Illinois bills of sale are forms used to legally document the sale of personal property in the state of Illinois. When selling a vehicle, boat, or firearm you should use a bill of sale specifically for that purpose. An Illinois bill of sale will protect both the buyer and seller in the event of a legal dispute, so both parties should keep a copy of the document for their records.

1. Illinois Vehicle Bill of Sale

Illinois law does not require a vehicle bill of sale, which is a legal document that acts as a receipt and shows when ownership of a car switched hands, when it is purchased from an in-state dealer or individual. However, new Illinois residents who lease vehicles must submit out-of-state titles or other proof of ownership, such as a bill of sale, when they apply for a title and registration.

Benefits of Creating This Document

Though Illinois does not require a bill of sale, there are benefits to creating and keeping one for your records. Namely, it includes important information, such as the buyer’s and seller’s contact information, the date and location of the purchase, and the sale price. Maintaining a record with this information protects the seller if the buyer abandons the vehicle or fails to register and title it.

Additionally, this document serves as a receipt for the buyer, as well as a helpful document that they can refer to when they are completing their taxes. In Illinois, taxes must be paid on all vehicle sales. Taxes are based on the model year of the vehicle if the selling price is less than $15,000 or on the selling price if it is more than $15,000.

The Illinois bill of sale forms are use to change the ownership of a vehicle or vessel in Illinois. Both buyer and seller must authorize and the new owner must register and document the sale with the local Secretary of State’s office. Registration must be completed within twenty (20) days.An Illinois bill of sale form is used to record the details of a private sale between a buyer and a seller, including the transaction date, purchase price, and a description of the item. Certain transactions necessitate a bill of sale. For instance, the buyer will be required to present a signed bill of sale when applying for titling and registration in their name after purchasing a used motor vehicle. Furthermore, a bill of sale can be used to prove the purchase price when paying sales tax on used motor vehicles and boats. Firearms require a special bill of sale which the seller must keep in their records for a minimum of ten (10) years following the sale. The general bill of sale should be used for the sale of any personal property that doesn’t require registration.