Important Terms for a Bill of Sale
- Location: This specifies where the item is being sold, which can be especially important if the item is in a different state.
- Seller: This is the person receiving the item. This area contains their name and details, as well as details for any other sellers.
- Buyer: This specifies the buyer’s information and can list any additional buyers.
- Sales tax: This specifies whether sales tax will be included, how much it will be, and whether or not sales tax is included in the price.
- As-is: This term means that the buyer is agreeing to purchase the item in its current state at the time of sale. By signing a bill of sale agreeing to purchase something as-is, the buyer is agreeing that they’ve had the opportunity to inspect the item and found it to their satisfaction.
- Gift: This identifies whether the item is being sold as a gift to the recipient, which will be important for tax purposes the following year.
- Trade-in: In the event one item is being traded for another, this section of the bill of sale will verify that the two items are equal in value.
1. Nevada Bill of Sale Requirements
While drafting a bill of sale is good standard practice for the purchase of many big-ticket items, it is required for the purchase of boats or motor vehicles in the state of Nevada. You can use the form the state of Nevada provides, or you can draft your own.
If you do decide to draft your own bill of sale, be aware that there are a number of requirements you need to satisfy in the state of Nevada.
Why Use a Bill of Sale?
Besides satisfying state legal requirements, a bill of sale can prove useful for several other reasons. It provides proof of ownership for the buyer, which can help avoid legal disputes. For the seller, a bill of sale can protect them from liability concerns over how an item is used after sale.
You may create your own bill of sale in any language you choose, but bill of sale forms from the Nevada government are only provided in English. You may have these forms translated by an interpreter, but the interpreter must be certified by the state. Certified translations will be accepted to meet Nevada’s legal requirements.
If you have trouble finding the right state-certified translator for your bill of sale, Nevada maintains an online directory of approved translators.
Number of Copies
It’s a legal requirement to provide a copy of the bill of sale for a motor vehicle transaction to the state Department of Motor Vehicles (DMV). The buyer and seller will also want to retain a copy, so a total of three copies would be required in these cases.
For all other transactions, it’s enough for the buyer and the seller to each keep a copy.
In Nevada, totaled vehicles are issued a salvage title and may not be sold or registered until the vehicle is inspected by a licensed garage or body shop and the Nevada DMV. It is the owner’s responsibility to complete the inspection before the sale. Improperly selling a salvage vehicle can be a serious felony offense.
After Purchasing a Vehicle
The bill of sale is not enough to complete a vehicle transfer in Nevada. Several additional documents are required before the transaction is official.
If You’re the Seller
Sellers must provide the vehicle title to the buyer. If the title has been lost or the vehicle is older than nine years, Nevada residents can apply for a duplicate title and submit the bill of sale in lieu of it.
In Nevada, vehicle sellers keep their license plates and either use them on another vehicle or turn them in for cancellation — within 60 days of the sale for standard-issue plates or within 30 days for special plates.
Sellers must also notify the DMV of the sale. They will also need to note the location of the sale since it is illegal to sell a vehicle on an empty lot in Nevada. The DMV recommends private party sales be completed at a residence.
Subleasing and “take over payments” arrangements are also illegal; all loans and liens on the vehicle must be satisfied before the vehicle can be sold.
In Nevada, it is illegal to sell more than three personally-owned vehicles per year without a dealer’s license.
If You’re the Buyer
Buyers have 30 days to title and register their new vehicles in Nevada. To complete the registration process, buyers must provide a:
- Vehicle title
- Bill of sale
- Proof of insurance and movement permit
- Registration and titling fees
- Nevada Evidence of Insurance
- Nevada Emission Vehicle Inspection Report
- Vehicle Identification Number Inspection
- Current Odometer Reading
Buyers in Nevada do not need to pay sales tax on their vehicles.
2. Nevada Car (Vehicle) Bill of Sale
It’s important to get or give a bill of sale when buying or selling an automobile in Nevada to avoid being defrauded during the process. The State of Nevada provides an official summary of the buyer and seller responsibilities.
While the bill of sale doesn’t constitute ownership on its own, it does provide proof of transfer of the title. This proof is helpful for your records and important for resolving tax issues or dealing with legal recourse. You can find the official template for a motor vehicle bill of sale here.
3. Nevada Boat Bill of Sale
Boat or vessel bills of sale in the state of Nevada include statements from the seller about the vessel’s condition, details about the machine specifics of the vessel, and personal information about both parties in the transaction.
To register a vessel with the Nevada Department of Wildlife, you will need to provide the bill of sale, proof of sales tax, Manufacturer’s Statement of Origin (MSO) or inspection, your social security number, and fee payment.
4. Nevada Firearm Bill of Sale
In Nevada, both the buyer and seller will have to provide their driver’s license numbers in addition to their names and addresses in order for the state to maintain a record of firearm sales. Firearm bills of sale also include information about the firearm and the details of the transaction, including sale price and date of delivery.
It is highly recommended that all firearm transactions produce a bill of sale to have an accurate record of where and when the firearm was purchased. It is illegal under federal law for Nevada residents to sell firearms outside of the State of Nevada.
5. Nevada Horse or Livestock Bill of Sale
A bill of sale is not a legal document for buying or selling livestock in Nevada. All bovine and equine livestock requires a brand inspection for any change of ownership, regardless of purpose. The Nevada Department of Agriculture has more information about buying and selling livestock in the state on their website.
6. Nevada General Bill of Sale
A general bill of sale is used to prove the purchase of any non-regulated item. The information required is often the bare minimum information that is required on any bill of sale:
- Purchase price
- Contact information