Free Vermont Boat Bill of Sale
Vermont is one of a small number of states where the DMV — not a separate fish and wildlife or natural resources agency — handles both boat titles and registrations. Vermont DMV uses Form VT-017 (Application for Vessel Certificate of Title) for motorized boats and sailboats 16 feet and longer, making vessel transfers straightforward for sellers already familiar with the VT-016 car title process. Vermont's 6% Purchase and Use Tax applies to vessel sales just as it does to cars.
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Vermont Boat Bill of Sale — What You Need to Know
Sales Tax Details
Vermont's 6% Purchase and Use Tax applies to motorized vessel sales, collected by the VT DMV at the time of registration or title transfer. The tax is assessed on the greater of the sale price or the vessel's fair market value.
Inspection Requirements
Vermont does not require a state safety inspection for private vessel sales. Federal USCG minimum equipment requirements (PFDs, fire extinguishers, distress signals, navigation lights) apply when operating on Vermont waterways.
Vermont Boat Sale — Step-by-Step Checklist
- Verify the Hull ID Number (HIN) on the transom — the 12-character code is the vessel's primary identifier and must match the title and bill of sale exactly.
- Complete a bill of sale with the HIN, vessel year/make/model, length, hull material, engine type and horsepower (if motorized), sale price, and both parties' full names, addresses, and signatures.
- Seller signs the Vermont vessel title (Form VT-017) over to the buyer on the reverse, if the boat is 16 ft+ or motorized and was previously titled in Vermont.
- Seller provides the current VT DMV registration certificate along with the title.
- Resolve any outstanding lien on the vessel and obtain a lien-release letter from the marine lender before the sale.
- Buyer completes a new Form VT-017 (Application for Vessel Certificate of Title) and takes it, the signed title, bill of sale, and valid ID to the VT DMV.
- Buyer pays 6% Vermont Purchase and Use Tax on the greater of the sale price or fair market value at the VT DMV.
- If a trailer is included in the sale, document the trailer VIN separately — trailer title transfer is handled via Form VT-016 as a separate transaction.
Common Pitfalls
- Expecting a wildlife or DNR agency: Vermont boat registrations and titles go through the VT DMV, not a separate Department of Fish and Wildlife. Buyers who are used to other states sometimes show up at the wrong agency.
- HIN inaccuracy: any digit transposition between the physical HIN, the title, and the bill of sale triggers a VT DMV investigation and delays the buyer's registration.
- Not titling the trailer separately: if a boat and trailer are sold together, the trailer requires its own VT-016 title transfer through the VT DMV — it cannot be bundled into the vessel VT-017 transaction.
- Ignoring lien release on the vessel: marine liens from boat loan companies must be formally released before the VT DMV will process a title transfer. Confirm the lien status with the lienholder before listing.
Pro Tip
Vermont boat sales benefit from a one-stop process — one agency (VT DMV), one title form (VT-017), one tax rate (6% Purchase and Use Tax). The unusual DMV-handles-boats arrangement actually makes Vermont vessel transfers simpler than in states that split the process between multiple agencies. Verify the HIN, resolve any lien, and title the trailer separately if one is included.