How to Gift a Car in Texas
Last verified: October 2026 against TxDMV and Texas Comptroller sources
Texas taxes a gift between close family members only $10, instead of the 6.25% motor vehicle tax, when both sides sign a gift affidavit.
Here is who qualifies and how to transfer the title.
Step by step
- 1
Check that the giver qualifies
The $10 gift tax applies when the car comes from a spouse (separate property only), parent or stepparent, child or stepchild, sibling or sibling-in-law, parent-in-law or child-in-law, grandparent or grandchild (including in-laws and great-grand relationships), or guardian.
Aunts, uncles, nieces, nephews, and cousins do not qualify.
- 2
Make sure nothing is given in return
A gift has no payment of any kind. If the recipient takes over a loan, the payoff amount is taxable as a sale.
- 3
Sign the Affidavit of Motor Vehicle Gift Transfer (Form 14-317)
The giver and the recipient sign one joint, notarized affidavit. The county tax office can witness a signature instead of a notary if the person signs in front of staff.
- 4
Complete the title and Form 130-U
The giver signs the title over with the odometer reading, and you complete the Application for Texas Title and/or Registration (Form 130-U).
- 5
Title it within 30 days
Take the title, Form 130-U, and Form 14-317 to your county tax assessor-collector within 30 days. You pay the $10 gift tax, the title fee ($33 or $28 by county), and registration fees.
When a family transfer is taxed
- The giver is not on the list (for example, an aunt, uncle, niece, nephew, or cousin): the transfer is treated as a sale and the 6.25% motor vehicle tax applies, possibly on Standard Presumptive Value.
- Money changes hands: a sale between family members is taxed like any private sale.
- The recipient takes over a loan: the loan payoff (plus anything else paid) is taxable.
What to bring
- The title, signed over by the giver with the odometer reading
- Affidavit of Motor Vehicle Gift Transfer (Form 14-317), signed by both and notarized
- Form 130-U, Application for Texas Title and/or Registration
- Proof of liability insurance
- Payment for the $10 gift tax, title fee, and registration fees