Three Types of Bill of Sale in Virginia
A bill of sale (BOS) refers to the legal instrument that proves the occurrence of a sale. At the same time, this document proves the transfer of ownership from the seller to the buyer through a monetary exchange. In other cases, the exchange is not monetary, and a trade ensues. In either case, the seller should indicate the details of the trade and also show that both parties agreed to the sale through whichever form of transaction they agree on.
In the state of Virginia, this documentation with proof of ownership may or may not need the acknowledgment of the notary public. The need for the acknowledgment by the notary public depends on the value of the item in question. Also, notarization is a matter of regulation: if the buyer must register the new asset in their name, then it is prudent that the seller and the buyer appear in front of the notary public and sign the document there.
As defined above, a bill of sale is a legal document. Like any legal instruments, the parties to the transaction get designated names to describe their roles. In this case, the recognized parties are the buyer and the seller.
What you may not know is that the seller draws the BOS by downloading a free Virginia bill of sale form.
Which BOS should you get?
Selling a car
When selling your used car, draw a BOS for motor vehicles. Recognized by Virginia's department of motor vehicles, this document legally transfers ownership rights and obligations for the vehicle from the seller to the buyer.
What does this mean? It means that if enforcement officers contact the seller and ask them to pay for parking tickets accrued by the new buyer following abandonment, the seller can refuse to take responsibility because they are not the owners of the vehicle anymore.
To make all that possible, the seller needs to populate the free bill of sale form in Virginia with all the details of the transaction and the involved parties.
What do you need to input in the BOS form for motor vehicles?
The date of the BOS's creation. The name of the buyer and the seller, and their respective physical addresses.
The vehicle's selling price in dollars with the amount written in words first then in numbers. Also, note down the date of the payment.
The terms of the sale and whether it is a cash transaction or a trade. Don't forget the terms and conditions of the sale.
Another important detail is the seller's disclosure. You may believe in the Golden Rule but, it doesn't hurt to be double check things. A seller may want to sign a seller's disclosure if he or she wishes to absolve themselves of wrongdoing. In the disclosure, you highlight all the defects of the vehicle you know and certify that the details given are to the best of your knowledge. You have to sign the disclosure.
Next, enter the details of the vehicle. That is: the VIN, year, manufacturer, make, model, color, body type, and the odometer reading.
Since proof of purchase is necessary for registration and titling of vehicles, notarization of the BOS signed and dated by the seller and the buyer is essential.
A seller needs the BOS for calculation of the sales tax unless you want to pay taxes as per NADA's trade-in value.
Note that the DMV needs the proof of purchase documentation for vehicles that are 5 years or older.
Selling or trading a gun
You will need a BOS for guns. In it, enter the seller's and buyer's details for identification, the terms of the sale or trade. Indicate the date it comes to life and when paying for the boat. Before you sign the BOS, describe the gun on sale (and one traded) by noting down its caliber, model, make, serial number, and the registration number.
Notarization is unnecessary.
Selling a Boat
Like the BOS for motor vehicles, the details of the parties to the trade matter as do the details of the transaction, including dates. Details for the type of transaction, amount of the purchase consideration (in words then numbers), and the conditions/ terms of the sale are necessary in this BOS.
However, the BOS for boats will need different information, naturally. So, enter the Hull ID, title number, the hull material, main color, year, make, model, and the odometer reading. If it goes with the trailer, indicate the make, model, length, and year. For the motor, note down the make, horsepower, and the year.
Notarization may also necessary for the boat's registration although the parties could sign off on the BOS on their own.
Which BOS do you need? Get any of our free bill of sale forms online and get it processed in any city in the state of Virginia.