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Free Michigan Vehicle Bill of Sale

A Michigan vehicle bill of sale documents the transfer of a car, truck, or motorcycle between private parties. While the signed title is the legal proof of ownership transfer, the bill of sale (Form TR-12 or equivalent) records the price, date, and odometer reading the SOS branch needs to assess 6% use tax and issue a new title under your name within the 15-day window.

Michigan Requirements: Transfer title within 15 days. 6% sales tax.

Seller Information

Buyer Information

Vehicle Details

Sale Information

Condition & Warranty

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Michigan Vehicle Bill of Sale — What You Need to Know

Primary Form
Michigan Bill of Sale
Agency
Michigan Secretary of State
Primary ID Field
VIN
Sales Tax
0.06%
Title Required
Yes
Seller signs the title over to the buyer; buyer must apply for a new title and registration at a Michigan SOS branch within 15 days of the sale using Form TR-11L. Late transfers trigger title late fees.
Inspection
Not required

Sales Tax Details

Michigan charges a flat 6% state sales tax (use tax) on the purchase price at titling. Michigan has no local vehicle sales tax add-ons, so the rate is the same statewide.

Exemption: Transfers between spouses, parents, children, siblings, stepchildren, grandparents, and grandchildren are exempt from the 6% use tax with proper documentation submitted at the SOS branch.

Inspection Requirements

Michigan does not require any state safety inspection or emissions test for vehicle transfer or registration. Even Detroit and the metro area have no emissions program, making MI unusual among populous states. A VIN verification may be required only on out-of-state vehicles or rebuilt-salvage titles.

Registration

Registration for this vehicle type is handled by Michigan Secretary of State (Michigan SOS) — not the same agency that handles cars in Michigan. Plan for separate filings.

Michigan Vehicle Sale — Step-by-Step Checklist

  1. Complete Form TR-12 (Michigan Bill of Sale) with full names and addresses of buyer and seller
  2. Record VIN, year, make, model, body style, and odometer reading on the date of sale
  3. List the actual purchase price — the SOS will compute 6% use tax from this figure
  4. Have the seller sign the title assignment on the back of the Michigan title
  5. Buyer takes title, bill of sale, ID, and proof of insurance to any SOS branch within 15 days
  6. Complete Form TR-11L (Application for Title and Registration) at the branch
  7. Pay 6% use tax, title fee, registration (plate) fee, and any transfer fees

Common Pitfalls

  • Missing the 15-day deadline — late title transfers incur late fees and complicate registration
  • Underreporting the purchase price — SOS may compare to market value and reassess use tax
  • Forgetting the odometer disclosure on title and bill of sale (federally required for vehicles under 20 years old)
  • Buyer driving without insurance — Michigan requires no-fault insurance before plates issue
  • Assuming family transfers are automatically exempt — you must show relationship at the SOS counter or tax will be charged

Pro Tip

A Michigan bill of sale plus a properly assigned title gets you to the SOS counter ready to pay 6% use tax and walk out with plates the same day — provided you do it within 15 days of the sale.

Michigan Vehicle Bill of Sale — FAQs

Do I need to use Michigan Form TR-12 specifically?
No. Michigan accepts any bill of sale that includes the buyer and seller names and addresses, vehicle description, VIN, sale date, purchase price, odometer reading, and both signatures. Form TR-12 is simply the SOS-provided template that guarantees nothing is missing. Using a custom or generic form is fine as long as those elements are present, because the SOS branch only needs the data to compute 6% use tax and issue a new title.
How long do I have to transfer the title in Michigan?
Michigan law requires the buyer to apply for a new title and registration within 15 days of the sale date listed on the bill of sale. Miss the window and the SOS charges a late title fee on top of the standard $15 title fee, plus you cannot legally drive the vehicle without current registration. If you bought from a dealer, the dealer typically handles titling for you, but private-party buyers must walk into an SOS branch themselves.
Does Michigan require a vehicle inspection before sale or registration?
No. Michigan is one of the few populous states with no statewide safety inspection and no emissions inspection program — even Detroit and Wayne County are exempt. The only inspection scenarios are a TR-54 VIN verification for vehicles titled out of state and a more intensive rebuilt-salvage inspection if the title carries that brand. For standard in-state private sales, you can transfer ownership with no inspection paperwork.
Are family vehicle transfers exempt from Michigan use tax?
Yes, but only for specific relationships. Michigan exempts the 6% use tax on transfers between spouses, parents and children, siblings, stepchildren, grandparents, and grandchildren. You must declare the relationship on Form TR-11L at the SOS branch and may need to show ID confirming the relationship. Cousins, in-laws, aunts, and uncles do not qualify and will pay 6% on the purchase price or the SOS-determined market value, whichever the branch applies.