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Gifting a Car in Mississippi: What It Really Costs

Mississippi is stricter than most states about "gifts." Give a car to a friend, cousin, aunt, uncle, or in-law and the state doesn't see a gift at all - it's a casual sale, taxed at 5% of whichever is higher, the stated price (even $0) or the vehicle's Department of Revenue assessed value. The only relationships that transfer completely tax-free are spouses, parent and child in either direction, grandparent and grandchild in either direction, and - since a 2019 change - siblings.

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Your numbers

$

Your county tax collector can look this up; it's what non-qualifying gifts are taxed on.

Official fees

Mississippi gift a car fee chart

Spouse / parent-child / grandparent-grandchild / sibling

$0 tax

Affidavit of Relationship required

Friend, cousin, aunt/uncle, in-law

5% of assessed value

unless the vehicle is 10+ model years old

Any vehicle 10+ model years old

$0 tax

casual-sale exemption applies regardless of relationship

Title application fee

$9.00

$39.00 with Fast Track

Ongoing tag fee + privilege tax + ad valorem

Standard rates apply

gifting only waives the sales tax, not the annual tag cost

Figures verified July 2026 against official sources (listed below). Always confirm the final amount with your county tax collector's office (Mississippi Department of Revenue) - counties can add small local fees.

Official Mississippi forms you'll need

  • 78-002Title Application

    Gifted vehicles are titled with the standard Form 78-002 (obtained at the county Tax Collector's office - not posted online) plus the assigned existing title.

Get the current version of each form from your county tax collector's office (Mississippi Department of Revenue) before you file - agencies revise forms, and offices reject outdated ones.

Step by step

How to gift a car in Mississippi

  1. 1

    Confirm the relationship qualifies: spouse, parent/child, grandparent/grandchild, or sibling, and that the vehicle is already titled to the person giving it away.

  2. 2

    Sign the title over to the recipient; both parties complete an Affidavit of Relationship at the county tax collector's office.

  3. 3

    If the relationship doesn't qualify, be ready to show a bona fide bill of sale - the county can still tax the DOR assessed value if it's higher than your stated price.

  4. 4

    Pay the $9 (or $39 Fast Track) title fee, then the standard tag fee, privilege tax, and ad valorem tax to register it in the recipient's name.

  5. 5

    Keep a copy of the signed title and any affidavit - Mississippi does not refund fees or taxes once paid.

Tax-exempt gifts
Spouse/parent-child/grandparent/sibling
Everyone else
5% of assessed value
10+ year old vehicle
Exempt regardless of relation
Title fee
$9 ($39 Fast Track)
Required
Affidavit of Relationship

Overview

There's a second, unrelated escape hatch that applies no matter who you're gifting to: a vehicle 10 model years or older sold or given away by a private, non-dealer owner owes no casual-sale tax at all, family or not. Either way, the recipient still owes the standard $9 title fee (or $39 Fast Track) and, going forward, the normal tag fee, privilege tax, and ad valorem tax to register the car in their own name.

Same state, other costs

More Mississippi vehicle costs

Common questions

Mississippi gift a car FAQ

Who can I gift a car to tax-free in Mississippi?
Your spouse, your parent or child (either direction), your grandparent or grandchild (either direction), or your sibling. The vehicle must already be registered in your name, and the transfer can't run through a licensed dealer's regular business.
What happens if I gift a car to my cousin or best friend?
Mississippi taxes it like any casual sale: 5% of whichever is higher, the price you state (even $0) or the vehicle's DOR-assessed value. There's no reduced 'gift' rate for non-qualifying relationships.
Can I get around the tax by saying I sold it for $1?
No. Mississippi's county tax collectors compare your stated price against the Department of Revenue's assessed value schedule and tax whichever figure is higher, so an artificially low sale price to a non-qualifying recipient doesn't reduce the bill.
Does the 10-year exemption still work for a non-family gift?
Yes - it's independent of relationship. Any vehicle 10 model years or older, given or sold by a private owner not regularly in the vehicle-selling business, owes no casual-sale tax at all, whether the recipient is a sibling or a stranger.
What paperwork proves a qualifying family gift?
An Affidavit of Relationship, completed at the county tax collector's office alongside the signed-over title, documenting the spouse, parent-child, grandparent-grandchild, or sibling relationship between the parties.
Does the recipient still pay anything if the gift is tax-exempt?
Yes - the sales tax exemption only covers the 5% transfer tax. The recipient still pays the $9 (or $39 Fast Track) title fee, and going forward, the standard $12.75 tag fee, $15 privilege tax, and ad valorem tax to keep the car registered.
Can I gift a car that still has a loan on it?
Not until the lien is released - the lender holds the title until the loan is paid off. Once released, the gift transfer proceeds normally through the county tax collector.

Receipts

Official sources

Every number on this page comes from these documents - check them yourself.

Disclaimer

DMVCosts provides fee estimates for general informational purposes only - it is not legal, tax, or financial advice, and no calculator can account for every county surcharge, exemption, or mid-year rate change. Figures are verified against official sources on the date shown, but fees change over time.

The final, binding amount is always the one quoted by your county tax collector's office (Mississippi Department of Revenue). Confirm with them before making payment decisions. To the fullest extent permitted by law, DMVCosts disclaims all liability for decisions made based on these estimates.