Bill of Sale Information
A Bill of Sale is also known as:
- Proof of Purchase
- Proof of Payment
- Proof of Sale
- Sales Slip
- Sales Receipt
What is a Bill of Sale?
A Bill of Sale is a form that a seller uses to document the sale of an item to a buyer. It serves as a receipt for personal sales and purchases and includes buyer and seller information and details about the goods, its location, and the price.
Both parties should fill out and retain a copy of the signed Bill of Sale as a proof of purchase or as a proof of payment.
A Bill of Sale should only be used for "as-is" purchases, when payment in full will be made once the item is exchanged. It expressly disclaims any warranties that relate to the quality or fitness of the product.
If you are looking for a contract that includes more specific terms, provides warranties or you wish to have full payment made after the item is provided, we also offer a Sales Agreement form.
What You Can Use a Bill of Sale For:
You can use a Bill of Sale form for a variety of items, such as:
- Cars, motorcycles, RVs, or other vehicles
- Appliances, tools, and exercise equipment
- Boats and other watercrafts
- Animals, including horses, cats, and dogs
- Personal property, such as bikes, clothing, and jewelery
"As-Is" in a Bill of Sale:
"As-is" is an important term on a Bill of Sale form. It means that the item was bought and sold in its current condition and that the buyer is accepting the item with all of its faults, whether they are apparent or not.
"As-is" protects the seller from having to refund the buyer for any item-related issues after it was received and paid for.
Why You Should Use a Bill of Sale:
A Bill of Sale is used to protect both the seller and the purchaser in the case of any future issues. Since many purchases and sales between individuals are transacted using cash, it can be hard to prove that an item was received or paid for without proper documentation.
A Bill of Sale acts as a receipt for both parties. The seller can use it to prove that an item was sold to the purchaser "as-is", and the buyer can use it to prove that payment in full was given to the seller. It also provides a sale date to both parties, which can show when the responsibility of the item was transferred. Both the purchaser and the seller can use it as evidence of the price paid for tax purposes.
If the item happens to be insurable, you may need to provide documentation to prove that you are the legal owner of an item, or that you are no longer in possession of the item. A Bill of Sale, if completed correctly, can be used as proof of ownership.
Who Should Use a Bill of Sale:
A Bill of Sale should be used by anyone who is looking to sell or purchase an item. This includes:
- Purchases made through buy, sell, and trade websites
- When trading vehicles or other items
- When selling or purchasing a used item
- When purchasing or selling an item through private sale
- When selling or purchasing a high-valued item
Forms Related to a Bill of Sale: