Frequently Asked Questions

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 you are interested in.  A list of questions will appear pertaining to that category. Then click on the question you are inquiring about and the answer will appear.

Can you provide some examples of "consideration" other than money that is given in exchange for a certificate of title?

The following list is not an all-inclusive listing:

(A) An item of tangible personal property; such as another vehicle, a boat, a horse, etc., given in exchange. In each case, a value has to be established for the item being exchanged and it should be the fair market value of the item that is traded. Where there is an even trade of motor vehicles between two individuals with no money involved, each individual would pay tax due based on the value of the motor vehicle, which is transferred to the other.

(B) A piece of real estate, such as a lot, that is given in exchange. In this instance, a value has to be established for the real property, which was given towards the acquisition of the motor vehicle.

(C) An item of tangible personal property, such as shares of corporate stock, whether transferred to or from a corporation in exchange for a motor vehicle. An example would be the transfer of a motor vehicle from an individual to a corporation of which the individual is sole owner or a stockholder constitutes a sale and the fair market value of the stock or other consideration given in exchange would be the tax base. Where there is no established market value for the stock or other securities so exchanged, it will be presumed that they are equivalent to the fair market value of the vehicle or the value as listed under corporate assets in which case this would be used as the tax base.

(D) Cancellation of an existing debt owed to the purchaser or new titleholder.

(E) The transfer of a motor vehicle resulting from the assumption, by the transferee (new titleholder), of a mortgage through a “transfer of equity or interest agreement” wherein the transferor (previous titleholder) is relieved of its original principal liability and becomes a guarantor is a transfer for a consideration and subject to the tax. The tax base would be the total amount of the mortgage assumed plus any other consideration given.

(F) The transfer of a motor vehicle as the result of the transferee (new titleholder) paying off the mortgage in the name of the transferor (previous titleholder) is a transfer for a consideration. The tax base would be the amount of the pay off plus any other consideration given either in trade or money.