Vehicle Taxes

All title transfers and exemption claims on motor vehicles and other equipment is regularly audited by the Ohio Department of Taxation in accordance with Ohio Revised Code (RC) 4505.09(B)(2)(c) and 5739.13 to verify if the sales tax liability has been satisfied.

Key Resources

Did you receive a letter from us?  - This link will provide information and interactive notices on the different types of letters that are sent.

Downloads and Electronic Forms  – Forms, questionnaires, and additional resources can be found on this page.

Casual Sales – These sales are defined as the transfer of a motor vehicle title between two individuals who are not affiliated with a licensed dealership. Learn about cash sales, trades, bartering and loan assumptions here.

Exemptions & Taxability – Ohio law allows certain vehicle transactions to be made without paying sales tax. Find out more here.

Leasing & Dealer Transactions – This link is for licensed dealerships to obtain more information on the application of sales tax to their transactions including leases.

Aircraft – The sale of an aircraft may be subject to sales tax. This page will provide additional resources regarding the taxability of aircraft.

Watercraft & Outboard Motors – The transfer of a watercraft or outboard motor is generally taxed in the same manner as motor vehicles. Get the information you need here.

Snowmobiles - With some exceptions, snowmobiles are to be registered and are subject to sales tax.

 

Frequently Asked Questions Tool

The Ohio Department of Taxation has compiled a list of frequently asked questions covering many different categories.

To view the questions, click on the "Select Category" bar and then click on the category in which you are interested.  A list of questions will appear pertaining to that category. Then, click on the question in which you are inquiring and the answer will appear.

Can a dealer donate an item (motor vehicle, watercraft and/or outboard motor) to a nonprofit, charitable organization and avoid payment of tax?

Effective Sept. 21, 2006, pursuant to R.C. 5741.02(C)(9), a dealer that donates a motor vehicle, watercraft, or outboard motor to a nonprofit, charitable organization is not required to pay tax.  However, if a dealer transfers a vehicle for no consideration to a consumer not exempt under that provision, the dealer must pay use tax on the value of the vehicle. The tax base is the price paid by the dealer for the vehicle at the time of acquisition. If the dealer accepted the vehicle in trade, the amount the dealer allowed as a trade-in is the tax base.

For more information, please see the Information Release titled Motor Vehicles - Dealer Transfers for No Consideration, and Sales or Gifts to Nonprofit Organizations.

Can a dealer donate an item (motor vehicle, watercraft and/or outboard motor) to a nonprofit, charitable organization and avoid payment of tax?

Effective Sept. 21, 2006, pursuant to R.C. 5741.02(C)(9), a dealer that donates a motor vehicle, watercraft, or outboard motor to a nonprofit, charitable organization is not required to pay tax.  However, if a dealer transfers a vehicle for no consideration to a consumer not exempt under that provision, the dealer must pay use tax on the value of the vehicle. The tax base is the price paid by the dealer for the vehicle at the time of acquisition. If the dealer accepted the vehicle in trade, the amount the dealer allowed as a trade-in is the tax base.

For more information, please see the Information Release titled Motor Vehicles - Dealer Transfers for No Consideration, and Sales or Gifts to Nonprofit Organizations.

Can a dealer donate an item (motor vehicle, watercraft and/or outboard motor) to a nonprofit, charitable organization and avoid payment of tax?

Effective Sept. 21, 2006, pursuant to R.C. 5741.02(C)(9), a dealer that donates a motor vehicle, watercraft, or outboard motor to a nonprofit, charitable organization is not required to pay tax.  However, if a dealer transfers a vehicle for no consideration to a consumer not exempt under that provision, the dealer must pay use tax on the value of the vehicle. The tax base is the price paid by the dealer for the vehicle at the time of acquisition. If the dealer accepted the vehicle in trade, the amount the dealer allowed as a trade-in is the tax base.

For more information, please see the Information Release titled Motor Vehicles - Dealer Transfers for No Consideration, and Sales or Gifts to Nonprofit Organizations.