Overview

You may be able to transfer the ownership of a vehicle to an eligible family without paying the retail sales tax (RST) when the vehicle is given as a family gift.

To get the tax exemption, you need to:

Who is eligible

You can only claim the tax exemption when the transfer is between these eligible family members:

  • spouse (including a common law spouse)
  • parent or step-parent
  • grandparent or step-grandparent
  • son or step-son
  • daughter or step-daughter
  • grandson or step-grandson
  • granddaughter or step-granddaughter
  • son-in-law
  • daughter-in-law
  • father-in-law
  • mother-in-law
  • sibling
  • half siblings (siblings with a common parent)
  • adopted siblings (siblings with a common parent through adoption)

What documents are required

You will need to bring the following documents to a ServiceOntario centre:

Only one exempt transfer of the same vehicle, between family members, is allowed within a 12-month period.

Find a ServiceOntario centre.

Tax exemptions on a vehicle transferred from a spouse or former spouse

If the vehicle acquired from a spouse or former spouse was part of a settlement under the Family Law Act, it may be exempt from the retail sales tax (RST).

A supporting document that states that the vehicle was part of the settlement is required. You will need to bring one of the following documents to a ServiceOntario centre at the time of registration: