No. Car sales between people who are married, lineal relatives or spouses of lineal relatives or siblings are not subject to sales or use tax. However, you must use the Affidavit of Non-Dealer Transfer of Motor Vehicles and Boats form, attached below, to report the sale to the Department of Revenue.
Lineal relative transfers that qualify for the exemption include:
- brothers or sisters
- parents and children
- grandparents and grandchildren, and
- great grandparents and great grandchildren.