To gift a car in Idaho, the donor signs over the title with the price listed as “gift” or “$0,” both parties complete Form ST-133GT to claim the sales tax exemption, the recipient registers the vehicle at a county assessor’s motor vehicle office within 30 days, and the donor files a Release of Liability within five days. Skip any of these steps and you risk owing use tax on the vehicle’s full value, a $20 late-filing penalty, or continued legal exposure for a car you no longer own.
Sign the Title Over
The donor signs the “Assignment of Title” section on the back of the Idaho title, and the recipient signs the buyer section. In the purchase price field, write “gift” or “$0.” Idaho does not require notarization for a standard title assignment. Listing a false selling price is a felony under Idaho law, so don’t write a nominal amount to make the paperwork look tidier.1Idaho Transportation Department. ITD 3738 – Bill of Sale
If the title has been lost, the owner has to apply for a duplicate first using Form ITD 3367, and that application must be notarized or witnessed by a county assessor or deputy assessor before it will be processed.2Idaho Transportation Department. Duplicate Idaho Title Application
A Bill of Sale (Form ITD 3738) showing $0 isn’t strictly required when the title is properly signed, but it creates a paper trail if the transfer is ever questioned. The Idaho Transportation Department notes that a Bill of Sale is mainly needed when a properly released title cannot be obtained.3Idaho Transportation Department. Vehicle Titles
Odometer Reading
Federal law requires an odometer disclosure on most title transfers. For any vehicle from model year 2011 or newer, the reading has to be recorded on the title at transfer until the vehicle is at least 20 years old. Vehicles over 16,000 pounds gross weight and non-self-propelled vehicles like trailers are exempt regardless of age.4eCFR. 49 CFR 580.17 – Exemptions The donor records the mileage in the space provided and certifies it. Misrepresenting the reading is a federal offense.
File Form ST-133GT to Claim the Sales Tax Exemption
Idaho exempts genuine vehicle gifts from sales tax, but you have to prove the transfer is actually a gift. Both the donor and recipient complete and sign Form ST-133GT, the Use Tax Exemption Certificate for Gift Transfers, which the recipient hands to the county assessor along with the title paperwork.5Idaho State Tax Commission. Form ST-133GT Use Tax Exemption Certificate – Gift Transfer Affidavit
Three conditions have to be met:
- No money, services, or property change hands between the donor and recipient in connection with the transfer.
- The recipient does not assume any debts or liabilities of the donor.
- The relationship between donor and recipient supports a reasonable basis for a gift.
That third condition matters. County assessors have discretion to question whether the relationship makes a gift plausible. Transfers between family members and close friends generally pass without question. A “gift” between strangers or business associates will draw scrutiny, and if the exemption is denied, the recipient owes use tax on the vehicle’s fair market value.6Legal Information Institute. Idaho Admin Code r 35.01.02.107 – Vehicles and Vessels – Gifts, Military Personnel, Nonresident, New Resident, Tax Paid to Another State, Sales to Family Members, Sales to American Indians, and Other Exemptions
If the donor can’t appear in person to sign the ST-133GT, the recipient may submit a letter signed by the donor stating the vehicle is a gift, or the title itself marked as a gift and signed by the donor.5Idaho State Tax Commission. Form ST-133GT Use Tax Exemption Certificate – Gift Transfer Affidavit
Register the Vehicle Within 30 Days
The recipient takes the paperwork to a county assessor’s motor vehicle office. Bring:
- The signed title
- The completed ST-133GT affidavit
- Proof of Idaho auto insurance
- Valid identification
- A completed Application for Certificate of Title (Form ITD 3337)7Idaho Transportation Department. Application for Certificate of Title ITD 3337
Idaho’s minimum liability coverage is $25,000 per person and $50,000 per accident for bodily injury, plus $15,000 for property damage. An active policy meeting those minimums has to be in place before registration.8Idaho Department of Insurance. Required Auto Coverage
Complete the title transfer within 30 days to avoid a $20 late-filing penalty.3Idaho Transportation Department. Vehicle Titles License plates stay with the previous owner in Idaho, so the recipient needs new plates.
Fees at the Counter
Even with the sales tax exemption, expect several fees:
- Title fee: the statutory amount is $14, but most counties add an administrative fee. Totals commonly land in the $20 to $25 range, with some counties higher.9Idaho Transportation Department. County Registration and Title Fees
- Registration fee for passenger vehicles and pickups under 8,001 pounds: $69 for vehicles one or two years old, $57 for three to six years old, and $45 for seven years or older. Electric vehicles add $140 per year; plug-in hybrids add $75.10Idaho Transportation Department. Registration Fact Sheet – Registering Vehicles in Idaho
- A small plate fee for new license plates.
If the Vehicle Is Titled Out of State
An out-of-state title triggers a Vehicle Identification Number inspection before Idaho will issue a new title. Law enforcement or an authorized inspector performs the check.11Legal Information Institute. Idaho Admin Code r 39.02.05.202 – Vehicle Identification Number (VIN) Inspections Build in extra time for this step.
File a Release of Liability Within Five Days
After handing over the vehicle, the donor files a Release of Liability (Form ITD 3858) within five days. This filing severs the donor’s legal connection to the vehicle. Without it, you could remain on the hook for parking tickets, towing charges, or liability for an accident involving a car you no longer own.12Idaho State Legislature. Idaho Code 49-526 – Release of Liability Upon Sale of Vehicle
The form asks for the VIN, vehicle description, both names, the recipient’s address, transfer date, odometer reading, and price ($0 for a gift). Filing costs $3.50 and can be done online through the Idaho DMV portal, by mail, or in person at a county assessor’s motor vehicle office.13Idaho Transportation Department. ITD 3858 – Notice of Release of Liability Handle it the same day you hand over the keys if you can.
If There’s Still a Lien on the Vehicle
You cannot gift a vehicle you haven’t fully paid off. If a lender holds a lien on the title, that lien has to be satisfied and released before the title can be assigned. Contact the lender to pay off the balance and obtain a lien release document or a clean title. Start the payoff well before the intended gift date.
Gifting to a Minor
A person under 18 cannot hold title to a vehicle in their own name in Idaho. The standard workaround is a custodial arrangement under the Uniform Transfers to Minors Act, where an adult custodian holds title on behalf of the minor until the minor reaches the age of majority. All the same steps apply, but the custodian acts as the recipient on paperwork. Some families find it simpler to keep the title in their own name and transfer it once the child turns 18.
Federal Gift Tax
Idaho’s sales tax exemption is state-level only. The IRS treats a vehicle gift like any other gift. For 2026, the annual gift tax exclusion is $19,000 per recipient.14Internal Revenue Service. What’s New – Estate and Gift Tax If the vehicle’s fair market value is under that amount, no federal filing is required. If it’s higher, the donor files IRS Form 709, which counts the excess against the lifetime gift and estate tax exemption of over $13 million. For most used cars, federal gift tax is not a concern; for a newer truck or luxury vehicle worth more than the annual exclusion, it is.