Buying a new truck or car is exciting. But it also involves a lot of documentation and paperwork, which you must handle carefully. The two most important tasks in this regard are vehicle licensing and registration. These are required by law, regardless of your location and type of vehicle. The rules can vary slightly from state to state, but most requirements are the same. Here are a few things to know. What is vehicle registration? Vehicle registration is a process that connects the car to the owner. Every state requires people, by law, to get their vehicles registered with the state’s transportation agency or the Department of Motor Vehicles (DMV). The department’s executives inspect the car and record the details for future reference. The owner then receives a registration certificate. If you do not register the vehicle or let the registration lapse, you may have to pay a penalty fee or face vehicle impoundment. What is vehicle licensing? Vehicle licensing and registration go hand in hand. After registering the car for the first time or registering it in a new state, you receive license plates and any tags needed along with the plate. A license plate on the car implies that it is a registered vehicle and can freely use public roads.