A bill of sale is generally prepared for documenting the transfer or the sale of the ownership of a product, vehicle, or any other valuable property. It is an exceptionally important document if the transaction is needed by state law to be registered for tax purposes. It is a document that is also used in the form of a service agreement, especially as proof of the work scope that parties undertook to deliver. Writing a perfect bill of sale is not easy. The bill of sale that you make needs to be created effectively to document the transaction and protect an individual from any problems. You will learn how to fill out a bill of sale PDF form perfectly only when you are aware of the important information to be included in the document. Apart from this, there are even some optional points that also need to be considered.
Things to Consider Before Making a Bill of Sale
Before making a bill of sale, it is necessary to think about the main reasons behind the use of this document. This will help you understand the things or the points to include in the document. Always remember that a bill of sale is a kind of written record of a transaction. It shows that something was sold at a certain price and in a certain condition agreed by both the buyer and the seller. Getting every single point of transaction in writing helps avoid all sorts of discrepancies arising post-sales.
Points to be included in a bill of sale
If you are planning to make a proper bill of sale on your own, it is suggested that you include the points that have been mentioned below:
Details of the product being sold. If the product is a property, you must mention the measurements and the special attributes of the property. If it is a vehicle, mention the make, model, and the vehicle's year of manufacture. You must also include the condition of the vehicle in your bill of sale document. Besides those details, please also include the:
- Sale price
- Date of transaction
- Names and contact addresses of the seller and the buyer
- Statement from the seller proving the legal ownership of the product being sold
- Statement from the seller proving that there are no debts outstanding on the item sold
- Signatures of the seller and the buyer
There are some bill of sale forms containing a separate section for a notary public to put in their details. A notary public is an individual who is legally empowered to witness signatures. They also have the right to certify the validity of documents. These are generally police officers or justices. However, this is just an optional procedure and is usually not required for the bill of sale form to be fully effective.