Salespersons License Information
With over 18,000 salesperson, they are the driving force behind auto sales in the Commonwealth of Virginia.
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Salesperson License Renewal
Your salesperson license is renewed with the renewal of the dealership’s license. The MVDB sends the dealership a renewal package which includes prepopulated salesperson applications for all licensed salespersons listed in our records at the initiation of the renewal process.
Dealers are responsible for completing MVDB-61s for salespersons where the MVDB did not provide a prepopulated form. All references to MVDB-61s on this page are hyperlinked; clicking on these links will open a blank PDF version of the application, which you can download, print, and fill out.
The Dealer must complete an MVDB-61 for each licensed salesperson, verifying the information is accurate and obtaining the necessary signatures prior to submission for processing to the MVDB. The MVDB-61s are processed with a dealer’s renewal package, your new license sent directly to the dealership. You are responsible for the destruction of your expired license.
02
Receive a prepopulated application for a salesperson no longer at the dealership?
Reminders
The Dealer should submit an MVDB-41 to the MVDB whenever a salesperson’s employment ends – Read More…
The Dealer is responsible for maintaining an updated posting of licensed salespersons at their Dealership(s).
Salespersons Must Be Employees
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The Code of Virginia defines a salesperson as follows:
- “… (i) any person who is hired as an employee by a motor vehicle dealer to sell or exchange motor vehicles and who receives or expects to receive a commission, fee, or any other consideration from the dealer; (ii) any person who supervises salespersons employed by a motor vehicle dealer, whether compensated by salary or by commission; (iii) any person, compensated by salary or commission by a motor vehicle dealer, who negotiates with or induces a customer to enter into a security agreement on behalf of a dealer; or (iv) any person who is licensed as a motor vehicle dealer and who sells or exchanges motor vehicles. For purposes of this section, any person who is an independent contractor as defined by the United States Internal Revenue Code shall be deemed not to be a motor vehicle salesperson.”
Must Be an Employee
Must have a W2
FORM K-1 (LLC)
Form K-1 is used by members of an LLC to report their share of the Corporation’s earnings (or losses). If a member of an LLC is also a licensed salesperson, then by definition, they are also an employee of the LLC and the LLC must issue that employee an IRS Form W-2 at the end of the tax year. Therefore, a member of an LLC who is also a licensed salesperson will receive both a K-1 and a W-2 at the end of the tax year.