Understanding IRP Title-Only Transactions
When a California dealer sells a used commercial vehicle to an International Registration Plan (IRP) operator, it’s crucial to follow DMV guidelines for a Title-Only transaction, ensuring compliance and avoiding penalties.
Step-by-Step Guide
- Complete a Report of Sale–Used Vehicle (REG 51): Clearly mark “IRP” on the application and submit it within 5 days.
- Prepare a Statement of Facts (REG 256): Tick the Title-Only box, explain the vehicle movement, and provide the IRP fleet details.
- Submit Appropriate Fees: Only the transfer fee is required; no separate Title-Only fee is collected.
- Avoid Attaching Plates: Do not affix the buyer’s registration tags or plates to the vehicle.
All transactions must adhere to standard timelines, e.g., mailing the REG 51 stub and clearing the application within 50 days for used vehicles.
Documentation Reminders
Accurate documentation is crucial. Maintain copies of REG 256 and REG 51 for your records. Ensure that the buyer is aware of any remaining documentation or transport requirements, such as using a One Trip Permit (REG 402) if the registration is not current.
Best Practices for Compliance
- Monitor Timelines: Submit documents promptly to avoid penalties.
- Educate Your Team: Ensure that all dealership personnel understand these processes to maintain compliance.
- Utilize Resources: Refer to the DMV Vehicle Industry Registration Procedures Manual for detailed guidelines.
Conclusion
By following these essential steps, dealers can efficiently manage sales to IRP operators, ensuring smooth transactions and regulatory compliance.
