A Georgia bill of sale is a document that records the sale of personal property between the buyer and the seller.
The bill of sale includes:
Information about the buyer and the seller
Details about the transferred item
Purchase price of the item
Date and place of transaction
Signatures of the buyer and seller
Some states provide the bill of sale forms, especially for vehicle registration, while others leave it to the parties to draft the bill of sale. The form for the bill of sale is not very strict in most states, and the parties are free to include additional clauses and disclosures. The bill of sale is valid as long as the necessary information is provided.
Georgia Bill of Sale Parties
The main parties to the bill of sale are the buyer and the seller. To add additional authenticity to the bill of sale, the parties can also agree to have additional witnesses sign the document.
This is the person who is transferring ownership of their personal property to the buyer. In the bill of sale, they can be named the transferor. In some cases, there can be more than one seller.
A buyer is a person purchasing an item from a seller. In the bill of sale, they can also be named as the transferee.
Buyer and Seller Disclosure
The buyer and seller can add additional disclosures to limit liability and prevent future disputes. In some cases, mandatory disclosures must be included in the bill of sale, like the odometer disclosure with the motor vehicle purchase.
The bill of sale often has an “as is” disclosure. This means the buyer agrees to buy the item with all its damages and flaws. The “as is” condition is not valid for the hidden damages or the damages and flaws the seller lied about.
Georgia Bill of Sale Description of Goods
This section includes all the relevant information about the transferred item. The information included in the bill of sale differs from the item type.
If the transferred item is a motor vehicle, the description section will include the following:
Make, model, and production year of the motor vehicle
Body type and color
Vehicle identification number (VIN)
Description of any damages to the vehicle
Regarding other types of items, the seller should provide any information that will individualize the transferred item. The description should include any serial number related to the purchased item.
The bill of sale should include a detailed description of any damages the item has. This prevents the seller from being liable for any future claims from the buyer.
Georgia Bill of Sale Purchase Price
After you have defined the obligation of the seller, it is important to define the buyer's obligation, which is to pay the purchase price. Below are the three main ways to outline the buyer's obligation.
This is the most commonly used way. The buyer will pay the purchase price to the seller using cash, a check, a credit card, or a bank transfer.
In this scenario, the buyer will pay a certain amount and transfer ownership of the item to the seller. This way, the amount the buyer needs to pay represents the difference in value between the item the seller is transferring to the buyer and the item the buyer is transferring to the seller.
If the item is transferred as a gift, the buyer doesn’t have any obligation to receive the item. This is often used to transfer ownership of an item between members of the same family.
Georgia Bill of Sale for Motor Vehicles (Cars) Requirements
The Georgia Department of Revenue provides all the information for motor vehicle registration in Georgia. Additionally, they provide guidelines regarding the bill of sale for the vehicle ownership transfer.
If you have purchased a motor vehicle outside of Georgia, you will have to register your vehicle with the local County Tag Office.
Abandoned or Junk Vehicles
Many owners of unusable cars choose to sell or give them to salvage yards. In this case, you can use the regular bill of sale.
Vehicles Sold by Dealers
Although the state of Georgia doesn’t require a bill of sale for motor vehicle registration, many dealers will provide it for record-keeping purposes.
Vehicles Sold by Private Parties
If the private parties are transferring ownership of the vehicle, they should sign the bill of sale to limit the seller's liability and provide proof of purchase for the buyer.
Georgia Bill of Sale for Boats (Vessel) Requirements
Georgia requires the registration of all mechanically propelled vessels and sailboats over twelve feet long. Therefore, you should have a bill of sale that includes the following:
Name and contact details of the buyer and the seller
The vessel’s make, model, length, and year of production
Hull identification number (HIN)
Details about any damages or additional equipment that comes with the vessel
The application, together with the bill of sale, should be submitted to the Department of Natural Resources.
Georgia Bill of Sale for Firearms Requirements
When transferring gun ownership, the seller shall issue a bill of sale to avoid liability if the gun is used illegally after the purchase.
Georgia Bill of Sale for Horses Requirements
The bill of sale for a horse should include the following:
Information about the buyer and seller
Name and breed of the horse
Horse’s age and gender
Registration number (if applicable)
Any details that will affect the price, like chronic diseases
Georgia Bill of Sale for Trailers (RVs) Requirements
The trailers in Georgia must be registered. Therefore, the seller and the buyer shall make a bill of sale for the new owner to register the trailer in their name.
Georgia Bill of Sale Other Requirements
The seller and the buyer are free to enter any information in their bill of sale as long as the necessary elements required by the local DMV are included.
The bill of sale can be drafted in any language that the parties understand. However, when submitting the bill of sale to the DMV, it should be drafted in English or accompanied by the official English translation.
It is customary that both the seller and the buyer get one copy of the bill of sale each. For example, if the item being transferred needs to be registered, at least one copy should be given to the organization doing the registration.
Georgia Bill of Sale Taxes
For the vehicle transfer, the state of Georgia requires the seller to disclose the Georgia Tax Identification Number and Georgia Sales Tax Number in the bill of sale.
If the vehicle requires a title, the Title Ad Valorem Tax (TAVT) must be paid, based on the vehicle value. The trailers are not subject to the Ad Valorem Tax.
Georgia Bill of Sale FAQ
Yes, the parties can also draft a handwritten bill of sale as long as it has all the details about the seller and the buyer, the information about the item, and the purchase price included.
Both the seller and the buyer must sign the bill of sale in Georgia. Although not required, a notary can sign the bill of sale if the parties wish to secure the authenticity of the document.
In Georgia, you can write the bill of sale yourself or download one of the templates available on our website. You can choose from many different templates based on the type of item that is being transferred.
All the parties to the bill of sale benefit from it. By issuing the bill of sale, the seller will limit their liability after the item leaves their possession. On the other hand, the buyer will have proof of obtaining ownership over the item.