Gifting a Car in Missouri: Taxes, Fees & Rules (2026)
Gifts with no purchase price owe no sales tax — use a notarized General Affidavit. Family sales for money are taxed normally. The title fee of $17.5 still applies. Verified against official Missouri sources on 2026-07-17.
Gift vs. selling for $1: don't use the $1 trick
The old advice to "sell it for a dollar" usually backfires. A $1 sale is still a sale — in states that tax the higher of price or book value, that means tax on the full book value; in others it simply voids the gift exemption you were entitled to use. The documented gift route (affidavits, the right box on the title) is what actually produces $0 tax where an exemption exists.
What you'll still pay in Missouri
Even a fully exempt gift pays the standard title transfer fee of $17.5. The recipient also takes on normal registration costs going forward. Title and pay tax within 30 days: $25 penalty on day 31, another $25 per additional 30 days, capped at $200.
Good to know
- Itemizes as $8.50 title + $9.00 processing fee (processing rose from $6 in August 2025).
Frequently asked questions
Do you pay taxes on a gifted car in Missouri?
Gifts with no purchase price owe no sales tax — use a notarized General Affidavit. Family sales for money are taxed normally.
Is it better to gift a car or sell it for $1 in Missouri?
Gift it — properly. A $1 "sale" is still a sale in most states and can trigger tax on book value or invite a review, while a documented gift uses the actual exemption. Gifts with no purchase price owe no sales tax — use a notarized General Affidavit. Family sales for money are taxed normally. Follow the gift procedure, not the $1 shortcut.
What does the title transfer cost on a gifted car in Missouri?
The title fee is $17.5 — that's due on gifts too, even when the tax is exempt. Title and pay tax within 30 days: $25 penalty on day 31, another $25 per additional 30 days, capped at $200.
Does the IRS tax a gifted car?
Almost never for normal vehicles — car values fall under the IRS annual gift-tax exclusion for most givers, so no federal gift tax or return is required. The state-level rules above are what actually matter.
Verified against official sources (dor.mo.gov) — last reviewed 2026-07-17. Estimates are informational only.