Motor Vehicle FAQs

Dealer (D) and motorcycle dealer plates may be obtained by licensed motor vehicle dealers.  Manufacturer plates may be obtained by manufacturers of private passenger automobiles, motorcycles, trucks, truck tractors, or trailers, if the manufacturing facility is located in Alabama.

Dealer (D) and motorcycle dealer plate restrictions:

• New motor vehicle dealers may obtain a combined total of 35 dealer and motorcycle dealer license plates.
• Used motor vehicle dealers may obtain a combined total of 10 dealer and motorcycle dealer license plates.
• Licensed new or used dealers may purchase an additional combined total of 25 dealer and motorcycle dealer license plates, if they complete applications for certificates of title for 300 or more title transfers in Alabama during the previous dealer regulatory license year.

There are no limitations on the number of manufacturer and motorcycle manufacturer plates that can be purchased by manufacturers.

• Dealer: $25
• Dealer motorcycle: $17
• Manufacturer: $25
• Motorcycle manufacturer: $17

These fees cannot be refunded or prorated.

• Prospective purchasers, limited to 72 hours of use
• Owners of the dealership
• Partners of the dealership
• Corporate officers of the dealership
• Employees of the dealership

• May be used on vehicles on temporary loan from a dealer to a customer whose vehicle is being serviced or repaired by the dealer.
• May be used on vehicles on temporary loan to a high school for the purpose of student driver education.
• May only be displayed on vehicles in the dealer’s/manufacturer’s inventory.
• May be used for one payload trip only on trucks or truck tractors in a dealer’s inventory with more than 2 axles on the power unit or a GVW exceeding 26,000 pounds. Limited to 72 hours of usage.

If the dealer charges customers a fee for the uses listed above, dealer plates cannot be displayed on the vehicle.

Motor vehicle dealers may display standard plates on vehicles in a dealer’s inventory.  Ad valorem tax is not due when this occurs.

If the dealer license is revoked or forfeited, all dealer plates shall be returned to ALDOR within 10 calendar days.

On vehicles newer than 35 years, you must apply for title transfer by bringing the current title (signed correctly by the previous owner), along with the bill of sale and previous tag receipt. On vehicle models older than 35 years, transfer can be made with a bill of sale. Also, bring in previous owner's tag receipt and the vehicle. 

The dealer is required to complete your application for title and collect sales tax due at their location. However, you must bring the following:

1. A copy of the title application
2. Bill of sale
3. Valid Alabama Insurance card or Policy
4. Dealer’s Affidavit
5. A driver license or state ID for each person listed on the new title

Alabama law provides that any person acquiring a new or used motor vehicle shall within 20 calendar days from the date of acquisition, obtain a license plate. In order to register a vehicle subject to the Alabama title law, a title application must be completed before a registration can be processed.

An individual who can no longer find his/her title may apply at an office location of the License Commissioner. The cost is $19.25 payable by VISA, MasterCard, Discover, check or cash.

• If you have lost your tag registration receipt, you may obtain a duplicate copy from any of our locations.
• Only the registered owner can apply by completing the Request for Motor Vehicle form (Drivers Privacy Protection Act).
• Fee: $2.25 per copy
• For additional questions, please call Customer Service Department at (251) 574-8563.

Effective January 1, 1998, license plates are to be removed by the registrant upon sale or disposal of the vehicle, for possible transfer to a replacement vehicle. The license plates may be surrendered to us or need to be rendered unusable prior to disposal.

In order to receive a Receipt for Credit, one of the following criteria must be met:

• Selling of a vehicle (bring copy of bill of sale, tag or tag receipt)
• Trading of a vehicle and purchase of a new one (bring copy of bill of sale, tag or tag receipt)
• Total destruction of a vehicle (bring letter from insurance company with complete vehicle description information, VIN, the date vehicle deemed a total loss, on company stationery, signed by the agent)
• Theft without recovery (bring letter from insurance company with complete vehicle description information, VIN, on company stationery, signed by the agent)
• Or removed from the state before renewal date (bring copy of out of state registration, previous Alabama registration, original Power of Attorney form, completed and notarized, and the original Credit Voucher Affidavit)
• Since property tax on vehicles is collected in advance when customers purchase or renew their tags, customers can receive a Receipt for Credit for prepaid taxes when they sell or trade a vehicle before the next renewal date. Proper documentation is required for any Receipt for Credit.
  • In no event shall a receipt for credit or credit voucher be issued later than twelve months after the date a motor vehicle is sold, traded, totally destroyed, permanently removed from Alabama, or stolen without recovery.
  • Credit voucher must be redeemed immediately at the time a customer registers a vehicle.
  • If the credit voucher exceeds the amount of tax due or cannot be applied to a tag bill, any balance can be refunded to the customer through a Receipt for Credit. Checks for credit are processed by the 20th of the following month. The law calls for the issuing office to collect a $2.00 redemption fee on credit vouchers and receipts for credit checks.
  • Credit Vouchers can only be used on the tax portion of the tag bill.
  • Receipt for credit and credit voucher must be redeemed in the county where the tax was originally paid.
  • If a customer has moved to another Alabama county and sold a vehicle, a receipt for credit will be issued for any unapplied pre-paid taxes in Mobile County.
  • If a customer moves and registers his/ her vehicle in another Alabama county, no credit is issued.
  • If a customer moves out of state, credit will be issued.
  • A credit voucher can be transferred to an immediate family member who qualifies as a dependent.

Property taxes are collected in advance.

Example 1: Renewal
Bob Smith renews his tag in September, 2009. He will now pay taxes in advance from October, 2009 through September, 2010.

Example 2: Purchasing a used or new vehicle
For an individual purchasing a used or new vehicle, it is important to obtain the most current tag receipt for that used vehicle and bring it with you when you register the vehicle. Otherwise, you will be responsible for paying any unpaid taxes by the previous owner. If back taxes are due, they must also be paid at the time of registration. Used vehicles must be addressed on a case by case basis. Property taxes are based on the make, model and age of the vehicle. Property taxes must be collected in advance.

Example 3: Exception
Mr. Anderson acquires a vehicle on January 5, 2009 (during his renewal month). Registration fees and taxes would be collected for the period January 1, 2009 through January 31, 2010.