An Indiana trailer bill of sale is the document that transfers ownership between seller and buyer, and for trailers with a declared gross vehicle weight of 3,000 pounds or less, it is the only ownership document the Bureau of Motor Vehicles requires. Heavier trailers still need a certificate of title, and the bill of sale rides along with that title as supporting paperwork. Either way, the form has to carry a specific set of details to be accepted at the BMV counter.
When the Bill of Sale Is Enough on Its Own
Indiana Code 9-18.1-5-13 sets the dividing line at 3,000 pounds of declared gross vehicle weight. At or below that number, you register the trailer with a bill of sale and the applicable fee. No title. No title application.1Indiana General Assembly. Indiana Code 9-18.1-5-13 – Trailer Registration; Gross Vehicle Weight; Fee; Distribution of Tax
Above 3,000 pounds, Indiana treats the trailer like any other motor vehicle. The seller signs over the existing certificate of title, and the buyer applies for a new one. A bill of sale is still worth having for a heavier trailer because it documents the purchase price and protects both sides, but the title is what controls ownership.2Indiana General Assembly. Indiana Code 9-17-2-1 – Vehicles Requiring Certificates of Title; Proof of Residency; Violation
The weight that matters is the gross vehicle weight rating stamped on the manufacturer’s data plate, usually on the tongue or frame. The empty weight of the trailer is not what the statute measures.
What the Bill of Sale Must Include
The BMV will accept a bill of sale as proof of ownership only when it contains five pieces of information:
- Purchaser’s full legal name
- Vehicle description: year, make, and model of the trailer
- VIN stamped on the trailer’s frame
- Seller’s handwritten signature (not just a printed name)
- Seller’s address, residential or business
Those are the minimum elements for the document to be treated as valid.3Bureau of Motor Vehicles. Proof of Vehicle Ownership: Bill of Sale
Fill in more than the minimum anyway. The official form also has fields for the purchase price, the date of sale, and the buyer’s address. The price is what the BMV uses to calculate sales tax at registration, and the date starts the 45-day clock for registering. A blank where a number should be invites a question at the counter you would rather not answer.4Indiana Bureau of Motor Vehicles. State Form 44237 – Bill of Sale
Form 44237 and Signing
Indiana publishes an official template, State Form 44237, downloadable from the BMV website or available at any branch.4Indiana Bureau of Motor Vehicles. State Form 44237 – Bill of Sale You are not required to use it. Any written document carrying the five required elements will work. The state form is a clean one-pager that covers every field, so improvising rarely pays off.
Both parties should sign. The BMV states that a bill of sale does not need to be notarized or signed under penalties of perjury.3Bureau of Motor Vehicles. Proof of Vehicle Ownership: Bill of Sale For most small-trailer sales between people who know each other, skipping the notary is fine. On a larger sale, or one between strangers, a notarized signature adds a cheap layer of fraud protection.
Make at least two copies. The buyer brings theirs to the BMV at registration; the seller keeps theirs indefinitely as proof the trailer left their hands on a specific date.
If the Trailer Is Homemade
A home-built trailer has no manufacturer VIN, so the BMV cannot register it until the state assigns one. The process begins with a physical inspection using State Form 39530, which documents the trailer’s characteristics so the BMV can issue a new identification number.5Indiana Bureau of Motor Vehicles. Indiana Bureau of Motor Vehicles Physical Inspection of a Vehicle or Watercraft
The inspection does not have to be done by a police officer. Indiana authorizes several categories of inspectors, including police officers, licensed dealer employees, designated BMV employees, military police stationed in Indiana, and employees of qualified contractors working under agreement with the BMV commission.5Indiana Bureau of Motor Vehicles. Indiana Bureau of Motor Vehicles Physical Inspection of a Vehicle or Watercraft A call to your local branch is the fastest way to find out who handles inspections in your area. Once the VIN is assigned, you register with the bill of sale as you would for any other trailer.
Registering With the Bill of Sale
The 45-Day Deadline
Indiana requires newly acquired vehicles, trailers included, to be registered within 45 days of the purchase date on the bill of sale.6Bureau of Motor Vehicles. Registrations and Plates: Vehicle Registrations Miss the window and you owe a $30 late-title penalty or a $15 late-registration penalty, depending on which filing was overdue.7Indiana Bureau of Motor Vehicles. Fee Chart
Sales Tax
The buyer owes Indiana’s 7% sales tax on the purchase price written on the bill of sale, collected by the BMV at registration. If the trailer was a gift, the buyer generally still needs documentation showing no money changed hands; otherwise the default assumption at the counter is that tax is owed on fair market value. Narrow exemptions exist for certain family transfers and for agricultural equipment.
Permanent Registration for Lighter Trailers
Trailers at or below 3,000 pounds qualify for permanent registration at a one-time fee of $82. The registration never expires and never renews.1Indiana General Assembly. Indiana Code 9-18.1-5-13 – Trailer Registration; Gross Vehicle Weight; Fee; Distribution of Tax Heavier titled trailers follow a different registration schedule with separate fees.
What to Bring
Bring the signed bill of sale (or the signed-over title for trailers over 3,000 pounds), a valid photo ID, and payment for the registration fee and sales tax. For a homemade trailer, bring the completed inspection form with the newly assigned VIN. One trip, one stack of paperwork.
Seller’s Loose Ends
Once you hand over a signed bill of sale and take payment, your main job is holding on to your copy. For a titled trailer, pull your license plate before the buyer drives off. Indiana plates stay with the owner, not the vehicle. Cancel or transfer any insurance so you are not paying premiums on something you no longer own.