Saskatchewan Bill of Sale for SGI Registration

Saskatchewan Bill of Sale Requirements

Additional Forms Required

• Transfer of Ownership form — the 3rd section of the Certificate of Registration (accepted in place of a bill of sale for a vehicle already registered in Saskatchewan)
• Safety inspection — only for a first Saskatchewan registration, a vehicle last registered outside Saskatchewan, or a total loss

Saskatchewan Government Insurance (SGI) registers vehicles, and the basic plate insurance comes with the registration. You deal with SGI through a motor licence issuer. When people search for an "SGI bill of sale", they usually want the paper that proves a private purchase to the issuer. The price on that paper is also where the provincial sales tax starts.

SGI says a bill of sale needs the date of sale, the buyer's name, the vehicle's year, make, model and VIN, the price paid, and the seller's name, address and signature. SGI's own one-page form, the Bill of Sale/Letter of Gift, also has a line for the buyer to sign. The vehicle is registered exactly as the names appear, so a bill of sale made out to two buyers puts the vehicle in both names. Our generator covers every item on SGI's list. It is not an official SGI form.

For a vehicle already registered in Saskatchewan, a bill of sale is one of two accepted proofs. The other is the Transfer of Ownership form, the third section of the Certificate of Registration, which the seller completes and hands to the buyer. A vehicle last registered outside Saskatchewan, or a total loss, needs both a bill of sale and an inspection.

Private buyers pay 6% provincial sales tax (PST) when they register. The issuer charges it on the higher of the bill-of-sale price or the Canadian Red Book average retail price, and SGI and its issuers are not allowed to tell you the Red Book value. If you paid less than book because of damage or high kilometres, send Saskatchewan Finance your proof: the bill of sale, the odometer reading, photos, an SGI inspection or a repair quote. Send it before you register to ask for a letter approving your price, or pay on book value and apply for a refund afterwards. GST does not generally apply to a sale between two private people.

The $5,000 rule is the main Saskatchewan quirk. A private used vehicle is PST-free only if both the price and the Red Book value are $5,000 or less. If either one is higher, PST applies to the full taxable value, not just the part above $5,000. A vehicle bought outside Canada does not qualify, and for boats, the trailer, boat and motor count as one unit even on separate bills of sale.

If Saskatchewan PST was already paid on a vehicle, it can be given tax-free to close family. That includes a spouse, parent, child, grandparent, grandchild, brother, sister or in-law. The giver writes a letter that states the gift and how you are related, and the new owner shows it to the issuer.

No inspection is needed to transfer a vehicle that is already registered in Saskatchewan and is not a total loss. One is required for a first Saskatchewan registration, a vehicle last registered in another province, or a total loss.

Plates stay with the seller. A registration ends when the vehicle is sold, so the buyer cannot drive on the seller's plate: register first, or buy a permit. Before paying, search ISC's Saskatchewan Personal Property Registry for liens and run SGI's free Saskatchewan VIN search for damage history. SGI also reminds buyers that in Saskatchewan all retail sales are final.