Selling a vehicle in Connecticut involves more than simply handing over the keys and receiving payment. The process entails specific legal requirements mandated by the state.
Accurate information on the vehicle history is paramount in this process. The Connecticut Department of Motor Vehicles (CT DMV) underscores the importance of this information through Conn. Gen. Stat. Sec. 14-172, which mandates that the Commissioner of Motor Vehicles verify a vehicle's identification number against state and national records before issuing a title.
Failing to meet these obligations can lead to legal issues and potential penalties for both parties involved. Non-compliance can also cause delays or nullify the sale, resulting in considerable inconvenience and possible legal ramifications.
Therefore, sellers must comprehend and adhere to these regulations when engaging in vehicle transactions for a fair and transparent vehicle sales environment in Connecticut.
Legal Requirements Before Selling a Vehicle in Connecticut
Connecticut requires sellers to fulfill specific legal obligations before selling a vehicle. These include supplying the necessary documentation to confirm ownership, being transparent about any existing mechanical or cosmetic problems, and completing the appropriate forms correctly.
Adhering to these mandates safeguards the interests of both parties involved and averts possible legal conflicts.
Title Preparation
When selling a vehicle in Connecticut, the seller must complete the vehicle's title certificate to legally transfer ownership. The certificate of title is a crucial legal document that proves ownership, and filling it out accurately and completely is essential to facilitate a smooth transfer of ownership to the buyer.
Obtaining a Duplicate Title
If the original title is damaged or lost, the seller must obtain a duplicate from the CT DMV before proceeding with the sale. This can be done either online or in person. The seller has to settle a $25 duplicate title fee using a credit or debit card.
Online Title Request
To request a duplicate title online, the seller needs their full name as it appears on their driver's license or non-driver ID, date of birth, driver's license or non-driver ID number, and VIN (vehicle identification number) or hull identification number (HIN). A Social Security number is also required, except for owners with out-of-state or Connecticut drive-only licenses.
After gathering this information, the seller can initiate the online request. The replacement title will be mailed to the seller within 20 business days. Receipts for online transactions processed after May 24, 2021, can be requested online.
In-Person or Mail-in Title Request
Alternatively, the seller can obtain a duplicate title in person by completing the Application for Replacement Title Certificate(Form H-6B) and providing the necessary supporting documents.
The seller must sign the form, which can be done in the presence of a DMV employee or with a notary public. The completed application (Form H-6B) and supporting documents can be submitted in person at a local DMV branch or mailed to the following address:
Department of Motor Vehicles
Room 305, Specialized Registry Services
60 State Street Wethersfield, CT 06161
Vehicle History Report
Vehicle History Reports (VHRs) are essential tools for promoting transparency and trust in vehicle transactions. These reports provide a detailed account of a vehicle's past, including ownership history, accident records, odometer readings, and title information.
National Motor Vehicle Titling Information System (NMVTIS)
Connecticut's full implementation of the NMVTIS means sellers can furnish buyers with verified vehicle details. This includes the VIN, odometer reading, and any brand history (e.g., "junk," "salvage," "flood").
This demonstrates a seller's commitment to transparency and can expedite the sales process. It can also protect sellers from future liability by disclosing any known issues with the vehicle.
Sellers can obtain a VHR through various approved NMVTIS data providers. These reports are typically generated using the vehicle's VIN and can be easily shared with potential buyers.
Driving Record Request
To build trust and facilitate a smooth transaction when selling a vehicle in Connecticut, sellers should be prepared to provide a certified copy of their driving history if potential buyers request it.
This document, also known as an abstract or driving record, verifies the seller's driving history. It typically includes information about any moving violations, points against their license, and other relevant convictions. While most traffic violations remain on record for three years, some serious offenses may stay on record for up to ten years.
Sellers who are current or past Connecticut driver's license holders can conveniently request driving history online. This process requires the following:
- Seller's first and last name
- Date of birth
- Street address
- Driver's license number
- Social Security number
- A credit or debit card
After completing the online request, a downloadable and printable copy will be available for 30 days.
Alternatively, sellers can request their driving history by appointment at specific local DMV locations. They must complete a Records Request form (Form J-23) with a photo ID and a payment of $20.
Vehicle Safety Inspection
Vehicle safety inspection is a critical aspect of the selling process in Connecticut. Although most private vehicles do not necessitate regular inspections, specific situations trigger the requirement for a thorough safety assessment.
A safety inspection becomes mandatory when a vehicle changes ownership, particularly for specific vehicle types or circumstances. This includes selling camp vehicles, which require an inspection by the state Office of Early Childhood (OEC).
To proceed with the OEC inspection, sellers must print and complete the OEC Inspection Form and present it at a DMV inspection lane.
Additional vehicle types requiring inspection include motorcycles (including modified off-road vehicles), imported vehicles not manufactured to U.S. standards, homemade trailers, wreckers, and salvaged or totaled vehicles.
Salvage Inspections
If a vehicle was previously declared a total loss due to damage or theft and later rebuilt, it must undergo and pass a salvage inspection before it can be registered and titled in Connecticut.
This inspection aims to verify the vehicle is safe, roadworthy, and meets the state's safety and mechanical standards.
An $88 inspection fee applies, with a potential $10 administrative fee for vehicles never registered in Connecticut or those ten years or older.
The inspection covers various aspects, including vehicle identification verification, safety features (lights, brakes, seatbelts, airbags), structural integrity, emissions systems, and mechanical components (engine, transmission, suspension).
Sellers must schedule the salvage inspection at either the Wethersfield or Hamden DMV offices, which are the only authorized locations for this inspection. A vehicle that passes the inspection will receive a certificate of inspection, allowing the seller to register and title the car for sale.
Preparing for the Inspection
To prepare for the inspection, sellers must provide the following documentation:
- Completed DMV Inspection Report (Form B-269)
- Original title or proof of ownership (e.g., bill of sale)
- Receipts for all parts and labor used in the repair process
- Salvaged Vehicle Repair Report (Form K-186)
- Clear before-and-after photographs documenting the damaged areas
In addition, if the vehicle is equipped with airbags, sellers must provide a separate Air Bag Certification Statement (form B-303), regardless of whether the airbag was deployed during the incident leading to the salvage title. Sellers must also provide a copy of the Insurance Claims Adjuster's Report at the time of inspection.
For detailed instructions and requirements for the inspection process, sellers are advised to review the Salvage Inspection Sheets.
Emission Requirements
Certain emissions requirements must be met to complete the registration process when selling a vehicle in Connecticut. It is the seller's responsibility to ensure the vehicle meets the state's emissions standards.
To determine if the vehicle meets the emissions requirements, the seller can check the CT Emissions online by entering the VIN. This will indicate if the car has passed the required emissions test and is compliant.
If the vehicle is not compliant with the emissions standards, it can still be registered in Connecticut. However, it must undergo an emissions test within 30 days of registration to avoid a late fee. The seller should inform the buyer of the non-compliant status and the requirement for testing within the specified timeframe.
Selling a Vehicle with a Lien in Connecticut
When selling a vehicle with a lien in Connecticut, the seller must provide a lien release letter to the purchaser and the application for a Form H-6B.
The transaction will not be processed without this lien release. The lien release letter, on letterhead from the lienholder, must accompany the application. If the loan origination date exceeds ten years, the seller must complete Section 2 on Form H6B, indicating that the lien has been satisfied.
Upon successful completion of the transaction and the absence of a lien on the title, the title will be mailed to the new owner whose name appears on the registration. If a lien exists on the title, it will be sent to the lienholder.
Motor Vehicle Sales Tax in Connecticut
In Connecticut, motor vehicle sales are subject to a sales tax. The standard rate is 6.35%, but vehicles with a selling price exceeding $50,000 are taxed at 7.75%. This higher rate also applies when additional taxable items, such as accessories or extended warranties, push the total cost above the $50,000 threshold.
Sellers who are not licensed dealers in Connecticut, including out-of-state dealers and third-party titling services, are required to calculate the applicable sales tax on each transaction. The CT DMV provides a sales tax calculator to assist in this process. This calculator should be used for every out-of-state dealer transaction, excluding leased vehicles.
The seller is responsible for remitting the calculated sales tax and the required paperwork to the DMV's Vehicle and Business Regulation office for processing.
Legal Requirements After Selling a Vehicle in Connecticut
Aside from the legal consideration when preparing for a vehicle sale, the seller must also complete other tasks during and after the transaction.
Odometer Disclosure Requirement
Due to a federal rule change, Connecticut requires odometer disclosures for the first 20 years of a vehicle's life for vehicles with a model year of 2011 or newer. Vehicles with a model year of 2010 or older remain exempt from this requirement.
To comply with Connecticut General Statute Sec.14-106b, sellers must ensure that the vehicle's odometer functions properly and displays the actual mileage driven.
Tampering with the odometer, including removing, turning back, or changing the reading, is prohibited except in cases of repair by a licensed professional.
Upon selling the vehicle, the seller must accurately disclose the odometer reading on the odometer disclosure statement. Falsifying this information or using any device to alter the odometer reading is illegal and can result in criminal charges, fines, civil penalties, and potential license suspension for licensed dealers.
Ownership Title Transfer
In Connecticut, transferring ownership of a vehicle is a legal requirement when selling a car. The seller plays a crucial role in this process.
The seller must sign the vehicle's title over to the buyer, making sure all information is accurate and clearly written. In addition, the seller needs to remove the license plates from the vehicle before it is transferred to the new owner. Completing these actions fulfills the seller's obligations in the title transfer process.
When a vehicle is sold to a licensed dealer, the seller's involvement in the title transfer process is significantly reduced. The dealer assumes the responsibility of completing and submitting the necessary title application to the DMV, relieving the seller of any further action or paperwork.
Ownership Transfer in Absence of Title
If the vehicle's title is missing, the seller can still proceed with the ownership transfer if the buyer is a Connecticut resident. To do so, the seller needs to complete Form H-6B and the Original Connecticut DMV Supplemental Assignment of Ownership Form (Q1 form). Both forms are available at local DMV offices.
Note that the ownership transfer will only be valid with the Q1 form. If there's a lien on the title, a lien release letter must be provided. Even if the vehicle owner has passed away, the title can be replaced by mail.
Ownership Transfer to an Immediate Family Member (Purchaser)
In the event of a vehicle owner's passing, the executor or administrator of their estate may transfer ownership of the vehicle to an immediate family member. The process for transferring ownership varies depending on whether the vehicle is titled or not.
The executor or administrator must assign the Certificate of Title to the purchaser. If there are two executors, both must sign the title to reassign ownership.
If the vehicle is registered in Connecticut but doesn't have a title, the executor or administrator must complete a Q-1 form. They must also provide a copy of the most recent registration certificate for the vehicle.
To transfer the vehicle, an appointment at a DMV office is necessary with the following:
- Form Q-1 if no title is required
- A certified probate document
- Completed section 7 of the Application for Registration and Title (Form H-13B)
- A current Connecticut Insurance Card in the purchaser's name
- The most recent registration certificate
- Acceptable identification
Ownership Transfer Through Gift Declaration
A vehicle can also be transferred as a gift, but it must have been registered in the giver's name for at least 60 days to qualify for the sales tax exemption.
For gifts, a completed Motor Vehicle Gift Declaration (Form AU-463), signed by the donor, is required. No sales tax is due, but the donor may be subject to Connecticut gift tax.
Bill of Sale
The CT DMV requires a bill of sale when transferring ownership of a vehicle. A bill of sale serves as a legal record of the transaction, outlining the specifics of the sale and protecting both the seller and the buyer. The bill of sale must include the following:
- Vehicle information (make, year, model, VIN, and odometer reading)
- Buyer information (full name, address, and signature)
- Seller information (full name, address, and signature)
- Selling price and date of sale
Though a seller may draft their own bill of sale, the DMV provides a standard Bill of Sale (Form H-31) that sellers can use.
License Plates Removal
After selling a vehicle, the seller should promptly remove the license plates. These plates should not be left to the new owner.
Registration Cancellation
The seller must cancel their vehicle registration with the CT DMV. This step is crucial, as failure to do so could result in continued property tax assessment on the vehicle. The DMV offers multiple avenues for this process.
In-person cancellation is available at a DMV office, where the seller can complete the necessary forms, including Request for Registration Refund (Form F-82) if seeking a refund. Furthermore, cancellations can be initiated online through the DMV's portal. Alternatively, the seller can mail the Marker Plate Notice (Form E-159) and, if desired, the Form F-82 to:
DMV Registry Record Section
60 State Street
Wethersfield, CT 06161-5057
The DMV will provide a receipt as confirmation of registration cancellation. This receipt is important for various purposes, such as providing proof of sale or cancellation for property tax adjustments.
Note that the seller should maintain liability insurance on the vehicle until the registration is officially canceled with the DMV. Canceling the insurance prematurely could lead to compliance issues. Additionally, all unused license plates should be returned to the DMV.
Registration Cancellation for Deceased Owner
In the unfortunate event of a vehicle owner's passing, the executor or family member can cancel the registration by mail. They must return the plates and the original probate document identifying the estate's administrator or executor. If the plates are lost or stolen, Form E-159 should be submitted with a copy of the probate document.
How To Notify the Connecticut DMV of the Sold Car?
Upon selling a vehicle, the seller must promptly notify the CT DMV. This notification serves as an official record of the transfer of ownership and releases the seller from future liability associated with the vehicle.
To inform the CT DMV of the sale, sellers must provide a copy of the marker cancellation receipt and Form H-31 detailing the vehicle's disposal, including the date and vehicle information such as the year, make, model, and VIN. The documents can be mailed to the CT DMV or delivered to a local DMV office in person.
Upon receiving the notification, the CT DMV will update their records accordingly. The seller will also be eligible for a prorated refund of any registration fees paid in advance. Failure to notify the CT DMV of the sale could result in the seller being held responsible for any future tickets or violations incurred by the new owner.