Free Tennessee Odometer Disclosure Bill of Sale
In Tennessee the odometer reading and the sale price are not two separate facts — they are the same fact, viewed twice. Mileage is the single largest driver of what a used vehicle is worth, and Tennessee levies its 7% state sales tax on the full purchase price of that vehicle. So the number on the dial pushes the price, and the price pushes the tax. That linkage is why the mileage on your odometer disclosure and the mileage implied by the price on your bill of sale need to tell a coherent story. A 2018 sedan with 40,000 miles selling for the price of one with 180,000 is hard to explain — and in Tennessee a sale at 75% or less of fair market value belongs on the Affidavit of Non-Dealer Transfers (RV-F1301201), signed under penalty of perjury.
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Tennessee Odometer Disclosure Bill of Sale — What You Need to Know
Tennessee Odometer Disclosure Sale — Step-by-Step Checklist
- Record the exact odometer reading on the Tennessee certificate of title at the time of sale.
- Write the true purchase price on the bill of sale — Tennessee's 7% tax is calculated on the full price.
- Make sure the two documents are consistent: the mileage and the price should tell the same story about the vehicle.
- Select the correct certification: actual mileage, exceeds mechanical limits, or not actual mileage.
- Both seller and buyer sign and date the odometer disclosure.
- The buyer submits the signed title at the county clerk's office and pays the sales tax when titling: 7% state tax on the purchase price, plus local and single article tax on the first $3,200.
- Keep copies. If the price is ever questioned, the mileage is part of the explanation.
Common Pitfalls
- Understating the price to reduce the 7% tax while disclosing genuine low mileage — the mismatch is hard to explain, and a sale at 75% or less of fair market value goes on the RV-F1301201 affidavit.
- Assuming the odometer disclosure is a formality unrelated to tax. The mileage is what explains the price you write.
- Rounding the mileage. Write the figure on the dial.
- Leaving the certification unticked on the title.
- Believing an 'as-is' sale suspends the federal disclosure duty. It does not.