Application Requirements for Vehicle Lessor - Retailer License
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Purpose
The purpose of this page is to assist the prospective vehicle lessor-retailer by describing the requirements to obtain a vehicle lessor-retailer license from the Department of Motor Vehicles (DMV).
What is a Lessor-Retailer?
A "vehicle lessor-retailer" is
any lessor or renter who sells previously leased or rented
vehicles "to the public other than (1) a person who has
leased the vehicle for at least one year, or (2) a buyer for
agricultural, business or commercial purpose, or (3) a government
agency." A lessor-retailer must secure either a
vehicle dealer or lessor-retailer license to conduct this
activity. CVC Sections 286, 373, and 11600 et seq.
Background Investigation
A background investigation is conducted on
all applicants. Failure to disclose convictions or providing
incorrect information on the application may result in the
refusal or denial of your license. The department may
refuse to issue a license to any applicant who has been convicted
of a crime or committed any act or engaged in any conduct
involving moral turpitude which is substantially related to
the qualifications or duties of the licensed activity.
A conviction based on plea of nolo contendere is a conviction
within the meaning of this section. CVC Section 11604. Persons previously working under a license issued by DMV
, which was revoked or suspended for cause may also
be denied a license. In addition, the California
Code of Regulations (CCR) and additional sections of the
California Vehicle Code provides guidelines used by the department
in determining whether a license should be issued. CCR
, Title 13, Chapter 1.
Requirements for a vehicle lessor-retailer license
CVC Section 11600 et seq..
Every applicant for a vehicle lessor-retailer's license must:
- File an application with the department.
- Pay the required fees.
Click on the following links for the fees, forms and additional information related to the Vehicle Lessor-Retailer License.
Vehicle Lessor-Retailer License application fees.
Vehicle Lessor-Retailer License application forms.
Vehicle Lessor-Retailer License renewal fees.
Fees to change an existing Vehicle Lessor-Retailer License.
Form(s) to change an existing Vehicle Lessor-Retailer License.
Guide for Licensed Vehicle Dealers and Lessor-Retailers (PDF)
Additional Items
The following items are also needed as part of the application package:
- Copy of Board of Equalization Resale Permit (if selling at retail)
- Required by Board of Equalization
- Enables the licensee to collect taxes of sale
- No fee, but deposit may be required
- Apply through your local Board of Equalization offices CVC Section 11617(a)(6)
Board of Equalization Resale Permit (Revenue and Taxation Code, section 6066 and 6067)
All licensees selling vehicles or vessels, retail or wholesale, are required to file an application for a Seller's Permit. The purpose of the permit is to enable the licensee to collect taxes on sales. There is no fee for the permit, but a deposit may be required. Applications can be made through your local Board of Equalization office. A copy of this permit is required as part of the application for a dealer and lessor-retail license. Pursuant to California Vehicle Code Sections 11617(a)(6) and 11721(f), the Department may automatically cancel your dealer or lessor-retail license for failure to maintain a valid seller's permit.
Pursuant to Section 6014, "Seller" includes every person engaged in the business of selling tangible personal property of a kind the gross receipts from the retail sale of whhich are required to be included in the measure of the sales tax.
Questions should be referred to BOE at (800) 400-7115 or refer to information published at Board of Equalization Publication 73(PDF).
"Place of Business" Inspection. After you have arranged an appointment with an Occupational Licensing Inspector he or she will:
- Inspect the main business office where the lessor-retailer conducts business, whether or not retail sales are made from this location.
- Inspect all books and records pertinent to the business. CVC Section 11601(a), (c)
- Show proof of bond with corporate surety CCR, Title 13, Section 252.30(j)
- Execute and file with the department an instrument designating the director as agent of the applicant for service of process. CCR, Title 13, Section 252.20(j)
Note: Place of business inspection is within California only.