Home › Forums › Travel and Transportation › Can I register a car in DC and avoid the excise tax? › Reply To: Can I register a car in DC and avoid the excise tax?
I dealt with something similar to this. When I moved here, my car title was originally in my Dad’s name in New Jersey. I was registering it in DC and transferring the car title over to my name. That’s when the excise tax kicked in (to the tune of $1,400). My dad thought we could transfer the title over to my name in the family ($1 sale price for family title transfer), but that doesn’t apply to interstate (NJ to DC; or MD to DC) title transfers. We ate the excise tax cost because doing it the other way was too much of a hassle. But here’s how you can do it if you have more patience than I did:
Have your parents transfer the MD car title to you. You’ll need to re-register the vehicle in MD with your name (and therefore also insure your new car). THEN you can take your MD car title in your name and easily transfer it to DC without paying excise tax. At least that is what the DMV told me 5 years ago. Good luck!