Registration Credit

When a owner sells a vehicle, the plate and its registration fees are separated from the vehicle and becomes Registration Credit and the owner will retain the plate.

  • Vehicle License Tax (VLT)
  • Weight Fees
  • Motor Carrier Fee
  • Commercial Registration Fee
  • Highway Use Fee
  • Special Plate Fee (now included in the Registration Credit; new Special Plate Fees are collected again during transfer to a new vehicle)

Registration Credit & Exemptions

If an exemption is applied to one or more of the owners of the vehicle, the exemption amount is calculated into the Registration Credit.

The owner(s) may request the funds (registration fees) to be transferred to their Customer Account. This can be done by a CSR, or the owner through AZ MVD Now. View the Registration Credit with Multiple Owners section for more information how credit is handled.

If the funds are not transferred, at the request of the owner, to their Customer Account, the funds will decrease each month.

Once the funds have been transferred to their Customer Account, the owner can request a disbursement of funds, or can leave the funds in their account and use the funds toward the payment of any future Division service. If multiple owners, view the Registration Credit with Multiple Owners section.

When there are multiple owners on an Arizona vehicle title record, the Registration Credit will still be transferred to a Customer Account. Most of the time the credit will be transferred to the first owner making the request, regardless of the legal status between owners, but if more than one owner wants a share of the Registration Credit, you will have to take a couple extra steps. View the below chart for more information.

Legal Status

Credit/Funds Go Into Which Customer Account?

OR

First owner to make the request

AND/OR

First owner to make the request

AND

First owner to make the request

Lessor/Lessee

Lessor only listed: Lessor

Lessee/Lessor: Lessee is eligible for credit

  • Multiple Lessees: First Lessee to make the request

Any for an ARO or SPI

First owner to make the request

  • Since not title is issued, no true legal status is established; plate and registration credit is given on a first-come, first-service basis

Trust/Trustee

Trust only listed: Trustee is eligible for credit; must provide Trust documentation to prove Trustee is eligible

Trust and Trustees: Trustee is eligible for credit; must provide Trust documentation to prove Trustee is eligible

Trust and another Individual (no Trustee role): First owner to make the request.

  • Trustee of the Trust listed, must provide Trust documentation to prove Trustee is eligible

Business

(Sole Proprietor)

Company names (sole proprietor): Registration credit is transferable for:

  • Personal names to DBA proprietorship
  • DBA proprietorship to personal names

If the Registration Credit record displays a company name without a title (e.g., Thor Windor's Lawn Service, instead of Thor Windor's Lawn Service Inc. (LTD, etc.), the customer will be required to provide proof of ownership of the company, or a One and the Same Certificate, form #38-4306

Business

(Professional Corporations)

Registration credit may be transferred if only the corporation name changes, not ownership

The balance will remain associated to the Vehicle and decrement monthly until there is a zero balance.

If the customer does not request the Registration Credit, the credit balance will decrease monthly until there is a zero balance. When the Registration Credit is requested and deposited into the Customer Account, the balance will NOT decrease.