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Notary Notes

Dealers' Doc Fee Adjusted for 2016

by PAN
The document preparation charge or "doc fee" motor vehicle dealers are permitted to charge increased to $114 for processing titlework manually and $135 for processing online registrations with an online provider such as Dealer Track/TriVIN.

By law, the doc fee is adjusted annually according to the Consumer Price Index (CPI). The CPI was announced on January 20, 2016. The doc fee increase was effective immediately.

To charge a doc fee, a dealer must be licensed under the Pennsylvania board of Vehicles Act and must have an agent service contract with the Department of Transportation. The doc fee covers the cost of:
  • preparing and completing the documents required to register and license a vehicle under the Vehicle Code;
  • collecting and submitting taxes payable by the purchaser, and
  • preparing any other information associated with titling and registering a vehicle.
The documentary fee:
  • is non-taxable;
  • may be excluded from a dealer's advertised price for the sale of a vehicle;
  • is a negotiable item, so the actual dollar amount may not be pre-printed on the buyer's order;
  • is a dealer-imposed charge, not a state-mandated fee; and
  • must be disclosed on a sign in the dealership.
A doc fee in excess of the permissible amount may be subject to enforcement action by the Attorney General's office.

In addition to the doc fee, a dealer may charge the purchaser the actual costs incurred by the dealer for title and registration, messenger services, notarization, and electronic transaction processing.

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