What Texas Requires on a Bill of Sale

Texas does not have an official state bill of sale form, but the Texas Department of Motor Vehicles publishes a suggested format that most buyers and sellers use. You can write your own bill of sale on plain paper as long as it includes the required information — the state does not reject a sale because of the form itself, only because of missing details.

A valid Texas bill of sale must show: the date of sale, the full names and addresses of both buyer and seller, a description of the vehicle (year, make, model, color, and Vehicle Identification Number), the sale price, and the odometer reading at the time of sale. If the odometer does not work or reads over 99,999 miles, you must note that on the bill of sale. Both the buyer and seller must sign and date the document.

The bill of sale is not filed with the DMV — you keep it as your record of the transaction. However, the buyer will need to bring it to the county tax assessor-collector's office when registering the vehicle, and the seller may need it if a dispute arises later.

Key Takeaways

  • Texas has no required bill of sale form, but the DMV publishes a suggested template that includes all legally necessary fields.
  • The bill of sale must show the vehicle's VIN, the sale price, the odometer reading, and the signatures of both buyer and seller.
  • You do not file the bill of sale with any state office — it stays with the buyer as proof of purchase.
  • The buyer will present the bill of sale to the county tax assessor-collector when registering the vehicle in their name.

Where to Find the Texas DMV Bill of Sale Template

The Texas Department of Motor Vehicles publishes a bill of sale form on its website under the title "Bill of Sale" — it is a one-page PDF that shows exactly what information goes in each blank. You can read it, print it, and fill it out by hand, or you can type the same information into a blank document and print that instead.

Many title services, car dealerships, and online legal document sites also offer Texas bill of sale templates. These are usually free or low-cost. The key is that whatever form you use must include all the required fields: buyer name and address, seller name and address, vehicle description, VIN, sale price, odometer reading, date, and signatures from both parties.

If you are buying or selling a vehicle privately (not through a dealer), using the official DMV template removes any question about whether you have included everything the state requires.

What Information Goes in Each Section

The vehicle description section should list the year, make, model, body style (sedan, truck, SUV, etc.), and color. This helps confirm that both parties are talking about the same car. The VIN (17-character number on the dashboard and title) must be written exactly as it appears on the current title — do not guess or abbreviate.

The sale price is the amount the buyer paid. Write the number in both digits and words (for example, "One Thousand Five Hundred Dollars ($1,500.00") to avoid confusion. If the vehicle is being given as a gift, you can write "gift" or "$0" in the price field, though some counties may ask for a statement of the vehicle's fair market value for tax purposes.

The odometer reading is the number of miles shown on the dashboard at the time of sale. If the odometer is broken or the vehicle has more than 99,999 miles, write "Odometer does not work" or "Odometer reading exceeds 99,999 miles" in that field. Both buyer and seller must initial this statement.

Signing and Dating the Bill of Sale

Both the buyer and the seller must sign the bill of sale in front of each other. Texas does not require the signatures to be notarized, though having a notary witness the signatures adds an extra layer of proof if there is ever a dispute about who owned the vehicle on what date.

The date should be the actual date the money changed hands and the keys were given to the buyer. If you sign the bill of sale on a different day than the sale occurs, use the date of the actual sale, not the date you signed the paper. Write the date in a format that is clear — for example, "January 15, 2024" rather than "1/15/24".

Print the bill of sale in duplicate so that both buyer and seller have a signed copy. Keep your copy in a safe place — the seller may need it if the buyer later claims the car was never paid for, and the buyer will need it to show the tax assessor-collector.

What Happens After You Sign the Bill of Sale

The buyer takes the bill of sale, the current title (signed over by the seller), and proof of insurance to the county tax assessor-collector's office to register the vehicle. The tax assessor-collector uses the bill of sale to confirm the sale price and calculate the sales tax owed on the purchase.

The seller should keep their copy of the bill of sale and also notify their insurance company that they no longer own the vehicle. Some sellers also file a "Notice of Sale" with the Texas DMV to protect themselves if the buyer does not register the vehicle promptly and it is later involved in an accident or crime.

The bill of sale itself does not transfer the title — only the signed title document does that. The bill of sale is the record that proves the sale happened, what was sold, and for how much.

Common Mistakes to Avoid

The most common error is leaving the VIN blank or writing it incorrectly. The VIN must match exactly what is on the current title. If you write it wrong, the tax assessor-collector may reject the paperwork and send the buyer back to get a corrected bill of sale.

Another frequent mistake is not filling in the odometer reading or not noting that it does not work. Texas law requires this field to be completed. If the odometer is broken, write that clearly and have both parties initial it — do not leave it blank.

Some sellers and buyers also forget to sign in ink or to date the document. A bill of sale with no date or signature is not legally worthless, but it raises questions about when the sale actually occurred. Always sign in pen, not pencil, and always write the date.

When You Might Need a Notarized Bill of Sale

Texas does not require a notarized bill of sale for a private vehicle sale. However, some lenders, insurance companies, or title services may ask for one if there is a question about the sale or if the buyer is financing the purchase through a third party.

If you want to have the bill of sale notarized, take it to a notary public (available at most banks, UPS stores, and title companies) along with a photo ID. The notary will watch you sign, verify your identity, and stamp the document. This costs between $5 and $15 and takes a few minutes.

A notarized bill of sale is not required to register the vehicle, but it does provide extra proof that the sale was legitimate and that both parties agreed to the terms on the date shown.

Frequently Asked Questions

Can I use a bill of sale instead of a title to sell my car?

No. The bill of sale is a record of the sale, but only the signed title document transfers ownership. You must provide both the signed title and the bill of sale to the buyer. If you have lost the title, you will need to get a replacement from the county tax assessor-collector before you can sell the vehicle.

What if the buyer and I disagree on the sale price after we sign?

The bill of sale is a binding record of what you both agreed to on that date. If there is a dispute, either party can use the bill of sale as evidence in small claims court. This is why it is important to write the price clearly and have both parties sign.

Do I need to report the sale to the Texas DMV?

No, but you can file a "Notice of Sale" with the DMV to protect yourself if the buyer does not register the vehicle right away. This removes your liability if the car is involved in an accident or crime before the new owner registers it. You can file this online through the DMV website.

What if I am selling a vehicle with a lien on it?

You must disclose the lien on the bill of sale and note the name and contact information of the lienholder. The buyer should understand that the lender must be paid off before the title can be transferred to them. Many buyers will not complete the purchase until the lien is cleared.

Can I write a bill of sale on any piece of paper?

Yes, as long as it includes all required information: buyer and seller names and addresses, vehicle description and VIN, sale price, odometer reading, date, and both signatures. Using the official DMV template is simpler and removes any doubt about whether you have included everything.