Car Donation Contract: Procedures and Essential Information

“Having a car is like having a fortune,” this saying reflects the value of a car, especially a truck – the “bread and butter” for many families. Therefore, donating a truck is not simply handing over the keys but also involves many important legal procedures. This article will provide you with a detailed overview of car donation contracts, helping you carry out the transaction smoothly and legally.

What is a Car Donation Contract?

A car donation contract is a written agreement between the donor (car owner) and the donee, in which the donor agrees to transfer ownership of the car to the donee without requiring any payment.

Essential Contents of a Car Donation Contract

For a car donation contract to be legally valid, you need to ensure the following information is included:

1. Information about the Parties Involved:

• Full name, date of birth, ID card/Citizen ID/Passport number, permanent address, and phone number of the donor and donee.
• If either party is an organization, clearly state the organization’s name, tax code, head office address, and information about the legal representative.

2. Information about the Car:

• Car type, brand, chassis number, engine number, paint color, engine displacement, year of manufacture…
• Origin of the car: Purchased, received as a gift, inherited…

3. Agreement Content:

• Confirmation that the donor voluntarily donates the car and the donee voluntarily accepts the car.
• The donor’s commitment to car ownership, ensuring the car is not in dispute, seized, or mortgaged…
• Regulations on car delivery, time, and location of delivery.
• Regulations on costs related to car ownership transfer (usually borne by the donee).

4. Signatures of the Parties:

• The donor and the donee (or legal representative) sign the contract.
• The contract can be notarized or certified to ensure its legality.

Car donation contract with signatures

Frequently Asked Questions about Car Donation Contracts

1. Is it mandatory to notarize a car donation contract?

According to current regulations, it is not mandatory to notarize a car donation contract. However, notarization will help ensure the legality of the contract and avoid future disputes.

2. What is the procedure for transferring car ownership after receiving a donation?

After signing the donation contract and receiving the car, the donee needs to carry out the ownership transfer procedure at the car registration office. The required documents include:

• Application for ownership transfer.
• Car donation contract (original).
• Car registration certificate.
• ID card/Citizen ID/Passport of the donor and the donee.

3. Are there any taxes to pay when donating a car?

According to current regulations, the donee must pay a Registration Fee when transferring car ownership. The tax rate is 2% of the car’s value at the time of transfer.

Car ownership transfer process

Advice from an Expert

Mr. Nguyen Van A, a legal expert on vehicles at ABC Law Firm, shared: “Creating a car donation contract seems simple, but it poses many legal risks if not done correctly. To ensure the benefits of both parties, I advise you to seek advice from a lawyer or legal specialist before signing the contract.”