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

Gifting a car in New York 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 York Tax Vehicle Gifts?

New York exempts qualifying family transfers from sales tax when using DTF-802 (Statement of Transaction).

The exemption applies to immediate family. Extended family and non-family gifts are subject to NY sales tax (4% state + local rates).

Family Members Exempt in New York

Spouse
parent
child
sibling — requires Form DTF-802

Step-parents and step-children may qualify. Grandparent-grandchild transfers require documentation.

Required Forms

DTF-802 (Statement of Transaction — Sale or Gift of Motor Vehicle) plus MV-82 (Vehicle Registration/Title Application)

Submit DTF-802 to the NY Tax Department. MV-82 goes to DMV. Both must be completed for a clean transfer.

How Fair Market Value Is Assessed

NY Tax Department uses Kelley Blue Book or NADA for FMV assessment on taxable transfers.

If you can document the vehicle's condition is below KBB average (accidents, mechanical issues), bring repair estimates to support a lower FMV.

Federal Gift Tax

Federal gift exclusion is $18,000 (2024). Most personal vehicle gifts fall below this threshold. High-value gifts require Form 709.

Penalty for Misrepresentation

Filing a false DTF-802 is a criminal tax offense under NY Tax Law §1817. DMV audits gift transfers.

New York-Specific Facts for Vehicle Gift Tax

New York Vehicle transfer fees and requirements

In New York, the title transfer fee is $50 and registration costs $26 - $140 for 2-year registration based on weight. Vehicle sales are subject to 4% state tax plus local taxes (total 7-8.875% in NYC). New York does not require notarization for private-party vehicle transfers. Emission testing is required in New York — verify the vehicle passes before completing the sale.

Annual safety and emissions inspection required
Sales tax based on county of residence, not purchase location
Bill of sale (MV-912) required for title transfer
Insurance and inspection must be current before registration

Official New York bill of sale form

The official New York bill of sale form is MV-912 (Vehicle Bill of Sale). BillOfSaleNow generates a document that meets all New York requirements and can be used in place of the official form.

New York sales tax on vehicle purchases

New York has a 4% state sales tax rate. 4% state plus county/city taxes (total up to 8.875% in NYC). Private-party vehicle sales in New York are subject to sales tax. Sales tax based on county of residence; applies to private sales. The title transfer fee is $50.

New York bill of sale statistics

BillOfSaleNow has generated 6,134 bill of sale documents for New York transactions, with 165 generated this month alone. The most popular vehicle type is car.

More New York Vehicle Guides

Each guide is written specifically for New York 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 York?

New York exempts qualifying family transfers from sales tax when using DTF-802 (Statement of Transaction). The exemption applies to immediate family. Extended family and non-family gifts are subject to NY sales tax (4% state + local rates).

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

Spouse, parent, child, sibling — requires Form DTF-802. Step-parents and step-children may qualify. Grandparent-grandchild transfers require documentation.

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

DTF-802 (Statement of Transaction — Sale or Gift of Motor Vehicle) plus MV-82 (Vehicle Registration/Title Application). Submit DTF-802 to the NY Tax Department. MV-82 goes to DMV. Both must be completed for a clean transfer.

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