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Create a Vehicle Bill of Sale

A vehicle bill of sale officially documents the transfer of ownership for a piece of property. It proves the identity of the former owner and the new owner, and is used for both tax and accounting purposes.

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Learn more about vehicle bill of sale forms

A bill of sale documents the transfer of ownership of a piece of property from one person or entity to another. Most often, a bill of sale is used as proof of purchase when buying or selling a vehicle.
A bill of sale creates a written record of the item being sold. This allows the buyer to verify that the item is in working condition at the time of purchase, while also protecting the seller from future liability issues.

Other names

While bill of sale is a standard term, it may also be referred to as a
  • Receipt
  • Proof of purchase
  • Proof of sale

Who should use this form?

You should use a proof of sale when you need to document the sale of something between 2 parties. Either party can create the document, but It should be signed by both the buyer and seller.

What to include in a bill of sale

A bill of sale is a simple form. You should include the following information, most of which you will already know:
  • Names and addresses of all parties involved in the transaction.
  • A detailed description of the property being sold.
  • The sale price.
  • If applicable, a statement that the property is being sold as-is, or a detailed explanation of any warranty provided by the seller.
  • Dated signatures of the buyer and seller.
All of the information included in the form should be agreed upon by both parties before signing.
You may need to complete more documents to complete the transfer of legal liability for the property in question. For example, if you are selling a vehicle, you also need to complete a transfer of title. The transfer of title allows the Department of Motor Vehicles to transfer the vehicle's registration from your name to that of the new owner.

Next steps

Once you have completed the receipt, you should submit it in accordance with state law. It's also important to make sure that the buyer and seller have a copy for their records. You may keep a paper or electronic copy, or both.
There may be a small fee associated with filing the documents associated with the sale. Check the regulations in your state for details.
Depending on the property being sold, this may be one of only a few steps to complete the sale. It is also possible that it may be part of a more complex process. If you are selling a business, for example, you will likely need the assistance of an attorney to complete all the relevant documents. In that case, completion of the proof of purchase will likely come toward the end of the process, once other contingencies and details are resolved.

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