As of July 1, 2025, Texas has officially ended the use of temporary paper license plates, mandating that all newly sold vehicles receive permanent metal plates at the point of sale. This significant policy shift, enacted through House Bill 718, aims to address the rampant misuse of paper tags, which have been linked to various criminal activities, including human smuggling, shootings, and drug trafficking.
The decision to eliminate paper license plates stems from growing concerns over their vulnerability to fraud. In 2021 alone, Texas authorities estimated that approximately 1.8 million fraudulent paper tags were in circulation, often sold online for under $100. These counterfeit tags allowed criminals to operate vehicles anonymously, complicating law enforcement efforts and contributing to significant revenue losses from unpaid tolls and registration fees. House Bill 718, signed into law by Governor Greg Abbott in 2023, was designed to combat these issues by requiring the issuance of metal plates at the time of vehicle sale. The Texas Department of Motor Vehicles (TxDMV) has since worked to implement the necessary infrastructure and training to support this transition.
Under the new regulations, all licensed car dealerships in Texas are required to issue metal license plates to buyers at the time of sale, utilizing the state’s webDEALER system to process title and registration applications. This system ensures that vehicle information is accurately recorded and accessible to law enforcement agencies. For out-of-state buyers, a green temporary metal plate valid for 60 days will be issued, allowing time for registration in their home state. In-state buyers will receive standard metal plates immediately.
Additionally, the TxDMV has introduced several new temporary metal plate options. A purple “Buyer Provisional” plate may be issued when the correct plate type is unavailable. A blue “Dealer Temporary” plate will be used for test drives and vehicle transfers between dealerships. A red “Temporary Registration” plate, issued by county tax offices or TxDMV regional service centers, covers short-term registration needs. Buyers are advised to keep the plate receipt in their vehicle until they receive the official registration sticker. Vehicles sold before July 1 have until the end of August to transition to the new system.
Law enforcement agencies across Texas have lauded the move, citing improved traceability of vehicles and a reduction in the anonymity previously exploited through fake tags. The change is expected to enhance public safety by making it more difficult for criminals to use untraceable vehicles in illegal activities. The initiative also honors the memory of Grand Prairie Police Officer Brandon Tsai, who tragically lost his life in 2022 during a high-speed chase involving a vehicle with a fraudulent paper tag. His death underscored the dangers posed by counterfeit tags and galvanized support for legislative reform.
While the new law primarily affects licensed dealerships, private vehicle sales remain largely unchanged. Sellers are still required to remove their license plates and registration stickers before transferring ownership and must submit a Vehicle Transfer Notification to the TxDMV within 30 days. Buyers must apply for new plates and registration through their county tax office within the same timeframe. Some smaller dealerships have expressed concerns about the logistical challenges of storing and managing metal plates, particularly those with limited space. However, the overall consensus within the industry supports the change as a necessary step toward reducing fraud and enhancing customer trust.
Texas’s elimination of paper license plates represents a significant advancement in the state’s efforts to combat vehicle-related fraud and improve public safety. By mandating the issuance of metal plates at the point of sale, the state aims to close loopholes that have long been exploited by criminals, thereby fostering a more secure and accountable vehicle registration system.
