A bill of sale is your written proof that ownership of something changed hands: who sold what, to whom, for how much, and when. People reach for one most often in a private car sale, but the same bill of sale form works for a boat, a trailer, or any personal property you want a paper trail for.
Free to use. Legally binding under the ESIGN Act, UETA, and eIDAS.Updated July 2026 by Document eSign
A bill of sale is a short document that records the sale of personal property from a seller to a buyer. It captures the four things that matter later: what was sold, who was on each side, the price, and the date. It is proof that a transaction happened and evidence of the deal, but for a titled item like a car or boat it is not the thing that transfers ownership. The signed title does that, and the bill of sale is the supporting record you hand the DMV to register the vehicle. Most private sales are made as-is, meaning the seller stands behind nothing about the item's condition, and this template reflects that.
Who uses it
Private buyers and sellers in a used car, truck, or motorcycle saleSomeone selling a boat, trailer, or piece of equipmentPeople selling furniture, electronics, or other high-value personal propertyA parent gifting a vehicle to a family member who still needs a paper recordA buyer who needs the bill of sale to register the item at the DMV
What's inside
The buyer and seller names and addresses
A full description of the property, with its VIN, serial, or hull number
The purchase price, or a note that the item is a gift
The date of sale and how payment was made
An as-is clause that sells the property in its current condition, with no warranty
The seller's statement that they own it and it is free of liens
A federal odometer disclosure section for vehicle sales
Who handles taxes, title, and registration
A governing-law line and a signature block for both parties
HOW IT WORKS
From template to signed in three steps.
01
Start from the template
Open it in the editor with the fields already mapped, or download the DOCX to edit offline.
02
Add signers and send
Drop signature and date fields, then route each party in order or in parallel.
03
Get a sealed copy
Everyone signs, and you get a tamper-evident PDF plus an audit certificate.
Free forever. No credit card. Your recipients sign with no account.
The details
Everything to know before you send it.
1
How to fill it in
Most of the fields are straightforward. The two to get right are the property description and the price, because those are what a DMV or a future dispute will look at.
Buyer and seller: full legal names and current addresses.
Property: describe it clearly and add the unique identifier. For a vehicle that is the VIN plus make, model, and year; for a boat the hull number; for other property, a serial number or a clear description.
Price and date: the actual amount paid and how, and the date of sale. If it is a genuine gift, say so rather than inventing a token price.
Odometer: for a vehicle, record the exact mileage and check the box that matches. Leave this section out for non-vehicles.
Both parties sign. Keep a signed copy each.
2
What a bill of sale does, and what it doesn't
A bill of sale proves that a sale happened and on what terms. It does not, by itself, prove ownership of a titled item. For a car, boat, or trailer, ownership passes with the signed title, and the bill of sale is the backup document the buyer brings to the DMV to register and title the vehicle. For untitled property, like furniture or a musical instrument, the bill of sale is usually the main record there is. Either way, both sides should keep a copy.
3
As-is vs. a warranty
Private sales are almost always as-is. That means the seller makes no promises about the item's condition and the buyer takes it with all its faults, known and unknown. A seller can instead offer a limited warranty, for example covering a specific part for 30 days, but that is the exception, not the norm. One thing an as-is clause does not do: it does not cover fraud. A seller who hides a known problem, rolls back an odometer, or fails to disclose something the law requires, such as a salvage title, is not protected by 'as-is.' Sell honestly and the clause holds up.
4
Selling a vehicle: odometer, VIN, title, and the DMV
Vehicle sales carry extra rules. Federal law requires the seller to give the buyer a written odometer reading when ownership transfers, for most vehicles under 20 years old. That 20-year window took effect on January 1, 2021, and it applies to model-year 2011 and newer vehicles; older ones fall under the previous 10-year rule. Record the exact mileage on the bill of sale. To actually register the car, the buyer needs the bill of sale plus the properly signed title, and takes both to the state DMV. Skipping the odometer statement or leaving the VIN off is the fastest way to get a transfer bounced.
5
Sales tax and the price you write down
In most states the buyer, not the seller, owes sales or use tax on a private vehicle sale, and pays it to the DMV at registration. The price on the bill of sale is what the state uses to calculate it, with one catch: several states charge tax on the higher of the sale price or a book value. Texas uses its Standard Presumptive Value, and New York uses fair market value, so a suspiciously low number gets replaced with the state's figure. A handful of states, including Oregon, Montana, and New Hampshire, have no statewide sales tax at all. Writing a fake low price or a phony 'gift' to dodge tax is tax evasion and usually does not even work, so put down the real number.
6
Notarization and signatures
A bill of sale generally does not need to be notarized, and an electronic signature is valid on one. The exception is a small group of states that require a notarized bill of sale (or notarized title) for a motor-vehicle transfer, such as Louisiana, Maryland, Montana, and West Virginia. Because these rules change and sometimes apply to the title rather than the bill of sale, check your state's DMV before you sign if a vehicle is involved. Some states want only the buyer to sign, others want both; signing both sides is the safer habit.
7
Common mistakes
The errors that cause trouble later are easy to avoid.
Leaving the item description vague or omitting the VIN, serial, or hull number.
Forgetting the odometer reading on a vehicle that still needs one.
Writing a false low price or fake gift to cut the tax bill.
Missing a required signature or a required notarization in a state that needs one.
Assuming the bill of sale alone transfers a titled vehicle; the signed title is what does.
This template and the guidance on this page are provided for general information only and are not legal advice. Laws differ by country and state, so review the final document against your own situation and have a qualified lawyer check anything high-value or regulated before you sign.
FAQ
Questions, answered.
What is a bill of sale for?
It records that ownership of personal property passed from a seller to a buyer, and on what terms: the item, the parties, the price, and the date. It is proof the sale happened and evidence of the agreement, and for a vehicle it is the document the buyer uses to register at the DMV.
Does a bill of sale prove ownership?
Not by itself for titled property. For a car, boat, or trailer, ownership transfers with the signed title, and the bill of sale is supporting proof of the sale. For untitled items like furniture or equipment, the bill of sale is usually the main record of who owns it now.
Does a bill of sale have to be notarized?
Usually no. Most bills of sale do not need a notary, and an electronic signature is valid. A few states, though, require a notarized bill of sale or title for a vehicle sale, including Louisiana, Maryland, Montana, and West Virginia. Check your state's DMV before signing if a vehicle is involved.
What does 'as-is' mean on a bill of sale?
It means the seller makes no warranties and the buyer accepts the property in its current condition, with all faults. It is standard for private sales. But 'as-is' does not cover fraud: a seller who hides a known defect or fails to make a legally required disclosure is still on the hook.
Do I have to pay tax on a private car sale?
In most states the buyer pays sales or use tax at registration, based on the price on the bill of sale. Some states charge tax on the higher of the price or a book value; Texas uses a Standard Presumptive Value and New York uses fair market value. A few states, like Oregon and Montana, have no sales tax.
Can I write a lower price to save on tax?
No. Understating the price or faking a gift to reduce tax is tax evasion, and in the states that tax the higher of price or book value it does not even help, because they substitute their own figure. Write the real amount.
Do both the buyer and seller need to sign?
It depends on the state and the item. Some states require only the buyer's signature, others want both. Having both sign is the safer practice, since it confirms the terms for everyone. Keep a signed copy on each side.
Is a digital or handwritten bill of sale valid?
Yes. A bill of sale can be typed, handwritten, or signed electronically, and an e-signature is valid on one. What matters is that it identifies the parties and the property, states the price and date, and is signed. Using a clear template just makes sure nothing important is left out.
Live in under a minute
Ready to send your first envelope?
Create your free forever account, upload a document, and send it for signature in minutes. No credit card required.
Unlimited envelopes on Free Legally binding · global Audit trail on every document
