Anyone who wants to buy or sell a vehicle in Virginia will need a Virginia bill of sale form or a reasonable substitute. Most states require a bill of sale in order to record a correct sale price for a vehicle so that the state can collect sales tax on that vehicle. In addition, some Virginia municipalities also collect an annual property tax based on the value of the vehicle.
When it comes to locating a bill of sale sample or template, there are many of these kinds of documents on the web available to the public. State of Virginia official DMV sources state that a bill of sale can be as informal as a handwritten note signed by the seller and the buyer for titling a vehicle, but in order to make the sale look good and provide good record-keeping, it’s helpful to have a typed, proper bill of sale form that details can be written into.
A Virginia bill of sale form needs to have the identities of the seller and the buyer represented. It also needs to include an accurate sale price for the vehicle. Although Virginia DMV sources don’t specifically request the mileage for the vehicle be recorded on the bill of sale, some of the documentation presented at the DMV must have the accurate mileage recorded. The buyer must also be able to present the basic information about the vehicle, such as the year, make, model, and vehicle identification number or VIN number. The VIN serial number for the vehicle is especially important to make sure the vehicle isn’t stolen or otherwise involved in fraud.
In many cases, insurance companies will require much of the same information up front to insure a vehicle for the road, so it’s always helpful to have the bill of sale handy, and to include the descriptive vehicle information on it. Virginia DMV sources stipulate that a Supplemental Information for Procurement of Title or SUT1 can be an appropriate substitution for a bill of sale. These forms include much of the same information provided on a detailed bill of sale.
On a typed motor bill of sale, the seller simply fills in the required information, and the buyer signs it. This document will be critical for a buyer who wants to register or title a vehicle in the state of Virginia. Additional requirements will apply to vehicles that have been imported from out-of-state or from other countries or overseas.
Buyers need to remember that any sale or transfer of a vehicle will generally require a bill of sale and corresponding documentation. Some may be tempted to “gift” vehicles within a family or otherwise transfer those vehicles in formally, but according to Virginia state law, a wide array of vehicle transfer situations require the same standard documentation if the new driver wants to be the owner named on the vehicle title and register that vehicle as its owner. Those with experience choose to use bill of sale documentation and other aspects of a formal sale to avoid getting into troublesome situations at the DMV.
