Texas Motor Vehicle Sales Tax and SPV

In a Texas private car sale, the buyer pays the motor vehicle sales/use tax — not the seller — and pays it directly to the county tax assessor-collector at title transfer time. The rate is 6.25%, but Texas uniquely calculates the tax on the GREATER of the purchase price or the Standard Presumptive Value (SPV).

How Texas calculates the tax

• Texas Comptroller publishes an SPV for almost every used vehicle based on market data.
• When the buyer files Form 130-U, the county tax office looks up the SPV and applies 6.25% to the GREATER of price or SPV.
• If you genuinely paid below SPV (for example, family discount, mechanical issues), you can submit Form 14-128 (Used Vehicle Certified Appraisal) from a licensed appraiser, and the county will use the appraised value instead.

Gift transfers — $10 gift tax

• If the vehicle is gifted between qualified family members (parent, grandparent, child, grandchild, spouse, sibling, guardian) the buyer pays only a $10 gift tax instead of 6.25%.
• File Form 14-317 (Affidavit of Motor Vehicle Gift Transfer) — both parties sign it before a notary public.
• Bring the notarized 14-317 with Form 130-U to the county tax office.