How to get a Florida dealer license
A Florida “VI” license is the Independent Motor Vehicle Dealer license for selling used vehicles at retail and wholesale (Florida Statute 320.27). It’s a multi-step prerequisite process, not a single form — here’s the order most dealers follow.
Form your business entity & register with Sunbiz
Choose an LLC, corporation, or sole proprietorship with a fictitious name, and register with the Florida Division of Corporations (Sunbiz). Get a federal EIN from the IRS. FLHSMV requires proof of registration with the application, and the name must match.
Sunbiz · IRS EIN
Secure a compliant, properly zoned location
The office needs at least 100 sq ft of interior floor space, a 7-ft ceiling, a permanent sign, a USPS-assigned address, and posted hours — and it cannot be run from a home. A Compliance Examiner will inspect it.
- Don’t sign the lease until the site is approved — a lease copy is required, but get the location cleared first.
Form 86056 location rules
Get garage liability insurance
A garage liability policy with at least $25,000 combined single-limit (bodily injury + property damage) plus $10,000 PIP — or a general-liability policy paired with a business-auto policy at the same limits. The copy must be signed by the garage liability agent.
F.S. 320.27(3)
Post the $25,000 surety bond (or letter of credit)
File a $25,000 surety bond on Form HSMV 86020, or a $25,000 irrevocable letter of credit (Form 86057) from a Florida-authorized bank. You pay a premium — a fraction of the $25,000 — not the full amount.
F.S. 320.27(10) · Form 86020
Complete the FLHSMV-approved pre-licensing course
Attend an FLHSMV-approved dealer training school within 6 months before applying, passing with at least 90% attendance. The statute caps FLHSMV-required content at 8 hours, but the course marketed for first-time independent (VI) applicants is commonly 16 hours — confirm with your school (e.g. FIADA).
F.S. 320.27(4)
Electronic fingerprinting (FDLE Livescan)
Every applicant, general partner, and corporate officer and director must submit electronic fingerprints through an FDLE-approved Livescan provider for state and federal background checks. This is the usual bottleneck — schedule it early.
F.S. 320.27(3)
Get a sales tax certificate from the FL DOR
Register with the Florida Department of Revenue (Form DR-1) for a sales tax certificate so you can collect and remit tax on sales. Required if you sell more than two vehicles in any 12-month period.
FL Dept. of Revenue
Submit Form HSMV 86056 with the $300 fee
Assemble the full packet — the notarized application, $300 fee (check to DHSMV) per main location, the bond/LOC, insurance, Sunbiz proof, training certificate, lease copy, and fingerprint receipt — and submit it to your regional FLHSMV office.
$300 / location
FLHSMV review & mandatory site inspection
A Compliance Examiner reviews the packet and inspects the location to confirm the office size, sign, posted hours, and zoning, then recommends approval. Fix any deficiencies the examiner flags.
License issuance & dealer plates
On approval, FLHSMV issues your VI license and you can obtain dealer plates and start operating. Display the license at your place of business. It’s valid until April 30 (annual) or for a 2-year biennial cycle.
At a glance
- Application
- Form HSMV 86056
- Fee
- $300 / main location
- Surety bond
- $25,000 (Form 86020) or LOC
- Insurance
- $25k CSL + $10k PIP
- Training
- FLHSMV course (≈16-hr VI)
- Background
- FDLE Livescan fingerprints
- Tax / entity
- DOR sales tax # + Sunbiz
- Expires
- April 30 annually
Estimated cost
Estimated timeline
Titling & registering a vehicle in Florida
When a Florida licensed dealer sells a vehicle, the dealer — not the buyer — must obtain the title in the buyer’s name and handle registration, within 30 days of delivery (F.S. 319.23). Florida titles are electronic by default, and almost all dealers now file through the Electronic Filing System (EFS) rather than walking paper to the tax collector.
The workflow
- 1
Complete the deal & odometer disclosure
Capture the federally required odometer disclosure. As of 2021, it’s required on every transfer for the first 20 years (model-year 2011 and newer, ≤16,000 lbs GVWR). In Florida it lives on the title reassignment or, for e-titles, the secure reassignment Form 82994. - 2
Assign the title to the buyer
Reassign the existing title — on the back of a paper title, or with the secure reassignment supplement (Form 82994) when the title is electronic or the reassignment space is full. - 3
Prepare the title application (Form 82040)
Complete HSMV 82040, Application for Certificate of Motor Vehicle Title, in the buyer’s name.Form 82040
- 4
Record the lien if the buyer finances
File HSMV 82139 to record the lien ($2 fee). Florida holds titles electronically, so it’s recorded as an electronic lien (ELT) that clears when the loan is paid off.Form 82139 · $2
- 5
Verify VIN & odometer for out-of-state vehicles
For a vehicle not currently titled in Florida, complete the VIN & odometer verification on Form 82042 (this is a verification form, not a power of attorney — the secure odometer POA is Form 82995).Form 82042
- 6
File the Notice of Sale (Form 82050)
File HSMV 82050 to mark the prior record sold and protect the seller from liability for the vehicle after the sale.Form 82050
- 7
Collect tax & fees, issue a temporary tag
Collect sales tax and fees and issue an electronic temporary tag via ETR. A temp tag is valid 30 days, costs $2, and no more than two may be issued per buyer per vehicle. Remember: in Florida, plates stay with the seller, not the vehicle.F.S. 320.131
- 8
File through EFS within 30 days
Submit the title and registration package through the Electronic Filing System within 30 days of delivery. Filing late adds a $20 penalty on top of all other fees.F.S. 319.23 · $20 late fee
- 9
Plate & registration for the buyer
The buyer either transfers an eligible existing Florida plate, or pays the one-time $225 initial registration fee plus the $28 plate fee and the weight-based annual registration tax.
Key HSMV forms
Application for Certificate of Motor Vehicle Title
Titles the vehicle in the buyer’s name; carries the odometer disclosure.
Notice of Sale and/or Bill of Sale
Marks the record sold and protects the seller from post-sale liability.
Secure Title Reassignment Supplement
Reassign + disclose odometer on electronic titles (in lieu of 82092).
Application for Notice of Lien
Records a lien on the title ($2 fee); shown as an electronic lien (ELT).
VIN & Odometer Verification
Verify VIN/odometer for a vehicle not currently titled in Florida. Not a POA.
Secure Power of Attorney / Odometer
Disclose mileage / transfer title when the title is held by a lienholder or lost.
Initial Registration Fee Exemption Affidavit
Claim an exemption from the $225 initial registration fee.
Title & registration fees
| Title — Original New (electronic) | $77.25 |
| Title — Original Used / out-of-state | $85.25 |
| Lien recording | $2.00 |
| Fast (expedited) title | $10.00 |
| Paper title printonly if a paper title is printed | $2.50 |
| Late title penaltyfiled after the 30-day window | $20.00 |
| Initial registration feewhen no FL plate transfers | $225.00 |
| License plate (new / replacement) | $28.00 |
| Annual registration (license tax)by vehicle weight, Ch. 320 | varies |
How a Florida vehicle sale is taxed
Florida charges 6% state sales tax on a vehicle’s net price (after trade-in), plus a county discretionary surtax that applies only to the first $5,000 — based on the buyer’s home county. Estimate a deal below, then read exactly how it works.
The sale
Estimated sales tax
State tax + surtax (excludes title & registration fees)
- Taxable base (price + fee − trade)
- $22,999.00
- 6% state tax
- $1,379.94
- County discretionary surtax (1% · first $5,000.00)
- $50.00
- Total sales tax
- $1,429.94
Estimate only. Government title, license, and registration fees are added separately and are not taxed. County rates change every January — confirm the current rate for the sale date.
How it works
- The 6% state tax applies to the full net price with no cap.
- The county surtax applies only to the first $5,000 of the price — so the most surtax on any one vehicle is the county rate × $5,000 (e.g. $50 at 1%, $100 at the 2% max).
- The surtax rate is the buyer’s home county on the title/registration, not the dealership’s county. Citrus and Collier have no surtax in 2026.
- A registered dealer’s trade-in allowance is deducted from the taxable price, lowering both the 6% tax and the surtax.
- The dealer doc fee is part of the taxable price; government title, license, and registration fees are not taxed.
- Out-of-state buyers may get a partial exemption to their home-state rate (Form DR-123); no Florida surtax applies.
Worked example
| Vehicle price | $30,000 |
| Dealer fee (taxable) | + $999 |
| Trade-in allowance | − $8,000 |
| Taxable base | $22,999 |
| 6% state tax | $1,379.94 |
| Surtax — Miami-Dade 1% on first $5,000 | $50.00 |
| Total sales tax | $1,429.94 |
Dealer doc fees
Florida dealer FAQ
Licensing, titling, taxes, and fees — the questions dealers ask most.
How do I get a used car dealer license in Florida?
Apply for a Class VI (Independent) license through FLHSMV: register your business with Sunbiz, secure a compliant zoned location, get garage liability insurance ($25k CSL + $10k PIP), post a $25,000 surety bond, complete an FLHSMV-approved pre-licensing course, get FDLE fingerprints, obtain a DOR sales tax number, then file Form HSMV 86056 with the $300 fee and pass a site inspection.
How much does a Florida dealer license cost?
The application fee is $300 per main location. On top of that, budget for the surety bond premium (a fraction of the $25,000), garage liability insurance, the pre-licensing course, fingerprinting, and your Sunbiz filing — roughly $700–$1,200 in hard costs plus insurance and your lease. Confirm current figures on flhsmv.gov.
How long does a Florida dealer have to title a vehicle after a sale?
30 days. Under F.S. 319.23 the title application must be filed within 30 days of delivery to the buyer; the dealer obtains the title in the buyer’s name. Filing late adds a $20 penalty on top of all other fees.
What is the sales tax on a car in Florida?
The state rate is 6% on the net price (after trade-in), plus a county discretionary surtax on the first $5,000 only. The surtax depends on the buyer’s home county — 0% in Citrus and Collier up to 2% in Hamilton in 2026, with most counties at 0.5%, 1%, or 1.5%.
Is the county surtax charged on the whole car price?
No — only on the first $5,000. So the maximum surtax on any one vehicle is the county rate × $5,000 ($50 at 1%, $75 at 1.5%, $100 at the 2% maximum). The 6% state tax has no such cap.
How does a trade-in reduce Florida sales tax?
When a registered dealer takes a trade-in in the same transaction, the trade allowance is deducted from the taxable price (F.S. 212.09). On a $30,000 car with an $8,000 trade you tax $22,000 — saving the buyer 6% of $8,000 ($480) plus any surtax effect.
Does Florida cap dealer doc fees?
No. Florida sets no statutory cap on the dealer documentary / pre-delivery fee (commonly $600–$1,000+). But F.S. 501.976 requires it to be clearly disclosed with the exact statutory language, and it’s part of the taxable price.
What is Florida’s certificate of title fee?
Per the FLHSMV fee summary, $77.25 for an Original New title and $85.25 for an Original Used title (including vehicles previously titled out of state). Add $2 to record a lien, $10 for Fast Title, and a $20 penalty if filed after the 30-day window.
Sources
- FLHSMV — Motor Vehicle Dealer/Broker Licenses
- Florida Statutes 320.27 — Motor vehicle dealers
- FLHSMV Form HSMV 86056 — Dealer license application
- FLHSMV — Fee summary (title & registration fees)
- Florida Statutes 319.23 — Title transfer (30-day rule)
- FL Dept. of Revenue — GT-800030, Sales & Use Tax on Motor Vehicles
- FL Dept. of Revenue — GT-800019, Discretionary Sales Surtax
- FL Dept. of Revenue — DR-15DSS, 2026 county surtax rates
As of June 2026. This is general information, not legal or tax advice — requirements, fees, and county surtax rates change. Always confirm current details with the Florida authorities linked above, or your attorney, before acting.
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