What to do after a car accident: Important steps to stay safe
Do you know what to do if you get into an accident? It is important to prioritize safety.
- Employers must create a bill of sale to transfer a company car into their personal name.
- A company cannot gift a vehicle, so the company must transfer ownership of the vehicle to an individual.
- Each state has its own procedures and requirements, so be sure to check with your local DMV.
question: I own a small contracting business and plan to retire this year. My personal pickup truck is registered and insured under my company name. All of my private insurance companies have insisted that my pickup truck or van is covered under commercial auto insurance. How do I put the truck in my name when I go out of business?
− Joe S.
answer: Your company will need to create a sales invoice for the desired vehicle in your personal name and sign title to the vehicle to you. (Companies cannot gift vehicles to individuals, and vice versa.)
Several documents are required for this registration. All forms can be found on your local DMV website. However, it is important to remember that each state has its own procedures and requirements. So be sure to check with your state’s DMV before taking any action.
- Application for registration and rights. Each state has its own tax return forms or procedures. Some states may also require sales and use tax.
- Proof of original ownership or previous ownership from the state of no ownership (such as a registration certificate or paid sales tax form).
- A title is often required unless the vehicle is older than a certain model year. This requirement is not universal throughout the United States, as each state sets its own model year standards (or requires title for all vehicles).
- Seller and buyer must sign on the back of the title.
- Sales invoice from the company to you.
- Driver’s license or ID.
- valid insurance
- If two owners are making a new registration and title, both parties must be present at the time of registration. Otherwise, the absent party’s signature must be notarized.
- VIN Check: If the title is in another state or the vehicle is registered in another state, a VIN check is required before registering the vehicle. Please bring the title with you to this interview. Note that this requirement is often state-specific.
- If your state requires sales tax on car sales, you must pay sales tax before or at the time of registration. The sales tax you pay is based on the year, make, and model of your vehicle.
Chuck Hollis is the Deputy Administrator of the Rhode Island Department of Motor Vehicles.
