What Is a Maryland Vehicle Bill of Sale?
A Maryland vehicle bill of sale(Form VR-181) is a legal document that proves a vehicle was sold and that ownership has been transferred to the new owner. It lists the buyer, seller, the sale amount, and the date of sale.
The Maryland Motor Vehicle Administration (MVA) requires a bill of sale in some cases, especially for private sales. It can be helpful during registration to determine the amount of tax owed.
Why Use a Vehicle Bill of Sale in Maryland?
The MVA recommends using a vehicle bill of sale for all private vehicle sales, even when it may not be legally required.
Having one can:
- Protect both buyer and seller if disputes around ownership and purchase price arise later
- Provide clear written proof of the sale and payment
- Make titling and registration easier
In Maryland, it is typically acceptable to create a bill of sale yourself as long as it meets the MVA requirements. You can also use a Legal Templates’s free Maryland vehicle bill of sale template that meets MVA requirements and is easy to complete.
Does a Maryland Motor Vehicle Bill of Sale Need to Be Notarized?
Yes, Maryland requires a motor vehicle bill of sale to be notarized in some instances.
According to Maryland MVA, a notarized bill of sale is required if the following two conditions are true:
- The vehicle is 7 years old or newer.
- The sale price is less than the vehicle’s book value.
In these situations, the Maryland MVA requires a notarized bill of sale to confirm the sale price and accurately calculate the excise tax. The excise tax is typically 6.5% of the vehicle’s sales price or book value, whichever is higher. If you don’t provide a notarized copy, the MVA will likely base the tax on the vehicle’s book value instead. If the sale price is within $500 of book value, notarization is usually not required, and MVA may accept the price listed on the title.
If your bill of sale needs to be notarized, you can use a Maryland notary acknowledgment form to add a valid notary section. This helps confirm that the buyer and seller signed the form willingly, making the document more official.
Sample Maryland Vehicle Bill of Sale
View a sample Maryland vehicle bill of sale template below to see how to complete your form correctly. Then, use our step-by-step questionnaire to customize your form with your vehicle details and download your completed form in PDF or Word format.
