A New Jersey general bill of sale documents the sale of personal property that the state does not title — power tools, electronics, appliances, furniture, jewelry, art, equipment, livestock other than horses, and any other tangible item. It establishes the chain of ownership, locks in price and condition, and protects both parties if the buyer later disputes the deal or the item is recovered after a theft. NJ's 6.625% sales tax mostly skips one-off casual sales between private individuals, but business sellers and high-value items deserve closer attention.
A general bill of sale works for furniture, tools, equipment, or any personal property — but only if written correctly. Our step-by-step guide shows exactly what language to include so the document holds up if there is ever a dispute. Read: How to Write a Bill of Sale (Step-by-Step) →
New Jersey General Bill of Sale — What You Need to Know
A general bill of sale covers items that NJ does not title — appliances, electronics, furniture, tools, jewelry, livestock other than horses, equipment, and personal property. Titled property (motor vehicles, RVs, ATVs, boats) requires the OS/SS-7 and an MVC title transfer instead.
Inspection
Not required
Sales Tax Details
New Jersey's 6.625% Sales and Use Tax applies to most tangible personal property. Casual private sales of used personal items between non-businesses generally avoid sales tax under NJ's "casual sale" doctrine, but use tax may still apply depending on the item and circumstances. Business sellers must always collect.
Exemption: Casual/isolated sales of used personal property between non-businesses are typically exempt. Inherited property and gifts to family members are not subject to sales tax. Resale-certificate transactions (ST-3) and farming-use exemptions (ST-7/ST-8) apply where eligible.
New Jersey General Sale — Step-by-Step Checklist
Describe the item with specifics: make, model, serial number, condition, color, identifying marks, accessories included
List exact purchase price, date, and method of payment
Both parties: legal names, NJ addresses, signatures, date
State "as is, where is" with no warranties unless you are explicitly making one in writing
For high-value items (>$5,000) — consider notarization for added evidentiary weight
Both parties keep an original copy with original signatures
For business sellers: collect 6.625% NJ sales tax and remit via Division of Taxation
Common Pitfalls
Vague descriptions — "one bicycle" is useless if it's later reported stolen, list make/model/serial/color
No "as is" language — buyer can later claim implied warranty and sue for refund
Selling stolen or encumbered property — buyer can lose both the item and money, seller faces criminal exposure
Verbal-only deals over $500 — NJ statute of frauds may render them unenforceable
Business sellers skipping sales tax collection — Division of Taxation audits catch these and back-tax with penalties
Pro Tip
A New Jersey general bill of sale is the plain-paper backbone of every used-item private sale that doesn't involve a title. Describe the item with specifics, lock in price and date, include "as is, where is," and keep an original copy. NJ skips sales tax on most casual private sales, but business sellers must collect 6.625%, and notarizing high-value transfers is the cheapest insurance you can buy.
New Jersey General Bill of Sale — FAQs
Do I need to charge sales tax on a used couch I sell on Craigslist in NJ?
Generally no. New Jersey treats one-off casual sales of used personal property between two private individuals as outside the sales tax system — selling your couch, your old dirt bike, your kid's outgrown bedroom set on Marketplace does not trigger a tax-collection obligation. The exception is if you are operating as a business: a person who sells used items regularly, has a business license, or operates a flea-market stall is treated as a retailer and must collect 6.625% sales tax. Use tax may also apply to the buyer in some circumstances — high-value items in particular.
Should I notarize a general bill of sale in New Jersey?
NJ does not require notarization for most general bills of sale, but it adds significant evidentiary weight if a dispute ever lands in court. For items under $1,000, two signatures are usually fine. For items over $5,000 — jewelry, electronics, equipment, art — notarization makes the document much harder to challenge and is well worth the $15–$25 mobile-notary fee. NJ courts presume notarized documents are authentic, so the burden flips to whoever is trying to invalidate them.
What does "as is, where is" actually do legally?
The phrase "as is, where is" disclaims implied warranties under NJ's Uniform Commercial Code (UCC), specifically the implied warranty of merchantability and fitness for a particular purpose. Without it, a buyer who finds the item is broken or worse than represented can sue for refund or damages on an implied-warranty theory. With it, the buyer takes the item with all known and unknown defects — they can still sue for outright fraud or misrepresentation, but garden-variety "it broke a week later" claims fail. Always include the phrase on private-party sales.
Is a verbal agreement enough for a private sale in NJ?
For under $500, often yes — but you have nothing to enforce in court. NJ's statute of frauds requires written contracts for the sale of goods over $500 (UCC 2-201), so a verbal $1,200 chainsaw deal is not enforceable if the seller backs out. Even for smaller items, a written bill of sale protects you against later disputes about price, condition, accessories, or whether the sale ever happened. Three minutes of writing on a phone notes app is the cheapest insurance policy in commerce.