Kentucky Title Transfer

A Kentucky vehicle title is the legal document that establishes ownership. Transferring it correctly between buyer and seller takes a few specific Kentucky-only steps — most notably notarized signatures on the back of the title and a 6% Motor Vehicle Usage Tax — but the process moves quickly through the county circuit court clerk's office.

Seller's responsibilities

If you're selling a vehicle titled in Kentucky:

• Sign and date the back of the original title in front of a notary public. Kentucky requires notarization on the seller's signature for most private-party transfers.
• Complete the odometer disclosure on the title for vehicles less than 10 model years old.
• Print the buyer's full legal name and address in the buyer's section.
• Hand over the assigned title and any maintenance or warranty records.
• Remove the license plate (Kentucky plates stay with the seller).
• Cancel insurance only after the buyer has registered or you have a notarized release of liability.

If the title has a lien still recorded, the lienholder must release it in writing before transfer. For lost titles, the seller must obtain a duplicate title first.

Buyer's responsibilities

The buyer must title and register the vehicle within 15 days of purchase. Bring the following to the county circuit court clerk in your county of residence:

• The properly assigned original title with notarized seller signature and odometer reading.
• A completed TC 96-182 Application for Kentucky Certificate of Title and Registration.
• Proof of Kentucky liability insurance meeting 25/50/25 + PIP $10,000.
• Your Kentucky operator license or state ID.
• Funds to cover the 6% Motor Vehicle Usage Tax, $9 title fee, registration fee, and annual property tax.

Notarized signatures

Kentucky is one of the states that requires notarized signatures on private-party title transfers. The seller's signature on the back of the title must be witnessed by a notary public. Banks, UPS Store locations, and most credit unions offer notary services for $5-$10. Some Kentucky county clerk offices have a notary on staff who can witness the signature at the time of transfer if both parties are present, but this isn't universal — check with your local clerk before assuming.

Motor Vehicle Usage Tax

Kentucky charges a 6% Motor Vehicle Usage Tax on every title transaction. The tax is calculated on the higher of the actual sales price or the National Automobile Dealers Association (NADA) "trade-in value." Selling for $1 to a relative does not avoid the tax unless the transfer qualifies as a documented gift between immediate family members supported by an Affidavit of Total Consideration. Buyers can challenge the NADA value with proof of poor vehicle condition, but the documentation has to be substantial — an inspection report, a written low-value appraisal, or major mechanical issues.

Title fee and other costs

• $9 title fee — one of the lowest in the country.
• $21 registration fee.
• $3 lien notation fee if the vehicle is financed.
• $3-$6 notary processing fee at the county clerk.
• Annual ad valorem property tax billed against the NADA value at the county's local rate.

Gift transfers

Vehicles transferred between immediate family members can avoid the 6% Motor Vehicle Usage Tax if both parties complete an Affidavit of Total Consideration showing the vehicle was a gift. Kentucky defines immediate family for this purpose as parent, child, sibling, spouse, grandparent, or grandchild. The affidavit, the original title, and a $9 title fee are still required. Cousins, aunts, uncles, and unrelated friends do not qualify and must pay usage tax on the NADA value.

Dealer transfers

When a Kentucky dealer sells a vehicle, the dealer typically files the title and registration paperwork on the buyer's behalf as part of the closing. The dealer collects the usage tax, title fee, and registration fee at closing and submits everything to the county circuit court clerk electronically. The buyer drives away with a temporary tag valid for 30 days while the permanent title and plate are mailed.

Out-of-state titles

If you're titling a vehicle currently titled in another state, the county clerk requires a VIN inspection on Form TC 96-183 from any Kentucky State Police post or county sheriff's office before issuing a Kentucky title. The inspection costs $5. After that, follow the same buyer's checklist above. Kentucky credits sales tax already paid to another state up to its own 6% rate. See also the broader Kentucky registration page for the full new-resident checklist.

Joint ownership and "or" titles

Kentucky issues vehicle titles in joint names with either "and" or "or" between the names. With "and," both owners must sign for any future transfer. With "or," either owner can sign alone. The choice matters in estate planning — an "or" title automatically passes to the survivor on the first owner's death, while an "and" title requires probate. The county clerk can adjust between the two configurations at no additional charge if both owners are present.