Bill Of Sale
What is a Kentucky Bill of Sale?
If youâ€™re in the market for a used car, consider creating or obtaining a Kentucky motor vehicle bill of sale at the time of a vehicle purchase to avoid unwanted complications down the road.
A bill of sale is a legal document that proves ownership of a specific vehicle. These documents can be a generic outline that lists information about the vehicle, seller and purchaser, or your state may require that specific information be contained in the document and notarized.
The main reason for a bill of sale is to prove ownership; however, there are a number of practical and legal reasons to obtain this document. It serves as a receipt for the purchaser, and many states require that the motor vehicle bill of sale be provided to obtain a title and registration. This document cannot take the place of a car title. States that require sales and use taxes use the bill of sale to determine the amounts based on information contained in the sale document, such as make, model, year and mileage.
Is a Motor Vehicle Bill of Sale Necessary in Kentucky?
The state of Kentucky encourages both sellers and purchasers to obtain a motor vehicle bill of sale. Obtaining this bill of sale document as a purchaser allows you to prove ownership of the vehicle in the event that it is necessary. However, the seller must also provide the current title to the purchaser at the time of the sale in order for a title transfer and registration to take place. Both parties should sign the vehicle title.
Bill of Sale Information
As a purchaser or a seller, information that should appear on the DMV bill of sale include:
- The name and address of the seller and the purchaser
- Amount paid to the seller
- Accurate odometer reading
- Vehicle Identification Number (VIN)
- Make, model, year, series number, body type
- Date of sale
- Seller and purchaser signatures
It is also a good idea to have the bill of sale notarized to confirm the dates and signatures on the document.