The New Jersey Motor Vehicle Commission (MVC) has certain considerations when gifting or inheriting a vehicle. There are financial benefits to consider, including sales tax exemptions.

Gifting a Vehicle

If the vehicle is a gift, the sales price must be noted as “GIFT”. If the information appears to be changed or altered, additional documentation may be required by the Motor Vehicle Commission.

Alternatively, if you decide to sell your car for $1, you would will still have to pay sales tax based on a fair market estimate of the vehicle’s worth.

Inheriting a Vehicle

If your vehicle was acquired by an heir, legatee or trust beneficiary, you are exempt from sales tax.

If the owner dies with a will, and you are a surviving spouse, domestic partner, or civil union partner and the estate does not exceed $50,000, you may transfer the title to yourself by submitting the old title, a copy of the death certificate and a notarized Affidavit (Form BA-62) along with a $60 title fee.

If the owner dies with a will, and you are the surviving are heir, but no surviving spouse, domestic partner or civil union partner and the estate does not exceed $20,000, you may transfer the title to yourself by submitting the old title, a copy of the death certificate and a notarized Affidavit (Form BA-62) along with a $60 title fee.

For more information see the NJMVC website’s Transferring Vehicle Ownership.

What to Do with Gifted or Inherited Vehicles

At We Buy All Cars in NJ, we buy all types of vehicles in any condition – running or not! If you are gifted or inherit a vehicle that you do not need, letting the car or truck sit without use can cause costly maintenance repair bills, unnecessary insurance premiums, and lost value over time. Fill out our FREE quote form to receive a value for your vehicle today!