Official fees
Maryland gift a car fee chart
Excise tax, VR-103 qualifying gift
$0
Title fee (still due on any gift)
$200
Safety inspection, spouse or parent-child gift
$0
specifically exempt
Safety inspection, sibling/grandparent/aunt-uncle gift
$75–$150
tax-exempt but not inspection-exempt
Non-qualifying 'gift' (friend, cousin, in-law)
6.5% of book value
no sale price to substitute, so book value applies
Figures verified July 2026 against official sources (listed below). Always confirm the final amount with the Maryland MVA - counties can add small local fees.
Official Maryland forms you'll need
- VR-103Application for Maryland Gift Certification
VR-103 Gift Certification is required for gift transfers between eligible immediate family members; the vehicle must already be titled in Maryland.
- VR-005Application for Certificate of Title
still required - a gifted vehicle transfers title the same way as a sale
Get the current version of each form from the Maryland MVA before you file - agencies revise forms, and offices reject outdated ones.
Step by step
How to gift a car in Maryland
- 1
Confirm the relationship is on Maryland's list: spouse, parent/child, grandparent/grandchild, sibling, or aunt/uncle-niece/nephew.
- 2
Complete Form VR-103, Application for Maryland Gift Certification, with both parties' information and proof of the relationship if last names differ.
- 3
If the gift isn't between spouses or a parent and child, get the vehicle safety-inspected - the certificate lasts 90 days.
- 4
Sign the title over to the recipient and submit it with VR-103 and the Application for Certificate of Title (VR-005).
- 5
Pay the $200 title fee at an MVA branch or tag & title service; no excise tax is due if VR-103 is accepted.
- Excise tax
- $0 (VR-103, eligible family)
- Title fee
- $200 (still due)
- Eligible
- Spouse, parent/child, grandparent, sibling, aunt/uncle/niece/nephew
- Inspection waived
- Only spouse & parent-child
- Friends/cousins/in-laws
- Taxed on book value
Overview
What the tax exemption doesn't buy you is a pass on the safety inspection. Maryland only waives the inspection for spouse-to-spouse and parent-child gifts specifically - a sibling, grandparent, or aunt/uncle gift is excise-tax-free under VR-103 but still needs a passing inspection before the MVA will issue a new title, typically $75–$150 at a licensed station. The $200 title fee applies regardless of who's involved.
Same state, other costs
More Maryland vehicle costs
Common questions
Maryland gift a car FAQ
- Who qualifies as family for Maryland's gift tax exemption?
- Spouses, parents and children (including step and adopted), grandparents and grandchildren, siblings, and aunts/uncles gifting to nieces/nephews (or vice versa). Boyfriends, girlfriends, in-laws, cousins, and unmarried partners do not qualify - those transfers are taxed like a sale.
- If the excise tax is exempt, is the whole gift free?
- No - the $200 title fee is due regardless of who's involved, and unless the gift is specifically between spouses or a parent and child, the vehicle still needs a passing safety inspection (typically $75–$150) before the MVA issues the new title.
- Why does my sister's gift skip the tax but not the inspection?
- Maryland runs two separate exemption lists. VR-103's tax exemption covers a wide family circle - spouses, parents/children, grandparents, siblings, aunts/uncles/nieces/nephews. The safety-inspection exemption under COMAR 11.14.01.14 is much narrower: only spouse-to-spouse and parent-child transfers. A sibling gift is tax-free but inspection-required.
- Can I gift a car to my cousin tax-free?
- No - cousins aren't on Maryland's VR-103 list. Since there's no arm's-length sale price for a gift, the MVA taxes it at 6.5% of the vehicle's NADA book value, the same treatment as any transfer with no documented purchase price.
- Does the recipient need to prove the relationship?
- If the giver and recipient don't share a last name, VR-103 requires supporting documentation - a marriage certificate, birth certificate, or similar proof - before the MVA will accept the exemption.
- Can I gift a car that still has a loan on it?
- Only after the lien is released. The lender holds the title until the loan is paid off; once you have a clean, lien-free title, VR-103 and the standard gift process apply. If the recipient is taking over the loan instead, that's a refinance in their name, not a gift.
- Do gifted cars still need to be registered separately?
- Yes - the title transfer and the registration are two different steps. After the gift is titled, the recipient pays the normal two-year registration fee for the vehicle's weight class, same as any other transfer.
Receipts
Official sources
Every number on this page comes from these documents - check them yourself.
