House Bill 718 Implementation

House Bill 718 – Replacing Temporary Tags with Metal License Plates

Important information for motor vehicle dealers, county tax assessor-collectors, law enforcement, and the public

The Texas Legislature enacted House Bill 718 (HB 718) during the 88th Legislative Session in 2023 to address concerns related to the fraudulent use of paper license tags. The new law and associated administrative rules mandate significant operational changes for the Texas motor vehicle industry effective July 1, 2025.

The Texas Department of Motor Vehicles (TxDMV) is using all available avenues to provide the necessary information on operational changes and resources to support a smooth transition to the new policies, procedures, and logistics affecting motor vehicle dealers, county tax assessor-collectors, front-line law enforcement, and individuals buying or selling a motor vehicle.

April 30, 2025

  • Requirement for licensed motor vehicle dealers to complete webDEALER training. Dealers who complete webDEALER training by this date will receive plates in advance of those who have not completed the training.

May 2025

  • Licensed dealers with active webDEALER accounts may begin ordering and receiving license plate inventory allocations.

July 1, 2025

  • All licensed dealers must issue metal license plates to buyers at the time of sale. Temporary tags will no longer be available to be printed for use.
  • All licensed dealers must use webDEALER to process title and registration applications for vehicle sales.
  • County Tax Assessor-Collector offices and Regional Service Centers begin issuing Temporary Registration metal plates for 30-Day and One-Trip Permits.

webDEALER Requirement: HB 718 requires Texas motor vehicle dealers to use webDEALER for processing title and registration applications electronically. IMPORTANT: Dealers without webDEALER accounts on July 1, 2025, will not be able to complete motor vehicle sales transactions. Dealers should coordinate with county tax assessor-collectors' offices for system access to webDEALER ahead of the deadline.

webDEALER Access, Use, and Training Deadline: Dealers are required by Texas Administrative Code rules to complete webDEALER training by April 30, 2025, unless they have been active webDEALER users for more than six months and submitted more than 100 transactions as of October 1, 2024.

webDEALER Training: To support dealers and county staff in meeting the training requirement, TxDMV offers multiple webDEALER training sessions monthly, available both online and in person. On-demand video training in English and Spanish is also available. Check the TxDMV calendar page at www.TxDMV.gov/calendar for dates and registration information for monthly training sessions.

Metal Plate Implementation Training:Guidance on the implementation of the new metal license plate requirements is also available in English: Your Complete Guide to Metal Plate Implementation

New License Plates: Beginning July 1, 2025, Texas motor vehicle dealers will no longer issue the following from the eTAG system:
  • Buyer Tags
  • Internet Down Tags
  • Vehicle Specific Tags
  • Agent Specific Tags

Instead of these temporary tags, dealers will issue metal plates at the time of the sale. In most cases, general issue license plates will be issued and registered in the name of the buyer.

Implementation of HB 718 created four limited-use metal plates to be used by dealers or county offices for specific temporary vehicle registration needs:

Table: New Metal License Plates
Buyer Provisional Plate For short-term use if dealers lack the required plate type for the vehicle in their inventory.
Dealer Temporary Plate For dealers’ business-related uses, such as test drives, loaner vehicles, or transporting the vehicle. Personal use of vehicles with these plates is prohibited.
Out-of-State Buyer Plate For vehicles sold to out-of-state buyers.
Temporary Registration Plate For temporary registration, replacing one-trip and 30-day permits (issued by county tax offices and TxDMV regional service centers).

These new license plates will not replace current metal dealer license plates or the general issue plates that dealers will most frequently issue. The current dealer metal plates remain permissible for personal use.

Additionally, HB 718 will modify the process of issuing general issue license plates. Dealers will receive an allocation of general issue license plates directly to their licensed location that will be issued to a vehicle at the time of sale.

License Plate Handling: NEW! Senate Bill (SB) 1902, passed during the 89th Legislative Session in 2025, introduces new options to help dealers streamline plate management and storage.

When consumers sell or trade in a vehicle with general issue plates, dealers must remove the plates and may transfer them to another vehicle sold within 10 days, as long as the plates match the appropriate vehicle class.

Customers who sell or trade in a vehicle with specialty license plates will retain their plates and can transfer them to another vehicle they purchase from the dealer, or to another vehicle they own, as long as the plates match the appropriate vehicle class.

Plates removed by dealers that are not assigned to another vehicle within 10 days must be disposed of.

License Plate Distribution: For most plates, HB 718 transitions from the current distribution model of license plates delivered to dealers by county offices to a direct-to-dealer model for general issue plates. Plates will be produced by the Texas Department of Criminal Justice (TDCJ) and shipped to a centralized distribution warehouse operated by a TxDMV contractor. A sufficient supply of plates will be maintained in the warehouse for distribution year-round to meet sales demand.

Dealers will order, track, and assign plates easily and directly through a new web-based, accessible Inventory Management System (IMS).

IMPORTANT: Dealers must complete webDEALER training or be active users of webDEALER before they can receive plate shipments.

Dealers will order Dealer Temporary Plates through the eLICENSING system, just like the current process for existing Dealer Plates distributed by TxDMV. eLICENSING User Guide for Dealer Plate Applications: Standard Dealer Plate & Dealer Temporary Plate

Plate Storage and Security: Rules adopted by the TxDMV Board in October 2024 require dealers to secure plates in a locked room, closet, or one or more securely locked, substantially constructed safes or steel cabinets bolted to the floor or wall. Dealers must control employee access to the storage location to ensure plates are used only for legitimate sales.

Vehicle Transfer Notification: On the sale or transfer of a motor vehicle to a dealer, the dealer must submit a Vehicle Transfer Notification (VTN). Dealers can submit the VTN online through the department's license plate system, currently known as eTAG.

Dealer Compliance: The new Dealer Compliances Services Section in the TxDMV Enforcement Division will inspect dealer locations to verify compliance with license plate and premises requirements. Staff will offer education and guidance to dealers found non-compliant as they adapt to the new requirements.

webDEALER Requirement: HB 718 requires Texas motor vehicle dealers to use webDEALER to submit title and registration applications to their county tax assessor-collector's office beginning July 1, 2025.

webDEALER Training: To support county tax office staff and dealers, TxDMV offers multiple webDEALER training sessions each month, with online and in-person options. In addition to live training, an on-demand video training option is available in English and Spanish so dealers and their employees can complete the training at their convenience. Look for training dates and registration information on the TxDMV calendar page at www.TxDMV.gov/calendar.

sample metal temporary registration license plate as issued by county tax assessor-collectors or Texas Department of Motor Vehicles Regional Service CentersOne-Trip and 30-Day Permits: The law eliminates the 30-day and one-trip paper permits issued by county tax offices and TxDMV Regional Service Centers (RSCs). Beginning July 1, 2025, in place of paper permits, counties and RSCs will issue metal Temporary Registration License Plates with an expiration sticker on the plates.

Combating Crime: The Texas Legislature passed House Bill 718 (88R) in 2023 to address law enforcement concerns related to the fraudulent use of temporary tags and associated motor vehicle crimes.

Paper Temporary Tags Will No Longer Be Issued (Effective July 1, 2025)

  • Buyer's Temporary Tags 
  • Dealer's Temporary Tags 
  • 30-Day & One-Trip Permits
  • Dealer Agent Tags
  • Dealer Vehicle Specific Tags
  • Internet Down Tags

Note: Paper tags issued prior to July 1, 2025, will remain valid until expiration. For example, a Buyer’s Temporary Tag issued June 30, 2025, will expire August 29, 2025.

Metal Plates Replacing Paper Tags (Effective July 1, 2025)

Table: Texas Metal License Plates

General Issue License Plate

  • Issued by Texas dealers to buyers at the time of sale as a replacement for paper Buyer’s Temporary Tags.
  • Must be properly secured on the front and rear of the vehicle.
  • Buyers must keep their Buyer’s Receipt in vehicle until registration is complete and the windshield sticker is received and affixed.
  • Plate validity can be confirmed by law enforcement through TLETS/NLETS.

Dealer Temporary License Plate

  • Issued by TxDMV to dealers for business-related uses only, not personal use.
  • Replaces Vehicle Specific & Dealer Agent paper tags.
  • Used for transit to/from dealer to dealer, auction, mechanic, etc. 
  • Used for loaner cars and test drives.
  • Used for vehicles used by a charitable organization.
  • Must be securely displayed on the rear of the vehicle (not in the window) and have month & year expiration stickers. 
  • Does not replace existing Dealer Metal Plate which can be used for dealer personal use.
  • Plate validity can be confirmed through TLETS/NLETS.

Out-of-State Buyer Plate

  • Issued by Texas dealers when selling vehicles to non-Texas buyers.
  • Valid for 60 days.
  • Must be securely displayed on the rear of the vehicle (not in the window).
  • Plate validity can be confirmed by law enforcement through TLETS/NLETS.

Temporary Registration License Plate

  • Issued by TxDMV or Texas county tax offices for temporary registration needs.
  • Replaces 30-Day and One Trip paper permits.
  • Must have expiration stickers affixed and be securely displayed on the rear of the vehicle (not in the window).
  • Plate validity can be confirmed by law enforcement through TLETS/NLETS.

Buyer Provisional License Plate

  • Issued by Texas dealers when a specific plate type is not available in the dealer’s inventory (such as farm or ISA plates).
  • Valid until 7 days after a permanent plate is assigned.
  • Plate validity can be confirmed through TLETS/NLETS

Paper Tags & Permits That Will Still Be Issued (Effective July 1, 2025)

  • 72/144 Hour Permits – Issued to commercial vehicles.
  • Vehicle Transit Permits – Issued when a car or truck is sold in a private sale, and the seller keeps the license plates. Valid for five calendar days and one trip between the point of origin and the destination, and any intermediate points.
  • Temporary Registration Insignia for Specialty Plates – Issued while awaiting the delivery of permanent specialty or qualifying license plates by mail.
  • Factory Delivery Permits – Issued for the initial transportation of a new, unregistered vehicle from the manufacturing facility to a dealership or other point of sale. Valid for 30 days.

Consumers buying or selling a vehicle in Texas on or after July 1, 2025, may notice changes in how their license plates are issued or transferred.

Buying a Vehicle from a Dealer: Customers who purchase a vehicle from a Texas dealer will receive metal license plates at the time the dealer delivers the vehicle, allowing them to immediately display the plates and operate the vehicle while awaiting their registration window sticker.

Trading In a Vehicle to a Dealer: Effective July 1, 2025, when customer sell or trade in a vehicle with general issue plates, dealers will remove the plates and may transfer them to another vehicle of the same class sold within 10 days. Consumers with specialty and personalized license plates will retain their plates.

Buying or Selling a Vehicle in a Private Sale: The process remains unchanged for person-to-person vehicle sales. Sellers remove their license plates and registration sticker from the vehicle and can transfer the plates to another vehicle they own—if appropriate for the vehicle class—by visiting the county tax assessor-collector's office.

Sellers of Texas-titled vehicles should submit a Vehicle Transfer Notification (VTN) to the Texas Department of Motor Vehicles within 30 days. To process the VTN, the seller must provide the buyer’s full name, address, and telephone number, which should be collected at the time of sale.

Buyers must submit a title and registration application at their county tax assessor-collector's office and obtain new plates. For more information, visit Buying or Selling a Vehicle.