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Michigan Guide

How to Gift a Car in Michigan

Last verified: October 2026 against Michigan Secretary of State sources

Michigan does not charge its 6% tax when the new owner is a close relative of the previous owner. Other relatives, such as cousins, aunts, and uncles, still pay it.

Here is how to transfer a car within the family.

Step by step

  1. 1

    Check that the relationship qualifies

    The exemption applies when the new owner is the previous owner’s spouse, parent, child, brother or sister (including half-siblings), grandparent, grandchild, stepparent, stepchild, stepbrother or stepsister, father-, mother-, brother-, sister-, son-, or daughter-in-law, legal ward, or legal guardian.

  2. 2

    Keep proof of the relationship

    The Michigan Department of Treasury makes the final decision and may ask you to document the relationship. An unsupported claim can bring penalties of up to 175% of the tax.

  3. 3

    Complete the title

    The previous owner completes and signs their portion of the title, with the odometer reading.

  4. 4

    Get Michigan No-Fault insurance

    You need proof of a Michigan No-Fault policy to register the vehicle.

  5. 5

    Transfer within 15 days

    Transfer the title at a Secretary of State office within 15 days. The $15 title fee and registration still apply.

Relatives who are not exempt

  • Cousins
  • Aunts and uncles
  • Nieces and nephews
  • Step-grandparents and great-grandchildren

What to bring

  • The title, signed by the previous owner, with the odometer reading
  • Documents showing the family relationship, in case Treasury asks
  • Proof of Michigan No-Fault insurance
  • Your driver’s license or ID
  • Payment for the $15 title fee and registration

Estimate your Michigan costs

For an exempt family transfer, enter $0 as the price. The calculator then shows the title and registration costs.

Open the full Michigan calculator

Vehicle & Transaction Details

Enter purchase information to calculate true out-of-pocket costs in Michigan.

51 Jurisdictions Active
Michigan 6% tax base
$
7 years old
Sets the registration fee
$

Michigan bases registration on the price when new, reduced as the vehicle ages. Blank uses $30,000.

Michigan tag options
1-Year Term (Michigan registers for one year)
EV surcharge rules
Lien fee: $0.00
Michigan: Non-Deductible
$

Michigan Notice: Michigan taxes the full agreed vehicle price. Trade-ins do not reduce the tax base on private-party sales.

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Estimated taxes & fees

Estimated taxes & fees

Jurisdiction

Michigan

Estimated taxes & fees
$1,044.76

Sales/Excise Tax + Title Certificate + Tags & Registration

Itemized Line ItemEstimated Fee
1Vehicle Sales / Excise Tax (6%)

Calculated at 6% on taxable base of $15,000

$900.00
2Certificate of Title Fee

Standard state title certificate issuance

$15.00
3Lien / Security Filing Fee

Unfinanced / cash purchase (waived $0.00)

$0.00
4Registration & Tag Fee

Base license plates & tags for a $30,000.00 list price

$129.76

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Michigan rates last verified: October 2026
Official Notice & Statutory Disclaimers

Estimates only, not tax or legal advice. Verify with the Michigan Secretary of State or the Michigan Department of Treasury.

Michigan charges 6% on the full purchase price or fair market value, whichever is greater. The estimate uses the price you enter.

Registration shown is the statutory registration tax for the list price entered (MCL 257.801), assuming the vehicle was first registered in its model year. Plate, plate transfer ($10 to $15), and processing fees are added at the office.

Electric vehicles pay $267 a year more and plug-in hybrids $113.

The seller keeps the plate. You transfer a plate you own or buy a new one.

County & Local Tax Note: Michigan’s 6% tax applies statewide, on the full purchase price or the vehicle’s fair market value, whichever is greater. The Secretary of State collects it when you transfer the title.

Frequently Asked Questions

Common questions about this Michigan Secretary of State process.

Transfers to a spouse, parent, child, sibling or half-sibling, grandparent, grandchild, step-relative, most in-laws, legal ward, or legal guardian of the previous owner.

Sources

Last verified: October 2026. Rules change, so check with Michigan Secretary of State before you go.

More Michigan guides

How to Title a Private Car Sale in MichiganThe signed title, 15-day deadline, 6% tax, and plates.Titling a Car in Michigan After Moving From Another StateNo grace period, No-Fault insurance, and your out-of-state title.
Michigan Private Party Car Tax Calculator