(a) On the sale or transfer of a motor vehicle to a dealer who holds a general distinguishing number issued under Chapter 503, the dealer shall remove each license plate issued for the motor vehicle. A person may use the license plates removed from a motor vehicle on a new motor vehicle purchased from a dealer after the person obtains the department’s approval of a title and registration application.
(b) On the sale or transfer of a motor vehicle to a person who does not hold a general distinguishing number issued under Chapter 503, the seller may remove each license plate issued for the motor vehicle. The license plates may be transferred to another vehicle titled in the seller’s name if the seller obtains:
(1) the department’s approval of an application to transfer the license plates; and
(2) a new registration insignia for the motor vehicle.

(c) A license plate removed from a motor vehicle that is not transferred to another motor vehicle must be disposed of in a manner specified by the department.
(d) To be eligible for transfer, license plates must be appropriate for the class of vehicle to which the plates are being transferred.
(e) This section applies only to:
(1) a passenger vehicle with a gross weight of 6,000 pounds or less; and
(2) a light truck with a gross weight of 10,000 pounds or less.

Text of section effective until July 01, 2025