How To Sell a Car in Kentucky

Private vehicle sales in Kentucky are governed by state statutes that establish specific requirements for title assignment, notarization, odometer disclosure, motor vehicle usage tax, and post-sale notification. The Kentucky Transportation Cabinet, Division of Motor Vehicle Licensing, oversees the titling and registration process, while the Kentucky Department of Revenue administers the motor vehicle usage tax collected at the time of transfer.

What You Need To Know Before Selling a Car in Kentucky

Kentucky Title Law and Ownership Requirements

Under KRS 186A.070, the state resident owner of a vehicle shall apply for and obtain a certificate of title within 15 days of acquiring the vehicle. All motor vehicles operated on Kentucky roadways must be titled and registered. A vehicle may not be lawfully sold without an assigned certificate of title; KRS 186A.215 requires the owner, at the time of delivery, to execute an assignment and warranty of title in the space provided on the certificate of title. The transferor must then deliver the assigned title to the transferee.

Kentucky requires that all signatures on a title assignment be notarized. Both the seller's signature and the buyer's signature must be executed in the presence of a notary public before the county clerk will accept the application for a new title.

Joint ownership designations affect who must sign the title at the time of transfer. Under KRS 186A.035(2)(d), if a certificate of title bears the connector "AND" between owner names, the signatures of all owners are required to transfer the title. If the connector is "OR," only one owner's signature is required. Titles produced before June 27, 2025, that bear "AND/OR" are treated as "AND," requiring all signatures, unless a court directs otherwise.

Vehicles Exempt From Title and Registration Requirements

KRS 186A.080 identifies the categories of vehicles for which no Kentucky certificate of title, registration, or license plate need be obtained. These include vehicles owned by the United States government, vehicles owned by nonresidents that are properly titled and registered in another state, vehicles regularly engaged in interstate transportation with a valid out-of-state title, vehicles moved solely by animal power, implements of husbandry, special mobile equipment, self-propelled wheelchairs, pole trailers, mopeds, and electric low-speed scooters.

Kentucky does not provide a general age-based exemption from title requirements. Unlike some states, there is no threshold model year beyond which a vehicle is exempt from titling.

Satisfying an Existing Lien

A vehicle bearing any unreleased lien or encumbrance on its certificate of title cannot be transferred to a new owner without the lienholder's written consent. The seller must pay off the outstanding debt and obtain a lien release before assigning the title. Under KRS 186A.200, the lienholder is required to execute a release upon satisfaction of the obligation.

A lien release may take the form of a notation on the face of the title, a separate release document from the lienholder, or a Title Lien Statement processed through the county clerk's office. The county clerk will not process a transfer while unreleased liens appear on the title record.

No Safety or Emissions Inspection for Private Sales

Kentucky does not impose a general vehicle safety inspection or emissions testing requirement for private sales of vehicles already titled and registered in the state. A Sheriff's inspection (VIN verification) is required only when a vehicle is being titled in Kentucky for the first time from an out-of-state title; it is not required for transfers between Kentucky residents on an existing Kentucky title.

Documents Required To Sell a Car in Kentucky

Certificate of Title

The existing Kentucky certificate of title must be properly assigned by the seller. The assignment section on the reverse side of the title includes spaces for the purchase price, the date of sale, the odometer reading, and the signatures of both the seller and the buyer. Each signature must be notarized. For titles issued before the year 2000, the format may not provide sufficient space for all required information; in that case, the Application for Kentucky Certificate of Title or Registration (Form TC 96-182) must be completed to supplement the title.

If the seller has lost the title and no lien is on record, a duplicate title may be obtained from the county clerk's office by submitting a completed TC 96-182 with the Affidavit for Replacement section filled out, a photo identification, and the $6.00 duplicate title fee. A duplicate title will not be issued while a lien remains on the vehicle record.

Affidavit of Total Consideration Given for a Motor Vehicle

The Affidavit of Total Consideration Given for a Motor Vehicle (Form 71A100), issued by the Kentucky Department of Revenue, must be completed and notarized by both the seller and the buyer. This form attests to the actual purchase price paid for the vehicle and is used by the county clerk to calculate the motor vehicle usage tax. If the affidavit is not presented at registration, the county clerk must assess the usage tax based on the retail value from the prescribed reference manual.

Odometer Disclosure Statement

Under KRS 190.300, every transferor must provide a written odometer disclosure to the transferee at the time of transfer, certifying the cumulative mileage registered on the odometer or disclosing that the actual mileage is unknown. The odometer reading is typically recorded in the assignment section of the certificate of title. When the title does not accommodate the federally required odometer disclosure format, a separate Odometer Disclosure Statement (Form TC 96-5) must be completed.

Under federal law, vehicles that are 10 model years old or older (for model years 2010 and earlier) are exempt from odometer disclosure requirements. For vehicles manufactured in model year 2011 or later, the federal exemption threshold extends to 20 years from January 1 of the calendar year following the designated model year.

Lien Release

If a lien appears on the certificate of title, a release from the lienholder must be obtained and presented to the county clerk at the time of transfer. The county clerk will not issue a new title while an unresolved lien remains on file.

How To Transfer a Car Title in Kentucky

Step 1: Review the Title Before the Sale

The seller should examine the certificate of title to confirm that ownership information is accurate, that no unreleased liens appear, and that the title is the original document. If the title has been lost, the seller must obtain a duplicate from the county clerk before executing the sale. If a lien is recorded, the seller must arrange a payoff and obtain the release prior to signing the assignment.

Step 2: Complete the Title Assignment

The seller signs the assignment section on the reverse of the certificate of title and has the signature notarized. The seller must enter the date of sale, the purchase price, and the current odometer reading. The buyer must also sign and have the signature notarized. If both parties are present at the county clerk's office, the clerk can serve as the notary. If the parties execute the assignment separately, each must have a notary witness their respective signature. For titles issued before the year 2000, both parties must also complete the applicable sections of the Application for Kentucky Certificate of Title or Registration (Form TC 96-182).

Step 3: Prepare the Affidavit of Total Consideration and Odometer Disclosure

Both parties must complete and sign the Affidavit of Total Consideration Given for a Motor Vehicle (Form 71A100). Each signature on this form must also be notarized. If a separate odometer disclosure is required, the seller completes and signs Form TC 96-5, and the buyer acknowledges the reading by signature.

Step 4: Deliver the Documents to the Buyer

The seller provides the buyer with the properly assigned and notarized certificate of title, the executed Affidavit of Total Consideration, the odometer disclosure (if completed on a separate form), and any applicable lien release. The seller must also remove the license plate from the vehicle, as Kentucky license plates remain with the seller upon transfer of ownership.

Step 5: Buyer Submits the Application Through the County Clerk

The buyer presents the assigned title, proof of Kentucky automobile insurance (with an issue date within 45 days), a valid Kentucky driver's license or identification card, the Affidavit of Total Consideration, and payment for all applicable fees and taxes to the county clerk's office in the buyer's county of residence. The buyer must submit the application within 15 days of the transfer.

The county clerk processes the title application and issues a new registration and license plate. The title is produced by the Kentucky Transportation Cabinet in Frankfort and mailed to the new owner, typically within four to six weeks. A speed title, available for an additional fee, is printed and mailed the following business day.

Title Transfer Fee Schedule in Kentucky

The following fees apply to motor vehicle title transactions at the county clerk's office:

County clerks may assess additional fees for document preparation and notarization services provided at their office. Property tax, which is assessed based on the January 1 ownership record, may also be collected at the time of registration.

Sales Tax on Private Vehicle Sales

Kentucky does not apply its general sales and use tax to motor vehicles registered for highway use. Instead, a separate motor vehicle usage tax is imposed under KRS 138.460 at a rate of 6% on the retail price of every motor vehicle used in the Commonwealth. This tax is collected by the county clerk at the time of title transfer or first registration.

For used vehicles sold in a private transaction, the tax is calculated on the selling price as attested to in the notarized Affidavit of Total Consideration (Form 71A100), provided that the stated price is not less than 50% of the difference between the trade-in value of the vehicle being registered and the trade-in value of any vehicle offered in trade. If an affidavit is not available, the clerk applies the retail value from the National Automobile Dealers Association reference manual. The minimum usage tax due on any title or registration transaction is $6.00.

A trade-in allowance against the usage tax is available for used vehicles when the vehicle being traded is registered in Kentucky. Willfully providing a false statement as to the total consideration paid constitutes a Class D felony carrying a minimum fine of $2,000 per offense.

What To Do After Selling Your Car in Kentucky

Retain the License Plate

Under KRS 186.190, the seller retains both the license plate and any unexpired registration upon transferring ownership of a vehicle. The plate does not transfer with the vehicle.

The seller may apply the retained plate and unexpired registration to another vehicle of the same class by visiting the county clerk's office and paying the $11.00 registration transfer fee. If the seller does not intend to use the plate on another vehicle, it must be surrendered to the county clerk. If the registration has already expired at the time of transfer, the plate must be returned to the county clerk's office.

File an Affidavit of Incomplete Transfer if Necessary

If the seller becomes aware that the buyer has not submitted the title transfer documents to the county clerk within 15 calendar days, the seller must submit an Affidavit of Incomplete Transfer (Form TC 96-3) to the county clerk in the seller's county of residence.

Upon receipt, the clerk enters a restriction into the Automated Vehicle Information System (AVIS) that prevents any registration activity on the vehicle until the transfer is processed. This protects the seller from liability arising from the continued operation of the vehicle under the seller's name.

Cancel or Transfer Insurance Coverage

Once the sale is complete and the license plate has been removed, the seller should contact the insurance provider to cancel coverage on the sold vehicle or transfer the policy to a replacement vehicle. Under Kentucky's mandatory insurance law, any vehicle with a current, active registration must be insured. Because the seller retains the plate and registration, canceling coverage promptly or surrendering the plate avoids triggering an uninsured vehicle notice.

Retain Copies of All Sale Documents

The seller should keep copies of the assigned title (front and back), the Affidavit of Total Consideration, and any odometer disclosure or lien release documents. These records serve as proof of transfer and may be needed in the event of future tax disputes, liability claims, or law enforcement inquiries.

Contact Information

Kentucky Transportation Cabinet — Division of Motor Vehicle Licensing
200 Mero Street, Frankfort, KY 40622
Phone: (502) 564-1257
Official Website: Kentucky Transportation Cabinet — DRIVE