A Minnesota bill of sale is a written record of a private-party transfer of personal property, signed by the buyer and seller, that identifies both parties, describes the item, and states the purchase price and date. You’ll need one when transferring a non-titled watercraft, when a vehicle’s certificate of title is missing or damaged, or any time you want written proof of a private sale. Getting the required details right keeps your title transfer or registration from stalling at the deputy registrar’s office.
When You Need One
Motor Vehicles
For most private car sales in Minnesota, the certificate of title itself is the primary transfer document. The seller signs the assignment area on the back, and the buyer uses that signed title to apply for a new one. A separate bill of sale becomes essential when the title is missing, damaged, or doesn’t have enough space for the assignment. In those situations, it provides the written proof DVS needs to process the transfer alongside any replacement-title paperwork.
Even with a clean title, drafting a bill of sale is smart practice. It creates a record of the purchase price, which drives the sales tax calculation, and it protects both parties if a dispute later arises about what was agreed.
Watercraft
The Minnesota Department of Natural Resources requires a bill of sale for non-titled watercraft and recreational vehicles changing hands between private parties. The DNR specifies that the document must include the year, make, Hull Identification Number (HIN), registration number, the seller’s printed name and signature, the date of sale, and the purchase amount.1Minnesota Department of Natural Resources. Watercraft Licenses – Registration Procedures and Fees A handwritten version is acceptable, though DNR forms are stocked at deputy registrar offices.
After the transfer, the new owner must notify the DNR commissioner of the ownership change within 15 days. Miss that deadline and the watercraft license can be terminated.2Minnesota Office of the Revisor of Statutes. Minnesota Code 86B.401 – Watercraft Licenses
Other Personal Property
Minnesota doesn’t require a bill of sale for everyday items like furniture or electronics, but writing one up for anything of real value is worth the five minutes. Firearms, ATVs, farm equipment, livestock — a written record protects you if the buyer later claims the item was stolen or defective. No special form is needed. A simple document identifying both parties, describing the item, stating the price, and carrying both signatures is enough.
What to Include
The details differ depending on what you’re selling, but every Minnesota bill of sale should cover the same basics:
- Full legal names and addresses of both buyer and seller, so DVS or the DNR can match the document to the right people.
- A description of the property. For motor vehicles: year, make, model, color, and 17-digit Vehicle Identification Number (VIN). For watercraft: year, make, length, HIN, and registration number. For other property, enough detail that the item couldn’t be confused with something similar.
- The exact purchase price in dollars. This figure determines how much sales tax the buyer owes.
- The date of sale, which starts the clock on the seller’s notice obligations and the buyer’s title-transfer deadline.
- Signatures of both buyer and seller. Without both, DVS and the DNR may reject the document.
DVS provides standardized forms on its website, and deputy registrar offices stock paper copies. Using an official template reduces the chance of missing a required field, but a neatly prepared document you draft yourself is equally valid as long as it covers everything above.
Does It Need to Be Notarized
No. Minnesota does not require a bill of sale to be notarized for standard vehicle or watercraft transactions. The one exception involves gift transfers, where the Motor Vehicle Gift Affidavit (Form PS2080) must be signed before a notary or deputy registrar.3Brainerd License Office. Motor Vehicle Gift Affidavit Form PS2080
Odometer Disclosure
Minnesota law requires the seller to disclose the vehicle’s true mileage during any transfer of ownership. The disclosure must state either the actual odometer reading or, if the seller knows the reading is inaccurate, that the true mileage is unknown. Knowingly providing a false mileage statement violates state law.4Minnesota Office of the Revisor of Statutes. Minnesota Code 325E.15 – Transfer of Motor Vehicle Mileage Disclosure
Minnesota adopts the federal odometer regulations by reference. Under those rules, any vehicle with a model year of 2011 or newer requires odometer disclosure on transfer for 20 years from the model year. Vehicles from model year 2010 or older follow the previous 10-year rule and are already exempt.5National Highway Traffic Safety Administration. Consumer Alert – Changes to Odometer Disclosure Requirements In practice, the reading goes on the certificate of title in the space provided, but noting the mileage on the bill of sale as well gives you an extra layer of protection.
What the Seller Must Do After the Sale
Handing over the keys and signed title isn’t the end of it. Minnesota law requires two more steps.
Within 10 days of the sale, the seller must complete and return the “Notice of Sale” portion of the certificate of title to DVS, or submit the same information electronically. The notice must include the buyer’s name, address, driver’s license number, and the date of sale.6Minnesota Office of the Revisor of Statutes. Minnesota Code 168A.10 – Transfer of Interest by Owner DVS runs an online portal where you can mark the vehicle as sold, donated, or removed from the state.7Minnesota Department of Public Safety. Vehicle Title Report Vehicle Sold, Donated or Removed From State
The seller must also deliver the signed certificate of title to the buyer immediately after signing the assignment. The buyer needs the physical title to apply for a new one.
Don’t skip the Notice of Sale. Until DVS knows the vehicle changed hands, the registration stays in your name, and parking tickets, towing fees, and any legal issues tied to the vehicle can land on you. Filing the notice cuts that liability.
What the Buyer Must Do After the Sale
The buyer has 20 calendar days from the date of title assignment to apply for a new certificate of title. Apply at any deputy registrar office or mail the documents to DVS. Miss the 20-day window and DVS will suspend the vehicle’s registration.6Minnesota Office of the Revisor of Statutes. Minnesota Code 168A.10 – Transfer of Interest by Owner
Bring the signed certificate of title with the seller’s completed assignment, the bill of sale, proof of insurance, and payment for the fees and taxes owed. If the title is missing, the process takes longer because a replacement or bonded title may be required first.
Sales Tax and Fees
Minnesota charges 6.875% sales tax on the purchase price of a motor vehicle, including private sales.8Minnesota Department of Revenue. Motor Vehicle Sales The taxable price includes the vehicle price and any charges for accessories or labor like rustproofing, minus any trade-in allowance. This is why the price on your bill of sale carries so much weight — it directly determines the buyer’s tax bill.
On top of sales tax, a buyer transferring a titled vehicle should expect roughly $36 in administrative charges, made up of an $8.25 title fee, a $10 transfer tax, a $12 filing fee, a $3.50 Public Safety Vehicle fee, a $2.25 technology surcharge, and $2 per lien recorded.9Minnesota Department of Public Safety. Buying or Selling a Motor Vehicle – Just the Facts These are collected at the deputy registrar office when the buyer applies for the new title. Watercraft registration fees follow a separate DNR schedule based on vessel length.
Gift Transfers
When a vehicle is given as a gift rather than sold, Minnesota exempts the transfer from sales tax. To claim the exemption, both parties must complete Motor Vehicle Gift Affidavit Form PS2080, stating that no money or other consideration changed hands. The affidavit must be signed in front of a notary or deputy registrar.3Brainerd License Office. Motor Vehicle Gift Affidavit Form PS2080 Filing a false gift affidavit to dodge sales tax is a gross misdemeanor, or a felony if the tax owed exceeds $300.
The gift affidavit doesn’t replace the title assignment. The seller still signs the title over, and the recipient still applies for a new certificate within 20 days. If the vehicle’s fair market value exceeds $19,000, the gift may also trigger federal gift-tax reporting for the giver, though tax is typically only owed if the giver has exceeded their lifetime exemption.10Internal Revenue Service. IRS Releases Tax Inflation Adjustments for Tax Year 2026