[Tax Policy Update] Notice Concerning the Transfer of Motor Vehicle Titles

Dear County Tax Assessor-Collectors:

Notice Concerning the Transfer of Motor Vehicle Titles

In view of the COVID-19 crisis, Texas Governor Greg Abbott and the Texas Department of Motor Vehicles recently granted a temporary extension for the registration and titling of purchased vehicles. This will allow auto dealers and individuals more time before they have to appear in person at a county tax assessor-collector office (CTAC) to make these arrangements, furthering the current societal goal of social distancing.

To preserve this accommodation, the Texas Comptroller’s office is providing an extension of up to 90 days past the original due date to pay the motor vehicle sales tax due on these purchases. The Comptroller’s office is authorized to provide this extension by Section 111.051(b) of the Texas Tax Code. Late penalties will be assessed as if the last day of the extension is the original due date.

Note: This extension does not apply to seller-financed motor vehicle sales. In these cases, the tax is reported and paid directly to the Comptroller’s office instead of a CTAC upon registration.