Arkansas Form 10-313 — Bill of Sale

About Form 10-313

Official name: Arkansas Form 10-313 — Bill of Sale

Issued by: Arkansas Department of Finance and Administration — Revenue Division

Purpose: Documents a private vehicle sale for Arkansas title transfer and records the price, any trade-in and the odometer reading that the revenue office uses to work out the sales tax.

When required: Required: the DFA lists a bill of sale with the VIN, date of sale, purchase amount, and signatures of seller and buyer among the documents needed to register at a revenue office. The buyer has 60 days from the date of purchase.

Form 10-313, Form 10-381, and the credit form

Arkansas has more than one form with "bill of sale" in the name. Form 10-313 is the State of Arkansas Vehicle Bill of Sale/Odometer Disclosure Statement, the one to fill out at a private sale.

Form 10-381 is the Revenue Division's Vehicle Registration Application, dated 12-30-2019; the DFA forms page lists it as the application for title or replacement title. Its lower half has boxes for the fees, the sales tax receipt number and the revenue agent, and the owner signs at the bottom.

A third form, the Bill of Sale (Credit for Vehicle Sold), is only for claiming a tax credit when you sell another vehicle. It is explained below.

What Form 10-313 asks for

• Section 1: the VIN.
• Section 2: the buyer's name and address, with a box to tick for multiple owners. A company buyer skips to Section 3 for the company name and address.
• Section 4: the dealer's or seller's name and address. Section 5: the purchase date.
• Section 6: the make, model, year and colors of the vehicle, plus the make, model, year and VIN of any trade-in.
• Section 7: the odometer reading with no tenths, and whether it exceeds mechanical limits or is not the actual mileage.
• Section 8: the full sales price, less any trade-in, the net taxable amount, and the printed names and signatures of seller and buyer.
• Section 9 warns that trying to evade the tax is a felony. The form has no notary section and may be copied as long as its format and wording stay the same.

What to bring to the revenue office

• The current title, signed by the seller and the buyer. The seller prints the buyer's name in the assignment section on the back.
• A bill of sale with the VIN, date of sale, purchase amount, and the signatures of seller and buyer.
• A current-year personal property assessment listing the vehicle, and proof that your personal property tax is paid.
• Insurance on the VIN that meets Arkansas liability rules, and the fees. A lien contract is needed if you are making payments.

How much sales tax a used vehicle pays

• Under $4,000: no tax is collected.
• $4,000 up to $10,000: a reduced state rate of 3.5% on the gross price. Local tax is not reduced.
• $10,000 or more: 6.5%.
• The rate follows the date of sale, not the date you register. The reduced rates apply to purchases on or after January 1, 2022.
• You have 60 days from the purchase to register. After that, add a 10% penalty on the tax due, plus $3 for each 10 days the vehicle stays unregistered.

The credit when you sell your old vehicle

• If you sell a used vehicle, trailer or semitrailer within 60 days before or after buying one, the tax on the new purchase is worked out as if you had traded the old one in.
• Both the seller and the buyer of the old vehicle sign the DFA's Bill of Sale (Credit for Vehicle Sold). Show a copy at the revenue office when you register.
• Only a person named on the old vehicle's title can take the credit. An insurance settlement does not count as a sale.
• If you sell the old vehicle after registering the new one, ask the revenue office for a refund claim form and include a copy of the bill of sale.

What to Include in an Arkansas Bill of Sale

A complete bill of sale usually includes:

• Seller name, address, phone
• Buyer name, address, phone
• Year, make, model, color
• VIN
• Odometer reading
• Sale price
• Date of sale
• Seller and buyer signatures