Whether you intend to buy a vehicle, boat, firearm, horse, or trailer in Maine, it is crucial to ensure that the transaction is secure and legally binding. One way to achieve this is by drafting a Maine bill of sale that details all relevant facts related to the transaction, such as:
Mandatory Information
The parties involved, their names, addresses, and contact information
Description of the goods, their condition, and their features
The price and method of payment for the purchased goods
To confirm the validity of the bill of sale, all parties must sign it. This document serves as evidence of the transaction and protects both parties in the event of disputes or legal issues.
Maine Bill of Sale Parties
The parties involved in the transaction are commonly referred to as the seller and the buyer.
Seller
The seller is in charge of transferring ownership of the items to the buyer. The seller can be an individual or a business entity, and it may involve one or more people.
Buyer
The buyer is the party that acquires the goods from the seller in exchange for paying the price. The buyer, like the seller, can be an individual or a business entity, and it may involve one or more people.
Buyer and Seller Disclosure
When engaging in a purchase, it is essential to disclose all relevant details regarding the purchase to ensure transparency and trust between the parties.
In the case of used goods, the buyer must be accurately informed of their condition.
The addition of an "as is" clause in the bill of sale indicates that the buyer is purchasing the goods in their current condition, with all defects notified by the seller. This prevents any confusion in the future.
At the federal level, it is mandatory to include an odometer statement in the bill of sale for vehicles. This statement requires the seller to disclose the exact number of miles traveled by car, preventing fraudulent activity.
Maine Bill of Sale Description of Good
It is vital to establish clarity in a transaction by accurately identifying the goods that are being sold.
This identification process involves furnishing a detailed description of the goods, which includes their model, make, quantity, condition, production date, brand or manufacturer, and any other specific characteristics.
This enables verification that the goods have been sold according to the agreed-upon terms.
Maine Bill of Sale Purchase Price
There are a variety of accepted payment options used to seal a successful buy/sell deal. Payment, trade, and gifts are the usual methods of compensation.
#1. Payment
Payment generally involves the exchange of a monetary value for the purchased goods, which can be paid in cash, through a credit card, a bank transfer, or other means of payment.
#2. Trade
On the other hand, trade involves the exchange of goods as a form of payment, where the value of the goods is recorded on the bill of sale. When the value of the goods received is less than the value of the items sold, the buyer pays the difference in cash to cover the full transaction value.
#3. Gift
This approach is commonly used for transferring the ownership of an item within a family. This method does not require any counteraction from the buyer. However, it is essential to specify the approximate value of the gift in the bill of sale for tax purposes.
Maine Bill of Sale for Motor Vehicles (Cars) Requirements
To use a motor vehicle in Maine, you must have it registered and titled. The bill of sale serves as evidence that the transaction has been completed, and the buyer/new owner should provide it to the Maine DMV to finalize the registration and titling process.
In that case, the bill of sale should include the following details:
Mandatory Information
Parties' names, addresses, and contact information
Make, model, and production year
Plate number
Vehicle identification number (VIN)
Vehicle condition
Odometer reading
Purchase price
Signatures of the buyer and seller
Out-of-State Vehicles
It is strongly advised to complete the bill of sale when purchasing an out-of-state vehicle to avoid misunderstandings and additional charges.
Abandoned or Junk Vehicles
For vehicles that have been declared a total loss by the owner or the insurance company, Maine authorities issue a salvage certificate. Once this certificate is obtained, the vehicle can be sold or purchased.
The salvage certificate serves as proof of ownership transfer, with the transfer details being recorded on the certificate.
Vehicles Sold by Dealers
A bill of sale is required to register a vehicle purchased from a Maine dealer or a non-Maine dealer.
Vehicles Sold by Private Parties
To register a vehicle that has been bought from an individual, you must present a bill of sale that has been signed by the previous owner. The bill of sale should contain a comprehensive description of the vehicle and the sale price.
If the vehicle was purchased in a state where no title was issued for that particular year, a certified bill of sale from the last registered owner is required for registration.
Maine Bill of Sale for Boats (Vessel) Requirements
For the purchase of a ship, a sailboat, or other vessels, the buyer and seller should draft a bill of sale, sign it, and notarize it. In that case, the bill of sale should contain the following information:
Mandatory Information
Personal information about the buyer and seller
Make, model, and production year
Hull identification number (HIN)
Vessels condition statement
Any additional equipment
Purchase price
Date of purchase
The parties' signatures
Maine Bill of Sale for Firearms Requirements
Maine has made it illegal to sell firearms to individuals not permitted to possess or use them.
As a result, when buying or selling a firearm, the buyer and seller must create a bill of sale that includes their personal information and firearm details. This document will be used as proof of the transaction as well.
Maine Bill of Sale for Horses Requirements
There is no legal requirement for a bill of sale when buying or selling horses and other livestock.
Since these animals can be very valuable, it is a good idea to provide a bill of sale that includes important information like the animal's gender, age, health, and any other relevant information about the purchase.
Maine Bill of Sale for Trailers (RVs) Requirements
All recreational vehicles must be registered and titled in Maine.
The bill of sale serves as proof of the transaction and is one of the documents that must be submitted to the Maine Bureau of Motor Vehicles to get the trailer registered. It should include the following information:
Mandatory Information
Names and addresses of the buyer and seller
Identification number
Model, make, and color
Production year
Purchased price
Seller and buyer signatures
Maine Bill of Sale Other Requirements
A bill of sale can be written by the buyer and seller in any language, but the copy submitted to the Maine BMV must be in English.
Each party should keep at least one copy of the bill of sale for their personal records.
When submitting an application for title and registration, it is important to have at least one copy of the bill of sale available to include with the application.
Maine Bill of Sale Taxes
When registering a vehicle, a sales tax of 5.5% will be charged if not already paid to the dealer at the time of purchase. The sales tax amount is calculated based on the vehicle's purchase price.
If the vehicle was not purchased from a Maine dealer, it is necessary to provide proof of payment for the sales tax. The sales tax amount paid should match Maine's 5.5% rate; otherwise, the difference will be charged.
Maine Bill of Sale FAQ
A handwritten bill of sale can be legally binding if it contains all mandatory elements and is signed by the buyer and the seller.
Buyer and seller sign a bill of sale in Maine. If the buyer and seller desire further validation, they may choose to notarize the bill of sale or include witnesses. In such cases, the witnesses would be required to sign the bill of sale.
On our website, you can find customizable bill of sale templates for vehicles, vessels, firearms, trailers, and horses purchase.
A Maine bill of sale benefits both the buyer and the seller by providing a written record of the transaction. It includes important details such as the purchase price and any disclosures and guarantees.