationship qualifies for a gift tax exemption.

What forms do I need to gift a car in New Hampshire?

Most states require a title transfer form plus a gift affidavit or statement of transaction. Your state DMV will provide the correct forms. Some states require notarization of the gift affidavit.

Does federal gift tax apply to vehicle gifts in New Hampshire?