NJ Boat Bill of Sale: What to Include, Notarize, and File

An NJ boat bill of sale is the written, notarized record of a private vessel sale that the buyer uses to title and register the boat with the Motor Vehicle Commission. New Jersey accepts a notarized bill of sale as proof of ownership when no prior title is available, and the buyer has 10 working days from the purchase date to file for a title or face a $25 late penalty.¹ Get the document right the first time and the rest of the process is straightforward.

What to Put in the Document

A complete bill of sale covers three things: the people, the boat, and the money. Include the full legal names and current addresses of the buyer and seller. Describe the vessel with its make, model year, length, and Hull Identification Number. The HIN is a 12-character serial number stamped into the hull, usually on the transom or an interior structural member.² Copy it exactly. A single wrong character will hold up your title application.

Then record the date of sale and the purchase price. Both parties sign and date the document. New Jersey does not publish a mandatory bill of sale form, so any written document containing this information works.³ Free templates are fine as long as everything is accurate.

Notarization

The MVC lists a “notarized bill of sale” among the acceptable ownership documents for an initial title application.¹ Showing up with an un-notarized document is a common reason buyers get sent home. Handle the notary before your MVC visit. Banks and shipping stores typically do this for a small fee.

Both parties should keep their own signed and notarized copies. The buyer’s copy is their proof of ownership until the state issues a title. The seller’s copy proves they no longer own the boat, which matters if a lien question or accident comes up after the sale.

Filing With the MVC

The buyer applies for a new title in person at an MVC vehicle center. This cannot be done by mail. Bring:

The seller’s title, properly signed and assigned in the seller’s section. If the seller has no title (common with boats coming from states that don’t title vessels), bring their registration together with the notarized bill of sale.¹
A completed Universal Title Application, Form OS/SS-UTA, available online or at any MVC office.³
A valid driver’s license or other accepted ID.
Payment for the title fee: $60, or $85 if the boat is financed with a lien recorded on the title. Sales tax is collected at the same time.⁴

Under N.J.S.A. 12:7A-12, the buyer must submit evidence of the purchase to the MVC within 10 working days of the sale. Miss that window and you owe a $25 late penalty on top of the standard fees.¹ Once your paperwork is reviewed and payment collected, you’ll get a temporary registration receipt, and the permanent title arrives by mail.

Sales Tax

New Jersey taxes private boat sales at half the standard rate. The general sales tax is 6.625%, but boats and vessels are taxed at 3.3125%, capped at $20,000 regardless of the vessel’s price.⁵ A $10,000 boat generates $331.25 in tax. The MVC collects this along with the title fee.

The price you write on the bill of sale drives this calculation, and the Division of Taxation’s Casual Sales Unit compares the stated price against the vessel’s fair market value. An unusually low number invites a follow-up notice asking you to justify it or pay the difference.⁵ Without proof of tax paid or an applicable exemption, the state will not release the title.

Genuine gifts are exempt. The bill of sale should show the price as “GIFT,” and the MVC may ask for additional paperwork verifying the transfer.⁶ Boats acquired by an heir or trust beneficiary are also exempt. For any exemption not clearly listed on the MVC site, email Taxation.CasualSales@treas.nj.gov before your appointment to confirm.

If the Boat Has No Title or No HIN

Older used boats sometimes come with a missing title. The cleaner fix is for the seller to apply for a duplicate through the MVC using Form OS/SS-UTA and the duplicate title packet (Forms OS/SS-130) before closing the deal.⁷ It’s much easier for them to handle than for you to sort out afterward. A seller who won’t do this is worth a second look.

A homemade boat, or one whose HIN has worn away, must be physically inspected at a New Jersey State Police Marine Services Bureau office before you can apply for a title. The bureau issues a HIN inspection report that you bring to the MVC to have a number assigned.⁸ Boats that already carry a valid HIN skip this step.

The Trailer Is Separate

If the sale includes a trailer, it needs its own paperwork. New Jersey classifies boat trailers as “private utility” trailers, and the requirements turn on unladen weight:

Under 2,500 lbs. unladen: registration only, no title. The buyer needs a notarized statement from the seller listing the year, make, VIN, and purchase price, plus the seller’s last registration card.⁹
2,500 lbs. or more unladen: both title and registration. The seller assigns the title with names, addresses, signatures, date, price, and the buyer’s driver’s license number.⁹

Handle the trailer at the same MVC visit as the boat if you can. It’s easy to forget and annoying to come back for.

Coast Guard Documented Vessels

If the boat is documented with the U.S. Coast Guard, the state title process above doesn’t apply. New Jersey does not issue a title for a USCG-documented vessel because federal documentation is the ownership record. The boat still has to be registered in New Jersey if it is stored, moored, or serviced in the state on a non-transient basis, or operates in state waters for more than 180 days.¹ The bill of sale still matters for the federal transfer, but you won’t run through the MVC titling steps described here.

What the Seller Should Keep and Do

The seller signs the reverse side of the title in the seller section and gives the buyer a bill of sale showing the buyer’s name and address, the date of sale, and the sale price.¹⁰ Keep your own copy of the signed bill of sale and title assignment. That copy is your evidence that the boat was no longer yours on the date of sale if the buyer drags their feet on the transfer and something happens in the meantime. Since the buyer has only 10 working days to file, a short follow-up to confirm they finished at the MVC is a reasonable step to take.

1
New Jersey Motor Vehicle Commission. How to Get a Motorboat or Jet Ski License
2
Federal Register. Hull Identification Numbers for Recreational Vessels
3
New Jersey Motor Vehicle Commission. MVC Forms
4
New Jersey Motor Vehicle Commission. Registration and Title Fees
5
New Jersey Division of Taxation. Casual Sales
6
New Jersey Motor Vehicle Commission. Vehicles Exempt From Sales Tax
7
New Jersey Motor Vehicle Commission. Duplicate Title
8
New Jersey State Police. Boat Registration Information
9
New Jersey Motor Vehicle Commission. Trailers, House Semi-trailers and Private Utilities
10
New Jersey Motor Vehicle Commission. Transferring Vehicle Ownership