$BillOfSale.app

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.

Tennessee Requirements: A notary is needed only in some situations. Tennessee sets no fixed day count: title and register the vehicle before driving it on a public road; the 30 days on the DOR site is for new residents. 7% sales tax.

Seller Information

Buyer Information

Odometer Disclosure Details

Sale Information

Free PDF includes a light diagonal watermark. Go Pro to remove it. Already subscribed? Sign in.

Odometer disclosure is a federal requirement under 49 CFR §580, not just a best practice — and falsifying mileage is a federal crime. Our guide explains exactly what each field requires, which model years are exempt, and what to do if the odometer has rolled over. Read: Odometer Disclosure Statement: What It Is & What to Write →

Tennessee Odometer Disclosure Bill of Sale — What You Need to Know

Primary Form
Standard bill of sale
Not on the TN Department of Revenue title document list — a record for buyer and seller
Agency
TN Motor Vehicle
Tennessee Department of Revenue — Motor Vehicle Division
Primary ID Field
VIN
Sales Tax
7%
Title Required
Yes
Inspection
Not required

Tennessee Odometer Disclosure Sale — Step-by-Step Checklist

  1. Record the exact odometer reading on the Tennessee certificate of title at the time of sale.
  2. Write the true purchase price on the bill of sale — Tennessee's 7% tax is calculated on the full price.
  3. Make sure the two documents are consistent: the mileage and the price should tell the same story about the vehicle.
  4. Select the correct certification: actual mileage, exceeds mechanical limits, or not actual mileage.
  5. Both seller and buyer sign and date the odometer disclosure.
  6. 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.
  7. 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.

Tennessee Odometer Disclosure Bill of Sale — FAQs

How is Tennessee sales tax calculated on a used car?
The 7% state rate applies to the full purchase price. The county clerk also adds local option tax (up to 2.75%) on the first $1,600 of the price and the 2.75% state single article tax on the next $1,600 (from $1,600.01 to $3,200). That is why the price on your bill of sale matters — and why it should be consistent with the mileage you disclosed, since mileage is the biggest driver of a vehicle's value.
Does the mileage affect my tax bill?
Not directly — Tennessee taxes the price, not the mileage. But mileage determines the price, so a reading that does not fit the price is hard to explain.
Where is the odometer disclosure made in Tennessee?
On the certificate of title, signed and dated by both parties, then submitted when the buyer titles the vehicle. The Department of Revenue also has its own Odometer Disclosure Statement, Form RV-F1317001, and lists an odometer disclosure statement, if applicable, among the documents needed to title a used vehicle.