A bill of sale is the record of who sold what to whom, for how much and when. In a Texas private car sale, though, it is not the document the state asks for. The Texas Department of Motor Vehicles (TxDMV) works from the signed title and an application form, and it gives the seller one step that matters more than any bill of sale.
This page sets out what TxDMV lists for a private sale, quoted from its own guidance, and gives you a free Texas bill of sale template to keep a clean record of the deal.
The short answer
For a private-party sale, TxDMV lists two documents from the seller: “a properly signed title, including the date of sale and odometer reading” and a “signed Application for Texas Title and/or Registration (Form 130-U) with the sales price clearly shown”. It does not list a bill of sale. The seller should then file a Vehicle Transfer Notification: filed within 30 days, it means “you cannot be held responsible for parking tickets and toll violations”. The buyer has 30 days to title the vehicle.
What TxDMV asks for in a private sale
The title does the transfer. Texas expects the seller to complete the assignment on the back of the title, with the date of sale and the odometer reading, and to sign Form 130-U with the price written in. The buyer takes both to the county tax office to title and register the vehicle.
| Document | Who signs | What it does |
|---|---|---|
| Certificate of title | Seller (and buyer where indicated) | Transfers ownership. Must include the date of sale and odometer reading. |
| Form 130-U | Seller and buyer | The buyer’s application for a Texas title. The sales price must be clearly shown, because tax is worked out from it. |
| Vehicle Transfer Notification | Seller | Tells TxDMV the vehicle is sold. Filed within 30 days, it protects the seller from later parking tickets and toll violations. |
| Bill of sale | Both | Your private record of the price, date, mileage and condition. Not on TxDMV’s list for a private sale. |
The 30-day Vehicle Transfer Notification
This is the step that protects the seller. TxDMV says that when it receives a vehicle transfer notification, it “updates the motor vehicle record to show the vehicle as sold”. And: “When you file the notification within 30 days from the date of sale, you cannot be held responsible for parking tickets and toll violations”.
You can file it online through TxDMV’s vehicle transfer notification page. Have the buyer’s details and the vehicle’s VIN to hand: a bill of sale keeps them in one place.
TxDMV also tells sellers to “keep detailed written records of any transaction, including contact information for the buyer, the date of sale and information on the vehicle, including the Vehicle Identification Number (VIN)”. That is the practical reason to write a bill of sale in Texas even though the state does not ask for one: it is the written record TxDMV recommends you keep.
What the buyer has to do
- Title within 30 days. “Vehicles are required to be titled in the buyer’s name within 30 days from the date of sale.”
- Pay motor vehicle sales tax. The rate is 6.25%. For a private-party sale, the Texas Comptroller says “tax is calculated on the greater of the actual sales price or 80 percent of the SPV” (standard presumptive value). If you paid less, you can get a certified appraisal (Form 14-128) within 30 calendar days of purchase. A low price written on a bill of sale does not change that.
- Show proof of insurance. TxDMV requires “proof of liability insurance when you title and register your vehicle”.
What to put in a Texas bill of sale
- Full names, addresses and phone numbers of buyer and seller.
- The buyer’s driver license or ID number, so you can identify them later if you need to.
- Year, make, model, color and vehicle identification number, plus the title number.
- Odometer reading on the day of sale, matching what you write on the title.
- Sale price, matching Form 130-U, and the date of sale.
- An “as is” statement and any liens still on the vehicle.
- Signatures of both parties, with a copy for each.
Common mistakes
- Thinking the bill of sale replaces the title. It does not. The buyer cannot title the car without the signed title and Form 130-U.
- Not filing the transfer notification. Without it, the state’s record can still show you as the owner when the toll bills arrive.
- Different prices on different papers. Keep the price the same on the bill of sale and Form 130-U.
- Leaving the odometer reading off the title. TxDMV lists it as part of a properly signed title.
- Keeping no copy. Each side should keep a signed copy of the bill of sale.
License plates: TxDMV says “the seller has the option to remove their license plates and registration sticker from the vehicle”. Plates you do not keep or transfer must be defaced. Selling something other than a car, such as a trailer, boat or equipment? A bill of sale works the same way as a record, but the title steps above are specific to motor vehicles.
Free Texas bill of sale template
Fill it in online below, or download the 2026 Texas version in PDF or Word. It includes a checklist of the TxDMV steps that come after the sale. Nothing is uploaded and there is no signup.
Texas bill of sale: common questions
Is a bill of sale required in Texas?
TxDMV’s list for a private sale does not include one. It asks for a properly signed title with the date of sale and odometer reading, and a signed Form 130-U with the sales price. A bill of sale is still worth writing as your own record of the deal.
Does a Texas bill of sale need to be notarized?
TxDMV’s private-sale guidance does not mention notarizing a bill of sale. If a county office asks for something specific in your case, follow what they tell you.
How long does the buyer have to title the car in Texas?
Thirty days from the date of sale.
How long does the seller have to report the sale?
File the Vehicle Transfer Notification within 30 days of the sale. That is the window TxDMV gives for the protection from parking tickets and toll violations.
Can I write a lower price on the bill of sale to pay less tax?
No. For a private-party sale, tax is based on the price paid or 80% of the standard presumptive value, whichever is higher, unless you get a certified appraisal (Form 14-128) within 30 calendar days. The price must also match the one on Form 130-U.
Related
- Bill of sale rules for all 50 states + DC
- Vehicle bill of sale template
- Florida bill of sale: a 30-day seller notice backed by statute
- General bill of sale template
How this page was checked
The tax rule comes from the Texas Comptroller’s guidance on private-party purchases and standard presumptive value. Every other requirement and quotation comes from the Texas Department of Motor Vehicles’ guidance “Buying or Selling a Vehicle”, read in full on txdmv.gov, and its vehicle transfer notification service.
Last verified: October 2026. We do not advance this date without re-checking the sources. Forms, fees and tax rules are set by TxDMV and the Texas Comptroller and can change: confirm with your county tax office before you file.
LegalTemplateVault is not a law firm and does not provide legal advice. Compiled and edited by Daniel Mercer, editor of LegalTemplateVault. He is not an attorney, and neither is anyone else on this site: we compile primary sources and cite them so you can check them yourself.