
Yes, you can absolutely gift a car to someone in Florida, but it requires following specific steps to transfer the title correctly and avoid future tax and legal issues. The most critical step is correctly completing the title to reflect the transaction as a gift, which exempts the recipient from paying the state's initial sales tax on the vehicle's value. The process hinges on the title itself. As the seller (giver), you must sign the title over to the recipient. In the section where the sale price is typically listed, you must write "GIFT" or "$0" to clearly indicate no money was exchanged. Both parties must also complete and sign the Application for Certificate of Title with/without Registration (HSMV form 82040), which includes a dedicated section for a gift transfer. The recipient will need to provide proof of Florida insurance and a valid ID. While the sales tax is waived, the recipient is still responsible for standard title and registration fees. It’s also wise to protect yourself by filing a Notice of Sale with the Florida Department of Highway Safety and Motor Vehicles (FLHSMV) after the transfer. This electronically notifies the state that you are no longer the owner, shielding you from liability for parking tickets or violations associated with the car after the gift date. | Fee Type | Typical Cost (Approximate) | Notes | | :--- | :--- | :--- | | Initial Title Fee | $75.25 | For a standard electronic title. | | Registration Fee | $27.60 - $46.10 | Varies by vehicle weight. | | License Plate Fee | $28.00 | For a new plate. | | Local County Fees | ~$10 - $50 | Varies by county of residence. | | Initial Registration Fee | $225.00 | For a new vehicle; may be prorated for used. | | Notice of Sale Filing | $2.50 - $5.00 | Optional but highly recommended for the giver. | | Lien Filing Fee (if applicable) | $2.00 | If a lien is being recorded on the new title. |

Just went through this with my daughter. The key is writing "GIFT" in the price box on the title. Don't leave it blank. That's what saves them from a big tax bill. Head to the DMV together with the signed title, the filled-out form, and her insurance info. It's a bit of a wait, but it's straightforward. Do the online notice of sale the second you get home—it gives you peace of mind.

The legality isn't the issue; the paperwork is. The state needs a clear, unambiguous paper trail showing the transfer was a gift with no monetary exchange. Any mistake, like writing a nominal amount like "$1," can be misinterpreted, triggering a tax liability for your friend or family member. Accuracy on the HSMV 82040 form and the title itself is what makes the process smooth and tax-free for the recipient.

I see it as two parts: the gift and the cleanup. The gift is the happy part—handing over the keys. The cleanup is your responsibility. Once that title is signed over, you're no longer the legal owner. Filing that Notice of Sale is like closing the book. It severs your tie to the vehicle officially with the state, so you're not on the hook for anything that happens to it afterward. It’s the final, responsible step.

Beyond the immediate paperwork, consider the broader financial picture. While the recipient avoids sales tax, they assume all ongoing costs like insurance, which can be significant for a young driver. For the giver, if the car is worth more than the annual gift tax exclusion ($18,000 in 2024), you may need to file a gift tax return, though you likely won't owe taxes unless you've exceeded your lifetime exemption. It’s a generous act, but being aware of these implications ensures there are no surprises for either party.


