Free Indiana Gift Bill of Sale
A gifted vehicle in Indiana transfers on the assigned title, and the recipient applies for a new title (State Form 205) at an Indiana BMV branch. Ask the BMV what it needs to document the gift and any sales tax exemption; a bill of sale showing $0 and the family relationship is a useful record. The title application is due within 45 days of acquiring the vehicle.
Free PDF includes a light diagonal watermark. Go Pro to remove it. Already subscribed? Sign in.
Gifting a vehicle to a family member is a zero-dollar transfer, but the DMV still needs a bill of sale to process the title change. Our guide explains how the bill of sale and title work together and what recipients must show to claim the family-gift tax exemption. Read: Bill of Sale vs Title: What's the Difference? →
Indiana Gift Bill of Sale — What You Need to Know
Primary Form
Standard bill of sale
Primary ID Field
VIN
Sales Tax
0%
Title Required
Yes
Inspection
Not required
Indiana Gift Sale — Step-by-Step Checklist
- Sign the back of the existing Indiana title over to the recipient with odometer disclosure
- Ask the BMV which documents it needs to record the gift and any sales tax exemption
- Prepare a bill of sale showing $0 as the purchase price and state the family relationship
- Gather any lien release documentation if a lender's name appears on the title
- Visit an Indiana BMV branch together (donor and recipient) within 45 days of the gift
- Submit the signed title and State Form 205 at the BMV (keep the bill of sale as your record)
- Pay title and registration fees, plus any sales tax the BMV says is due
Common Pitfalls
- Not documenting the gift — ask the BMV what it needs so the transfer is recorded as a gift
- Assuming every relative qualifies for a sales tax exemption — confirm with the BMV which family transfers are exempt
- Missing the 45-day transfer window — late title applications in Indiana are charged an administrative penalty
- Outstanding liens on the title — if a lender's name is on the existing title, you must obtain a lien release before the BMV can issue a clean title to the recipient
- Incomplete odometer disclosure — federally required for vehicles of model year 2011 or newer; a missing odometer statement causes the BMV to reject the transfer
Indiana Gift Bill of Sale — FAQs
What is Indiana State Form 44237?
State Form 44237 is Indiana's bill of sale, not a gift affidavit. For a gift, the recipient applies for a new title with State Form 205 at a BMV branch; ask the BMV what it needs to document the gift.
What family members qualify for Indiana's vehicle gift tax exemption?
Confirm the qualifying relationships with the BMV before the visit; Indiana charges 7% sales tax on the purchase price unless an exemption applies.
Can I mail the title transfer documents to the Indiana BMV instead of going in person?
Check the Indiana BMV website for the current in-person and online options before you go.
What happens if I don't transfer the title within 45 days in Indiana?
Indiana charges an administrative penalty when the title is applied for after the 45-day window (the BMV page does not state the amount). The recipient also risks driving with an invalid registration if they are stopped by law enforcement.