What do I do with my license plates if I donate a car in TX? Texas

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Donating your car to charity can be a great way to help support a cause you believe in. Whether you're concerned about higher education opportunities for former high school dropouts or want to work to make healthcare more affordable for low-income families, there are a number of Texas organizations that will accept a vehicle donation.

The donate car process is not difficult and you are often able to have your license plates (remember, Texas requires a front and back license plate for each vehicle) transferred to your replacement vehicle.

TX License Plates and Car Donations

When you donate a car in Texas, a representative from the organization accepting your vehicle should help you with the necessary paperwork.

You will need to provide them with:

  • A signed title.
  • Your signature on an Affidavit of Motor Vehicle Gift Transfer from the Department of Motor Vehicles (DMV) so that no sales tax is due when the new title for the vehicle is issued.
They should give you a receipt so that you can report the donation of your used car as a deduction on your income taxes.

Whether you sell or donate used cars, you should always keep your license plates. If your license plates are fewer than seven years old and you are purchasing a replacement vehicle in the same class, you can pay a $5 fee to have them transferred. If the plates are more than seven years old or you are purchasing a different class of vehicle, you will need to obtain new license plates.
 
However, keeping the plates from the car donation protects you from legal liability in the event that the new owner fails to complete the title transfer process in a timely fashion.

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