Let’s say you are selling your boat to a prospective buyer. a bill of sale act as proof.īecause of this, the bill of sale serves as a legal contract between the buyer and the seller and is recognized as such by the courts as long as it conforms to the specific state requirements in which it was enacted. The bill of sale is frequently used to transfer the title to ownership of items and in all those transactions which required proof of the transfer of goods. The bill of sale can be used for tax reporting, accounting and insurance purposes. It is the seller that typically produces the document and both the parties involved in the transaction can gain protection from the document. Signatures of the seller, of the buyer, and of a notary public.Guarantee that the item is free from all claims and offsets.Description of the assets being transferred.Amount paid for the transfer of ownership.Name and address of the seller and of buyer.

Generally, a bill of sale includes the following information: are some of the common names of a bill of sale. Tax Invoice, Bill of Supply, Invoice, Bill etc. It is used for transactions which involve a transfer of ownership of movable and tangible goods.

It is a document that records the transfer of ownership from one person to another which signifies that the goods have been sold to another person. What is Bill of Sale?Ī bill of sale is a legal document that serves as proof of sale and purchase transaction. In order to prove ownership, the bill of sale was developed to confirm that a seller did indeed transfer ownership of their goods to the buyer. Since time individuals began buying and selling goods to one another, there has been a need to document ownership of the goods as it changed hands.

Basic used car bill of sale