How to get a dealer license in Mississippi

DOR's Motor Vehicle Dealer Tag Permit Law defines a motor vehicle dealer as a business that sells or exchanges new or used vehicles, has an established place of business, and buys and sells or exchanges at least 24 vehicles of the same type a year. A business that sells fewer may be granted a limited dealer license, which has all dealer privileges except dealer tags (Miss. Code 27-19-303). People disposing of vehicles they acquired in good faith and actually used for their own use are not dealers. DOR licenses only Mississippi residents as dealers (35 Miss. Admin. Code Pt. VII, R. 4.01).

• Franchise (new) motor vehicle dealer: Dealers selling new vehicles under a manufacturer franchise. They get a DOR dealer permit and tags, and the Mississippi Motor Vehicle Commission separately licenses new vehicle dealers.
• Wholesale-only dealer: Mississippi residents who sell only to licensed dealers. No physical location is required, but inventory is limited to 2 vehicles and 1 dealer tag.
• Limited dealer: Businesses that sell fewer vehicles than a full dealer. They get all dealer privileges except dealer tags, at DOR's discretion.
• Motorcycle dealer: Dealers that buy and sell only motorcycles. The permit is $50 and tags are $14.75 each.
• Trailer-only dealer: Dealers that buy and sell only trailers, semitrailers or house trailers. The permit is $75 and tags are $18.75 each.
• Heavy truck dealer: Dealers in heavy trucks. The permit is $100 and tags are $133.75 each.
• ATV dealer: Dealers in all-terrain vehicles. The permit is $100 and no tags are issued.
• Dismantler: Automobile dismantlers who rebuild or take apart vehicles or sell used parts. If they swear they will not sell vehicles, the bond is waived and no tags are issued.
• Manufacturer: Manufacturers or factory branches in Mississippi that move vehicles to and from the factory. The permit is $50 and tags are $18.75 each.
• Automobile auction: Businesses acting as agent for the buyer or seller of vehicles. The Motor Vehicle Commission says used and auction licenses are issued by DOR.

Surety bond. A $15,000 Bond of Designated Agent (Form 76-950-10-1-1-000) is required for every licensed dealer, including wholesale dealers. It must be written by an insurer qualified in Mississippi, with its seal affixed and a valid power of attorney attached. DOR rules say the amount is set by DOR but is never less than $15,000. The surety may cancel with 30 days' written notice to DOR. Dismantlers who swear they will not sell vehicles are exempt. Non-dealer designated agents post a separate $5,000 bond for each location.

Insurance. You must keep motor vehicle liability insurance with blanket coverage on vehicles driven on public roads, including vehicles in dealership inventory, and file evidence of it with the first application and at each renewal. Dismantlers and trailer-only dealers that sell no motor vehicles are exempt. DOR does not publish minimum limits for this coverage.

Place of business. Miss. Code 27-19-303 defines an established place of business as a place owned or leased and regularly occupied mainly for dealing in vehicles, where vehicles may be displayed or offered for sale and the required books and records are kept. It must be open for inspection by peace officers and DOR during reasonable hours and must clearly hold itself out to the public as offering vehicles for sale. It needs an office separate from any other business or, instead, an adequate display identifying it as a dealer as DOR specifies. You must post your dealer permit, sales tax permit and local privilege licenses there. DOR does a site visit for businesses selling to the public. No minimum lot size is published.

Background check. We found no criminal background check or fingerprinting requirement in the DOR dealer packet or the Motor Vehicle Dealer Tag Permit Law. DOR may deny or revoke a permit for failing to comply with the law or for unpaid final state tax liabilities (Miss. Code 27-19-305).

Pre-license education. Required (8 hours). Approved courses and details.pdf).

1. Get a Mississippi sales tax number from DOR for each dealer location.
2. Complete the 8-hour educational seminar run by the Mississippi Independent Auto Dealers Association (MIADA) within 12 months before you apply.
3. Buy a $15,000 Bond of Designated Agent from an insurer qualified in Mississippi, with its seal and power of attorney attached.
4. Get blanket motor vehicle liability insurance that covers your inventory vehicles.
5. Set up an established place of business with an office separate from any other business, and expect a DOR site visit if you will sell to the public.
6. Complete the Application for Motor Vehicle Dealer License (Form 76-105-26-8-1-000) for Used Motor Vehicles, or apply online through Motor Vehicle e-Services.
7. Mail the application, original bond, seminar certificate, proof of insurance and payment ($100 permit plus $43.75 per dealer tag) to DOR Motor Vehicle Licensing Bureau, P.O. Box 1140, Jackson, MS 39215.
8. Renew every year before your permit and tags expire on October 31.

Official forms:

• Motor Vehicle Dealer License Packet (Revised 02.2026), instructions for dealer permit and tags (77-697-10-1-1-000).pdf)
• Application for Motor Vehicle Dealer License (Rev. 2/26), in the packet (76-105-26-8-1-000).pdf)
• Bond of Designated Agent (for motor vehicle dealers), in the packet (76-950-10-1-1-000).pdf)
• Affidavit of Motor Vehicle Dismantler License, in the packet (77-699-10-1-1-000).pdf)
• Dealer Tag Daily Log, in the packet (77-105-15-8).pdf)
• Motor Vehicle e-Services (online application and renewal)

Yes, with a wholesale-only license. DOR says wholesale-only dealers do not need a physical location, but they may keep only 2 vehicles in inventory, get 1 dealer tag, sell only to licensed dealers, and must be Mississippi residents.

Dealer-only auctions sell to licensed dealers, so you need a Mississippi dealer permit to buy there. AuctionACCESS (auctionaccess.com), which handles dealer registration for over 400 auction marketplaces, limits membership to licensed vehicle dealers and their authorized representatives.

Every year. All dealer permits and tags expire October 31 (Miss. Code 27-19-307). Dealers can manage and renew their licenses through DOR's Motor Vehicle e-Services, and evidence of liability insurance must be filed with each renewal.

This is general information, not legal advice. Rules and fees change, so confirm the details with the Mississippi Department of Revenue (DOR), Motor Vehicle Services, Motor Vehicle Licensing Bureau before you apply. Last verified October 20, 2026.

Planning the business side too? Read how to start a car dealership. Used cars you offer for sale need an FTC Buyers Guide in the window. Selling your own car instead? See how to sell a car in Mississippi.