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Published : Mon, Sep 17 2018 :10 PM.
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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 a Bill of Sale as evidence of the price paid for tax purposes.
As-is is an important term in 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.
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Payment: In addition to the price of the item for sale, document the form of payment and whether the final total includes sales tax. If you are trading items rather than selling them for cash, describe the transaction on the bill of sale with details about each of the items being exchanged.
Item Description: This may be simple or detailed, depending on the item for sale and state requirements. For example, when selling a vehicle, you usually need to include the vehicle identification number (VIN) and odometer reading. If you are selling a horse, you’ll need information about registration and breeding.