Tennessee Vehicle Bill of Sale
Tennessee titles a used car at the county clerk and taxes the stated price under its single-article rule.
Introduction
A Tennessee vehicle bill of sale records a private-party car sale, the parties, the vehicle, the price, the odometer reading, and the as-is terms. Tennessee does not publish an official general bill of sale form, and the Department of Revenue does not list a bill of sale among the documents needed to title a used vehicle. What conveys and titles a standard used car is the assigned certificate of title, which you surrender to your local county clerk, not a statewide DMV, with the Department of Revenue as the title authority. The detail that sets Tennessee apart is the tax. Sales and use tax is assessed on the total sales price, and under the single-article rule the 7 percent state tax applies to the full price, the local option tax applies only to the first $1,600 of the sales price, and an additional 2.75 percent state single-article tax applies to the portion of the price from $1,600 up to $3,200. Because the stated price drives the tax, a gift, below-market, or lineal-relative transfer must be documented on the Department of Revenue Affidavit of Non-Dealer Transfers of Motor Vehicles and Boats (Form RV-F1301201) or use tax is assessed on fair market value. A private-sale bill of sale is not notarized and is not required to title the vehicle. DocDraft drafts a Tennessee vehicle bill of sale from your facts, with attorney review available.
Key Things to Know
- 1
There is no official Tennessee general bill of sale form, and the Department of Revenue does not list a bill of sale among the documents required to title a used vehicle. The closest state form is the Affidavit of Non-Dealer Transfers of Motor Vehicles and Boats (Form RV-F1301201), which captures the total sales price and fair market value but is not a general-purpose bill of sale.
- 2
A Tennessee private-sale vehicle bill of sale does not need to be notarized. Tennessee titles a vehicle by surrendering the assigned certificate of title, and the title assignment itself does not require notarization. The Affidavit of Non-Dealer Transfers is signed by seller and purchaser under the penalties of perjury with signature and date lines only, with no notary block on the form.
- 3
Odometer disclosure is required where applicable as part of titling a used vehicle. Tennessee lists an odometer disclosure statement, if applicable, among titling documents, following the federal baseline under 49 CFR 580. The disclosure is part of the title-transfer process, not the bill of sale itself.
- 4
Tennessee assesses sales and use tax on the total sales price under its single-article rule. The 7 percent state tax applies to the full price, the local option tax applies only to the first $1,600 of the sales price, and an additional 2.75 percent state single-article tax applies to the portion of the price from $1,600 up to $3,200 (Tenn. Code Ann. 67-6-228). Confirm the current local rate and single-article figures with the Department of Revenue.
- 5
You title and register the vehicle at your local county clerk's office, not a statewide DMV. Current Tennessee residents obtain titles for used vehicles from the county clerk, with the Department of Revenue as the title authority. Bring the assigned certificate of title and the odometer disclosure statement, if applicable.
- 6
A bill of sale is optional and supplementary for a standard private sale in Tennessee. The assigned certificate of title transfers ownership. A Department of Revenue Affidavit of Non-Dealer Transfers is required instead only for gift, low-selling-price, or lineal-relative transfers, to document the consideration for use-tax purposes.
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The standout Tennessee rules are the county-clerk titling path and the single-article tax keyed to the stated price. Because a below-market or gift transfer is taxed on fair market value unless documented on Form RV-F1301201, the price stated on the transfer document directly drives what you owe at the county clerk window.
Key decisions before you file
Before you file a Bill of Sale in Tennessee, a few decisions shape the document: which option to choose and what each one means. The Bill of Sale guide walks through them.
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Tennessee Requirements for Bill of Sale
Tennessee does not publish an official general bill of sale form, and the Department of Revenue does not list a bill of sale among the documents required to title a used vehicle. The assigned certificate of title transfers ownership. The closest state form is the Affidavit of Non-Dealer Transfers of Motor Vehicles and Boats (Form RV-F1301201), used for gift, low-selling-price, or lineal-relative transfers.
A Tennessee private-sale vehicle bill of sale does not need to be notarized, and the title assignment itself does not require notarization. The Affidavit of Non-Dealer Transfers is signed by the seller and purchaser under the penalties of perjury with signature and date lines only, and the form carries no notary block, so signatures of the buyer and seller are sufficient.
Identify the vehicle by VIN, year, make, model, body style, and color, and identify the seller and buyer by name and address, with the sale price and the date of sale.
Tennessee lists an odometer disclosure statement, if applicable, among the documents to title a used vehicle, following the federal baseline under 49 CFR 580. The disclosure is captured in the title-transfer process rather than on the bill of sale. Confirm current exempt-vehicle rules with the Department of Revenue.
Tennessee assesses sales and use tax on the total sales price. Under the single-article rule, the 7 percent state tax applies to the full price, the local option tax applies only to the first $1,600 of the sales price, and an additional 2.75 percent state single-article tax applies to the portion of the price from $1,600 up to $3,200 (Tenn. Code Ann. 67-6-228). Confirm the current local rate and single-article figures with the Department of Revenue.
A gift, low-selling-price, or lineal-relative transfer must be documented on the Department of Revenue Affidavit of Non-Dealer Transfers of Motor Vehicles and Boats (Form RV-F1301201), or use tax is assessed on fair market value. The form captures the total sales price and the fair market value, so the price you state on the transfer document directly drives the tax.
Title and register the vehicle at your local county clerk's office, not a statewide DMV. Current Tennessee residents obtain titles for used vehicles from the county clerk, with the Department of Revenue as the title authority. Bring the assigned certificate of title and the odometer disclosure statement, if applicable.
Bring the assigned certificate of title, proof of identification and residency, the odometer disclosure statement, if applicable, and, for a gift, low-selling-price, or lineal-relative transfer, the Affidavit of Non-Dealer Transfers (Form RV-F1301201). Keep the bill of sale as supporting documentation of the price and the as-is terms.
Frequently Asked Questions
A bill of sale is optional in Tennessee for a standard private sale, not a requirement to transfer or title the vehicle. The Department of Revenue does not list a bill of sale among the documents needed to title a used vehicle; the assigned certificate of title transfers ownership. A Department of Revenue Affidavit of Non-Dealer Transfers of Motor Vehicles and Boats (Form RV-F1301201) is required instead for a gift, low-selling-price, or lineal-relative transfer to document the consideration.
No. A private-sale vehicle bill of sale in Tennessee does not need to be notarized. Tennessee titles a vehicle by surrendering the assigned certificate of title, and the title assignment itself does not require notarization. The Affidavit of Non-Dealer Transfers is signed by the seller and purchaser under the penalties of perjury with signature and date lines only, and the form carries no notary jurat. Signatures of the buyer and seller are sufficient documentation of the sale.
There is no official Tennessee general bill of sale form, and Tennessee titles through county clerks rather than a statewide DMV. The Department of Revenue does not list a bill of sale among the documents required to title a used vehicle. The closest state form is the Affidavit of Non-Dealer Transfers of Motor Vehicles and Boats (Form RV-F1301201), used for gift, low-selling-price, or lineal-relative transfers, but it is not a general-purpose bill of sale.
Tennessee assesses sales and use tax on the total sales price under its single-article rule. The 7 percent state tax applies to the full price, the local option tax applies only to the first $1,600 of the sales price, and an additional 2.75 percent state single-article tax applies to the portion of the price from $1,600 up to $3,200 (Tenn. Code Ann. 67-6-228). A gift or below-market transfer is taxed on fair market value unless documented on Form RV-F1301201. Confirm the current local rate with the Department of Revenue.
You title and register a vehicle in Tennessee at your local county clerk's office, not a statewide DMV. Current Tennessee residents obtain titles for used vehicles from the county clerk, with the Department of Revenue as the title authority. Bring the assigned certificate of title and the odometer disclosure statement, if applicable, and pay the sales or use tax computed on the total sales price under the single-article rule.
A Tennessee vehicle bill of sale should identify the seller and buyer, describe the vehicle by VIN, year, make, model, body style, and color, state the sale price, record the odometer reading and disclosure, state that the vehicle is sold as-is unless a warranty is given, and include the date of sale and both signatures. Tennessee does not require notarization. For a gift, low-selling-price, or lineal-relative transfer, also complete the Affidavit of Non-Dealer Transfers (Form RV-F1301201) when you title at the county clerk.