How To Transfer a Car Title to a Family Member in Arizona in 2026
All title transfers in Arizona, including those between family members, must be completed in accordance with the procedures established under Title 28 of the Arizona Revised Statutes. It is a legal process administered by the Arizona Motor Vehicle Division (MVD), a division of the Arizona Department of Transportation (ADOT). The acquiring owner must apply for a new title within 15 days of the transfer date, as mandated by A.R.S. § 28-2058.
What Does Transferring a Car Title to a Family Member in Arizona Mean?
Transferring a car title to a family member in Arizona means legally reassigning recorded ownership of a motor vehicle from one individual to another through the MVD's official titling process. The certificate of title — maintained electronically through ADOT's vehicle records system — serves as the authoritative legal instrument establishing ownership of a motor vehicle in the state. Until a new title is formally issued in the recipient's name, the original owner remains the holder of record.
The transfer process applies equally to all private-party transactions, regardless of the familial relationship between the parties involved. A transfer may be structured as a gift, with no monetary exchange, or as a private sale at an agreed purchase price. Each structure involves the same core titling procedure: the current owner assigns the title to the new owner, and the new owner submits the required documentation to the MVD or an authorized third-party provider to obtain a new title and registration.
Eligible Family Members for Title Transfers in Arizona
Arizona law does not enumerate a specific, closed list of family relationships that qualify for preferential treatment in connection with vehicle title transfers between living individuals. The MVD processes private-party title transfers between any two individuals — including spouses, parents and children, siblings, grandparents and grandchildren, and other close relatives — under the same general titling procedures applicable to all non-commercial vehicle transfers.
A critical distinction in Arizona is that all casual sales between private parties are exempt from use tax, regardless of the familial relationship or the stated consideration. The Arizona Department of Revenue has confirmed that casual transactions between private individuals do not constitute taxable events for transaction privilege or use tax purposes. Accordingly, a vehicle transferred as a true gift and a vehicle sold at full market value between family members are both treated as non-taxable private-party transfers for Arizona tax purposes.
Common family relationships for which vehicle title transfers are routinely processed include:
- Spouses and domestic partners
- Parents and children (including stepparents and stepchildren)
- Grandparents and grandchildren
- Siblings
- In-laws and extended family members
The standard titling requirements apply to all parties regardless of their relationship. Vehicles subject to an active lien require the lienholder's involvement before or during the transfer process.
How To Transfer a Car Title as a Gift to a Family Member in Arizona
When a family member receives a vehicle with no monetary consideration, the title transfer follows the standard private-party procedure, with "Gift" or "$0" recorded as the purchase price in the transaction documentation.
Step 1 — Confirm the electronic title record and lien status. The transferor should verify the vehicle's title status through their AZ MVD Now account. If a lien is recorded on the title, the lienholder holds the title electronically and must release the lien before or as part of the transfer process.
Step 2 — Assign the title to the recipient. If a paper title exists, the transferor must complete the assignment section on the reverse of the certificate of title. The assignment must include the recipient's full legal name and address, the date of transfer, the odometer reading (if required under A.R.S. § 28-2058), and the transferor's legal signature. In the purchase price field, enter "Gift" or "$0."
If the vehicle has an electronic title, the parties may use the eTitle Transfer process through AZ MVD Now, provided all eligibility requirements are met (see the online transfer section below).
Step 3 — Prepare a Title Transfer Bill of Sale (optional but recommended). For Arizona-titled vehicles, the Title Transfer Bill of Sale (Form 38-1306) may be used in lieu of assigning the back of the paper title, or as a supplementary document. The purchase price should be recorded as "Gift" or "$0." Both parties should sign the form. Retaining a copy provides a clear record of the transaction date and terms.
Step 4 — The transferor removes the license plates and submits a Sold Notice. License plates in Arizona belong to the transferor, not the vehicle. The transferor must remove all license plates before the recipient takes possession. A Sold Notice should be submitted promptly through the AZ MVD Now portal to protect the transferor from liability for the vehicle after the transfer.
Step 5 — The recipient submits the title application. The new owner must apply for a title and registration at an MVD or authorized Third Party office, or — if eligible — complete the transfer through AZ MVD Now. The recipient must present the assigned title or executed Title Transfer Bill of Sale, the completed Title and Registration Application (Form 96-0236), valid identification, and payment for all applicable fees. The application must be submitted within 15 days of the transfer date.
How To Transfer a Car Title as a Sale to a Family Member in Arizona
A vehicle transferred in exchange for an agreed purchase price follows the same procedural framework as any other private-party sale. The distinction lies in the documentation of the agreed consideration, which establishes the terms of the transaction and supports proper odometer and record-keeping compliance.
Step 1 — Complete the title assignment. The seller must assign the certificate of title to the buyer by completing the assignment section on the reverse of the paper title (or by using the Title Transfer Bill of Sale for Arizona-titled vehicles). Required entries include the buyer's full legal name and address, the agreed purchase price, the transfer date, and the odometer reading (for applicable vehicles). The seller's legal signature finalizes the assignment.
Step 2 — Prepare a Bill of Sale. A written bill of sale documents the terms of the transaction and should include the vehicle's year, make, model, and Vehicle Identification Number (VIN); the full names and addresses of both parties; the agreed purchase price; and the date of sale. Both parties should retain signed copies.
Step 3 — Address any existing lien. If a lien is recorded against the vehicle, the lienholder holds the title electronically and must release the lien prior to or concurrent with the transfer. The buyer may be required to present lien-release documentation at the time of the title application.
Step 4 — The seller removes the license plates and submits a Sold Notice. As with all vehicle transfers in Arizona, the seller is responsible for removing license plates before delivery. A Sold Notice must be submitted through AZ MVD Now to document the change of possession and protect the seller from post-sale liability.
Step 5 — The buyer submits the title application. The purchasing family member must visit an MVD or authorized third-party office within 15 days of the sale date and present the assigned title, executed bill of sale, completed Form 96-0236, valid identification, and payment for all applicable fees. Because the transaction constitutes a casual sale between private parties, no Arizona use tax or transaction privilege tax is assessed at the time of registration.
What Documents Are Needed To Transfer a Car Title to a Family Member in Arizona
The following documents are required to complete a vehicle title transfer between family members in Arizona, in accordance with MVD title and registration requirements:
Required for all transfers:
- Certificate of Title or Title Transfer Bill of Sale — The existing title, properly assigned to the new owner on the reverse side; or Form 38-1306 (for Arizona-titled vehicles only), completed with the new owner's name, address, purchase price, transfer date, and the transferor's signature.
- Title and Registration Application (Form 96-0236) — Completed and signed by the new owner. The application must reflect the owner's legal name, legal signature, and a valid Arizona address.
- Valid Government-Issued Photo Identification — Required from the applicant presenting the title application.
- Odometer Disclosure — Mandated for vehicles of 2011 model year or newer that are under 20 model years old and have a gross vehicle weight rating under 16,000 lbs., consistent with the requirements of A.R.S. § 28-2058. The odometer disclosure may be included on the title assignment or the Title Transfer Bill of Sale.
Additional documents required for sale transfers:
- Bill of Sale — Documents the agreed purchase price, vehicle description (year, make, model, VIN), names and addresses of both parties, and the date of transfer. Retaining the bill of sale also establishes the private-party nature of the transaction for tax documentation purposes.
Documents required in specific circumstances:
- Lien Release Documentation — If a lienholder was recorded on the title, written evidence or electronic confirmation of the lien release must be provided before the transfer can be completed.
- Power of Attorney — If a representative is executing the transfer on behalf of an owner who cannot appear in person, a valid power of attorney document must accompany the application.
- Additional supporting documentation — For vehicles with special circumstances, such as name corrections or multi-owner scenarios, additional forms may be required by the MVD.
Note: Arizona does not require title assignments to be notarized for standard private-party transfers between Arizona residents. Electronic title transfers completed through AZ MVD Now are processed using the platform's secure digital authentication protocols.
How To Transfer a Car Title to a Family Member Online in Arizona
Arizona offers a robust online option for qualifying vehicle title transfers through the AZ MVD Now portal administered by ADOT.
eTitle Transfer
The eTitle Transfer service allows both the seller and the buyer to complete the entire transfer of ownership electronically—without visiting an MVD branch or a third-party office—provided that the vehicle and both parties meet all established requirements.
Vehicle eligibility requirements for eTitle Transfer:
- The vehicle must have an Arizona title and a current Arizona registration.
- Only non-commercial passenger vehicles qualify; motorcycles and commercial vehicles are not eligible.
- No more than two current owners are permitted on the title.
- No active lien may be recorded against the vehicle.
- Current emissions certification is required, if applicable to the vehicle's location, or the buyer must reside in a non-emissions area.
- The vehicle must not carry any brands or statuses that prohibit transfer.
Party eligibility requirements:
- Both parties must hold an Arizona driver's license or Arizona identification card.
- Each party must have an active AZ MVD Now account with enhanced authentication completed.
- Only a single buyer may be listed in the eTitle Transfer process; additional owners must be added at an MVD or Third Party office after the transfer is finalized.
- Transactions involving a power of attorney, divorce decree, or other legal instruments must be completed in person.
How the eTitle Transfer process works (single owner to single buyer):
- Both the seller and buyer sign into AZ MVD Now and complete enhanced authentication.
- The buyer generates an eTitle Buyer Code and shares it with the seller.
- The seller selects the vehicle, enters the odometer disclosure, and inputs the eTitle Buyer Code.
- The buyer reviews the vehicle information and confirms continuation of the transfer.
- The seller releases ownership electronically.
- The buyer completes the title and registration process online, pays all applicable fees, and receives an electronic title stored in their AZ MVD Now account.
A Sold Notice is automatically generated for the seller upon completion. Physical registration materials and license plates are mailed to the buyer and typically arrive within 15 days.
Additional Online Services Available Through AZ MVD Now
Beyond the eTitle Transfer, the following title-related services are available through AZ MVD Now:
- Replacement (duplicate) title — The owner of record may apply online for a paper title replacement. The fee is $4.
- Sold Notice submission — Sellers may submit a Sold Notice immediately following any private vehicle transfer.
- Title status tracking — Track the processing status of a submitted title application.
- Lien management — Applications to add, continue, transfer, or release a lien on an Arizona title may be submitted electronically.
Transactions That Require an In-Person Office Visit
Transfers that cannot be completed through eTitle Transfer must be finalized at an MVD or authorized third-party office. These include transfers involving vehicles with active liens, motorcycles, commercial vehicles, transactions where one party lacks an active AZ MVD Now account, and any situation involving a power of attorney or other legal documentation. A current list of office locations and hours is maintained on the MVD locations page.
What's the Cost To Transfer a Car Title to a Family Member in Arizona?
The following fees apply to all standard title transfers in Arizona. Official fee schedules are published by ADOT and the Arizona Department of Revenue. All fees are collected when the title application is processed.
Title and Registration Fees:
| Fee Type | Amount |
|---|---|
| Title fee (transfer of ownership) | $4.00 |
| Title replacement (duplicate) | $4.00 |
| Registration fee (annual base) | $8.00 |
| Air Quality Research Fee | $1.50 |
| Vehicle License Tax (VLT) | See below |
Vehicle License Tax (VLT):
The VLT is assessed annually as part of the vehicle registration process. It is calculated based on an assessed value equal to 60% of the manufacturer's base retail price, reduced by 16.25% for each year since the vehicle was first registered in Arizona. The applicable rate is:
- New vehicles: $2.80 per $100 of assessed value
- Used vehicles: $2.89 per $100 of assessed value
As an illustration, the first-year VLT for a vehicle with a manufacturer's base retail price of $30,000 is approximately $504; for a vehicle priced at $18,000, it is approximately $302.40. The VLT decreases with each subsequent registration year. A detailed breakdown is available in ADOT's registration fee explainer.
Transaction Privilege Tax and Use Tax:
Arizona does not impose use tax or transaction privilege tax on casual sales between private parties. Per guidance published by the Arizona Department of Revenue, private-party vehicle transfers — including those structured as a gift with no monetary consideration — are not subject to state or city use tax at the time of registration. This treatment applies to all family member transfers conducted as private-party transactions.
Note: Use tax does apply to vehicles purchased from an out-of-state dealer and registered in Arizona for the first time. The state use tax rate is 5.6%. That scenario is distinct from a family title transfer between Arizona residents.
Penalty for Late Application:
The new owner must submit the title application within 15 days of the transfer date. Failure to meet this deadline may result in a penalty. Per the fine schedule issued under A.R.S. § 28-2058, the civil traffic penalty for failing to register a transfer of title within 15 days is $164.00.
Contact Information
Arizona Motor Vehicle Division (MVD)
1655 W. Jackson Street, Phoenix, AZ 85007
Phone: (602) 255-0072
Official Website: Arizona MVD
