Michigan Motorcycle Bill of Sale: Odometer, Title Transfer, Use Tax

A Michigan motorcycle bill of sale is the written record of a private sale, and it needs to contain the motorcycle’s full description, both parties’ names and addresses, the purchase price, the date, the odometer reading, and original signatures. Michigan doesn’t publish an official form for this, so you draft your own or use a generic template. Get it right the first time: the Secretary of State uses the document to calculate your 6% use tax and process the title transfer, and you have 15 days from the sale date to complete that transfer before a late fee applies.¹

What the Document Needs to Contain

Because there is no state-issued template, your bill of sale has to carry every detail a clerk will ask about at the counter. A document missing key information can stall the transfer.

Include all of the following:

Vehicle description: year, make, model, body style, color, and the 17-digit Vehicle Identification Number stamped on the frame. Copy the VIN exactly from the current certificate of title, since that’s what the Secretary of State matches against existing records.
Odometer reading at the time of sale, excluding tenths of a mile. Michigan law requires a written odometer disclosure before delivery.²
Full legal names and residential addresses of the buyer and seller, matching each party’s government-issued ID.
Purchase price in U.S. dollars. The state uses this figure to calculate the 6% use tax and can compare it against fair market value.³
Date of sale. This starts the 15-day title transfer clock.
Original, handwritten signatures from both parties, with printed names alongside. Notarization is not required for a standard private-sale bill of sale.

On older or modified motorcycles, sellers sometimes ask whether to record the engine number separately. Michigan’s title system tracks the frame VIN, so that’s the required identifier. If the engine has been swapped, noting the engine number on the bill of sale can help avoid later confusion, but it doesn’t replace the frame VIN.

A Note on “Form TR-121”

Many online sources call Michigan’s bill of sale “Form TR-121.” That’s wrong. TR-121 is the Vehicle Uniform Surety Bond, used when someone needs to title a vehicle without a properly assigned ownership document.⁴ There is no numbered bill of sale form for a routine private sale. Any document that carries the details above and travels with the signed title will do the job.

Odometer Disclosure

The seller must give the buyer a written odometer disclosure before handing over the motorcycle. It has to show the odometer reading and the seller’s printed name and signature. In most private sales, this disclosure is made directly on the back of the certificate of title, but it can also appear as a separate signed statement or on the bill of sale itself.²

Not every motorcycle needs one. The exemptions depend on the model year:

2010 model year or older: exempt if the transfer happens at least 10 years after January 1 of the model year.
2011 model year or newer: exempt if the transfer happens at least 20 years after January 1 of the model year.

A 2008 motorcycle sold in 2026 is exempt. A 2015 motorcycle will need odometer disclosure until at least 2035. When an exemption applies, note on the title or bill of sale that the vehicle is exempt from odometer disclosure.²

The 15-Day Title Transfer Deadline

The buyer has 15 days from the sale date to apply for the title transfer at a Secretary of State office. Missing that window adds a $15 late fee to the standard title transfer charges.¹ The bigger risk is riding an unregistered motorcycle on public roads while the deadline slips past, which can lead to a traffic citation on top of the administrative penalty.

The clock starts on the date written on the bill of sale, so record that date accurately. If you buy a motorcycle on a Friday evening and the nearest Secretary of State appointment is the following week, those days still count. Book the appointment before you buy, or right after.

Use Tax and Fees

Michigan charges 6% use tax on the purchase price of a privately sold vehicle.³ On a $5,000 motorcycle, that’s $300. The buyer pays this at the Secretary of State office during the transfer. The state can compare the reported price to fair market value, so understating the price on the bill of sale isn’t worth the exposure.

Transfers between close family members are exempt from the 6% use tax. Eligible relationships include a spouse, parent, child, sibling, stepparent, stepchild, stepsibling, half-sibling, grandparent, grandchild, in-laws, legal ward, and legally appointed guardian.¹ If the transfer qualifies, bring a bill of sale showing the relationship, and the clerk will apply the exemption.

The standard administrative charges are:

Title transfer: $15
Plate transfer: $10 if you’re moving an existing plate from another vehicle
Late fee: $15 if you miss the 15-day deadline

Registration fees are calculated separately based on the motorcycle’s attributes and are added to these amounts.

What the Seller Does After Signing

Selling isn’t finished once the money changes hands. Michigan requires the seller to remove the license plate before the buyer takes possession. The one exception is a transfer to an immediate family member, where the plate can stay on the motorcycle.⁵ Destroy the removed plate by cutting or bending it so it can’t be reused, or take it to a recycler. Leaving your plate on a motorcycle you no longer own creates ongoing liability.

Keep a copy of the signed title and the bill of sale for at least 18 months. Under Michigan law, a seller with proof of sale is not liable for damages or legal violations if the buyer fails to transfer the title.⁵ That paper trail is cheap protection against someone else’s inaction.

What the Buyer Brings to the Secretary of State

The buyer completes the transfer in person at a Secretary of State office. Bring:

The original certificate of title, properly signed over by the seller on the back
The completed bill of sale
Valid photo identification
Payment for the 6% use tax, the $15 title transfer fee, and any plate or registration fees
Proof of Michigan motorcycle liability insurance

The title application must include the owner’s name and residence, the full vehicle description with VIN and odometer reading, and information about any security interests on the motorcycle.⁶ The clerk processes the paperwork, collects the tax and fees, and issues a temporary registration document while the official title is produced and mailed.

When the Seller Can’t Produce a Title

A bill of sale alone doesn’t transfer ownership. It has to accompany a properly assigned certificate of title. If the seller can’t produce that title, the standard transfer stalls, and this happens more often with motorcycles than cars because bikes sit for years, titles get lost, or the seller never transferred it into their own name.

Michigan offers a bonded title process as the workaround, filed on Form TR-121 with related forms and a bond equal to twice the motorcycle’s value.⁴ It works, but it costs more, takes longer, and ties the vehicle up for three years while the bond runs. Before you agree to buy, confirm the seller has the original title in their name and that the VIN on the title matches the frame. Walking away from a no-title deal is almost always easier than bonding your way to clean ownership.

1
Michigan Department of State. Title Transfer and Vehicle Registration
2
Michigan Legislature. Michigan Compiled Laws 257.233a – Transfer of Title or Interest in Vehicle; Disclosure of Odometer Mileage
3
Michigan Legislature. Michigan Compiled Laws 205.93 – Use Tax Act
4
Michigan Secretary of State. Vehicle Uniform Surety Bond TR-121
5
Michigan Department of State. Buying, Selling, or Leasing
6
Michigan Legislature. Michigan Compiled Laws 257.217 – Application for Registration and Certificate of Title