Free New Jersey Boat Bill of Sale
New Jersey has one of the most favorable boat tax structures in the country: 3.3125% (exactly half the standard sales tax rate), capped at $20,000 per vessel. Boats are titled at the MVC within 10 working days of purchase using the Universal Title Application (OS/SS-UTA) together with the Boat Registration Application (BA-51).
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New Jersey Boat Bill of Sale — What You Need to Know
Sales Tax Details
NJ taxes boats at half the sales tax rate — 3.3125% instead of 6.625% — and the tax is capped at $20,000 per vessel (P.L. 2015, c. 170). Private (casual) sales of boats that must be registered in NJ are taxed too.
Exemption: The 3.3125% rate is HALF the normal 6.625%. This is a deliberate boat incentive to keep NJ competitive with luxury-boat markets.
New Jersey Boat Sale — Step-by-Step Checklist
- Verify HIN on transom.
- Complete bill of sale with HIN, length, year/make, motor serial, sale price.
- Trailer separate (titled like a vehicle, full 6.625% tax).
- Seller signs the NJ boat title over to the buyer (assigns it).
- Within 10 working days, the buyer takes the assigned title, OS/SS-UTA and BA-51 to an MVC agency. The title fee is $60, or $85 if the boat is financed. Late titling carries a $25 penalty.
- Buyer pays 3.3125% boat tax (capped at $20,000) — half the standard rate.
- Canoes, kayaks and non-motorized boats under 12 ft are exempt; boats 12 ft or less and USCG-documented boats get no NJ title.
Common Pitfalls
- Paying 6.625% tax on a boat — NJ halves it to 3.3125% specifically for vessels.
- Forgetting the $20,000 cap — applies to vessels over $604,000 in value.
- Missing the 10-working-day deadline — boats titled late pay a $25 penalty. BA-51 is the registration form; the title itself goes on the Universal Title Application (OS/SS-UTA).
Pro Tip
NJ boats: same MVC, two forms (OS/SS-UTA for the title, BA-51 for registration), 10 working days to title, half the tax rate (3.3125%), and tax capped at $20,000. One of the best states for boat buyers.