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Free Texas Car Bill of Sale

Texas vehicle sales revolve around one number: the Standard Presumptive Value (SPV). The TxDMV taxes the buyer on the greater of the sale price or 80% of SPV, so an artificially low bill of sale doesn't reduce taxes unless paired with a licensed appraisal. Form 130-U is the core document, and you have 30 days to transfer after sale.

Texas Requirements: Transfer title within 30 days. 6.25% sales tax.

Seller Information

Buyer Information

Car Details

Sale Information

Condition & Warranty

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First time selling a car privately? Our complete guide covers how to verify the buyer, which payment methods are safe, what paperwork the DMV actually needs, and the odometer disclosure mistake that can make a transaction legally void. Read: Car Bill of Sale: Complete Guide

Texas Car Bill of Sale — What You Need to Know

Primary Form
Application for Texas Title and/or Registration
Agency
Texas Department of Motor Vehicles
Primary ID Field
VIN
Sales Tax
6.25%
Title Required
Yes
Inspection
Required

Sales Tax Details

Texas charges 6.25% Motor Vehicle Sales Tax (MVST) calculated on the greater of the sale price or 80% of the Standard Presumptive Value (SPV). This is critical — selling under SPV doesn't reduce the buyer's tax bill unless they file a Motor Vehicle Appraisal Form (Form 14-128).

Inspection Requirements

Texas requires a valid safety inspection (plus emissions in 17 metro counties: Harris, Dallas, Tarrant, etc.) before title transfer. Inspection cost: $7–$25 depending on type. Certificate must be current at transfer.

Texas Car Sale — Step-by-Step Checklist

  1. Seller ensures the vehicle has a current safety inspection (and emissions test in metro counties) — required for title transfer.
  2. Both parties complete a bill of sale with VIN, odometer, sale price, and signatures.
  3. Seller signs the Texas title over to buyer, completing the odometer disclosure section.
  4. Buyer completes Form 130-U (Application for Texas Title) — it's the single most important Texas form.
  5. Seller files Vehicle Transfer Notification online at txdmv.gov within 30 days to release liability.
  6. Buyer takes title, 130-U, bill of sale, valid ID, and proof of TX liability insurance to any county tax office within 30 days.
  7. Buyer pays 6.25% MVST based on greater of sale price or 80% SPV, plus $33 title fee and local registration fees.
  8. If sale price is <80% SPV and buyer wants to tax on actual price: file Form 14-128 (Motor Vehicle Appraisal) from a licensed dealer or insurance appraiser.

Common Pitfalls

  • Ignoring the SPV rule: a $3,000 sale on a $6,000 SPV car still gets taxed on $4,800 (80% of SPV) unless Form 14-128 is filed.
  • Skipping Vehicle Transfer Notification: Texas sellers have been billed for toll violations for years after selling without this filing.
  • Selling without a current inspection: most Texas counties reject title transfer without a valid inspection sticker.
  • Using a Texas title with a missing or incorrect signature — the TxDMV requires the printed name and date to match exactly.

Pro Tip

Three numbers define a Texas car sale: the sale price, 80% of SPV, and the greater of the two. Know your SPV before negotiating, file Vehicle Transfer Notification the day you sell, and the rest is just paperwork at the county tax office.

Texas Car Bill of Sale — FAQs

What is the Standard Presumptive Value (SPV) in Texas?
The Standard Presumptive Value is the TxDMV's assessed market value for used vehicles, based on NADA and J.D. Power data. Texas imposes 6.25% Motor Vehicle Sales Tax on the greater of the sale price or 80% of SPV. You can check SPV for any VIN on the TxDMV website before selling.
Do I need Form 130-U to sell a car in Texas?
Form 130-U (Application for Texas Title and/or Registration) is required from the buyer, not the seller. The seller provides the signed title and bill of sale; the buyer takes those plus Form 130-U to the county tax office. Every Texas title transfer goes through Form 130-U.
Should I file Vehicle Transfer Notification in Texas?
Yes — absolutely. Within 30 days of sale, the seller should file Vehicle Transfer Notification online at txdmv.gov. This releases the seller from liability for tolls, citations, and accidents involving the vehicle after the sale date. It's free and takes 5 minutes.
How do I use Form 14-128 to reduce Texas vehicle tax?
If you bought a car below 80% of its SPV, you can file Form 14-128 (Motor Vehicle Appraisal Form) with a written appraisal from a Texas-licensed dealer, auction, or insurance adjuster. The certified value replaces 80% SPV in the tax calculation. This only makes sense for significantly below-market purchases where the appraisal cost (~$40–$100) is outweighed by tax savings.