During divorce proceedings, many couples will need to transfer vehicle titles as part of the final settlement of assets. It is important to know that when a court grants ownership of a vehicle from one person to another, sales tax is not due.
In marriage dissolution, a transfer of title is not taxable if the transfer is part of the property settlement or divorce decree. A certificate setting forth the facts and signed under penalty of perjury must accompany the application for title transfer or application for transfer of license or registration. Not only does this waive any sales tax but this also saves the transferee the initial $225 registration fee.
To learn more about the transfer of ownership by operation of law as outlined in Florida Statute 319.28, click here.