Overview
Gifting a car sidesteps the tax two different ways depending on who's involved: an immediate-family transfer (spouse, parent, child, sibling - including step and adopted relations) filed on Form MVU-26 pays zero tax and no fee at all, while a gift to anyone else filed on Form MVU-24 skips the 6.25% tax but still owes a flat $25 transfer fee. Pick your scenario below.
01 - Official fees
Massachusetts car sales tax fees at a glance
| Fee | Amount | Notes |
|---|---|---|
| Standard rate | 6.25% | dealer and private sales statewide |
| Dealer sale base | price − trade-in allowance | |
| Private sale base | max(price, NADA clean trade-in value) | |
| Family gift (spouse/parent/child/sibling) | $0 | Form MVU-26 |
| Gift to anyone else | $25 flat fee | Form MVU-24, no sales tax |
| Late filing penalty | 1%/month | capped at 25% of tax owed, plus interest |
Figures verified June 2026 against official sources (listed below). Always confirm the final amount with the Massachusetts RMV - counties can add small local fees.
03 - Same state, other costs
More Massachusetts vehicle costs
04 - Common questions
Massachusetts car sales tax FAQ
Why is my private-sale tax bill higher than 6.25% of what I paid?
The RMV taxes the higher of your stated price or the vehicle's NADA 'clean trade-in' book value, adjusted only for mileage - never for dents, needed repairs, or actual condition. If you underpaid relative to book value, expect the tax bill to reflect book value, not your receipt.
Can I dispute the book-value tax if my car was genuinely rough?
Massachusetts law doesn't allow a condition-based adjustment the way some states allow an appraisal override - mechanical and structural issues don't move the taxable value. Your only real lever is documenting a legitimate, arm's-length price with a proper bill of sale; even then, the RMV can still default to book value.
Who qualifies for the $0-tax, $0-fee family gift (MVU-26)?
Spouse, parent, child, or sibling - including step-parents, step-children, step-siblings, and adopted family members. Grandparents, grandchildren, aunts, uncles, cousins, and in-laws don't qualify for MVU-26; they'd use the MVU-24 gift form instead and pay the $25 fee.
What's the difference between MVU-24 and MVU-26?
MVU-24 covers a gift between any two people, exempting the 6.25% tax but requiring a non-refundable $25 gift transfer fee. MVU-26 is narrower - immediate family only - but eliminates both the tax and the $25 fee entirely.
Does a trade-in reduce tax on a private-party sale?
No. The trade-in deduction in Massachusetts only applies when a registered Massachusetts dealer takes your old vehicle in on a new purchase. Two private individuals swapping vehicles each owe tax on their own vehicle's higher-of-price-or-book value.
When is the sales tax actually due?
Within 10 days of the purchase, paid at the RMV when you title and register the vehicle. If you're not registering it in Massachusetts (for example a vehicle staying out of state), Form ST-7R and payment are due to DOR by the 20th of the following month instead.
05 - Receipts
Official sources
Every number on this page comes from these documents - check them yourself.