At a glance
- Bill of sale required
- In some cases
- Bill of sale notarized
- No
- Official form
- None
- Title signature notarized
- No
- Report the sale
- No state filing
- License plates
- Stay with the seller
- Buyer must title within
- 20 days
- Last verified
- October 20, 2026
On this page
- Do you need a bill of sale in Alabama?
- What a Alabama bill of sale must include
- How to sell a car in Alabama
- Where to sign a Alabama title
- What happens to your license plates when you sell a car in Alabama?
- Inspection, odometer and sales tax in Alabama
- What the buyer does next
- Before you sell
- Common questions
- Sources
Do you need a bill of sale in Alabama?
Fill in the free Alabama bill of sale on this page and print it.
For vehicles exempt from titling, including motor vehicles more than 35 model years old, the bill of sale serves as proof of ownership. The buyer keeps a copy in the vehicle until it is registered. For titled vehicles, Alabama law asks the buyer to prove the price for sales tax with a sworn report and a properly executed bill of sale or other evidence, unless the buyer accepts ALDOR's standard value. ALDOR's rule on bill of sale contents does not list notarization.
What a Alabama bill of sale must include
Alabama lists these items:
- Name of the purchaser
- Complete physical address of the purchaser
- Date of sale (month, day and year)
- Vehicle description: VIN, make, year, model or series number and body type
- Name of the seller, including any DBA name
- Complete address of the seller
- Signatures of the seller and purchaser
- Purchase price
How to sell a car in Alabama
- In the assignment on the back of the Alabama title, enter the date of sale and the buyer's name and address.
- Enter the odometer reading. It may be left blank for model year 2010 and older vehicles.
- Sign and print your name as seller, and have the buyer sign and print to acknowledge the mileage.
- Use black or blue ink and avoid strike-throughs and correction fluid. Correction fluid on the title means a replacement title is needed.
- Give the buyer the signed title when you deliver the vehicle.
- Give the buyer a bill of sale with both names and addresses, the date, the vehicle description, the price and both signatures.
- Remove your license plate and keep it.
Where to sign a Alabama title
The assignment on the back of the Alabama title. The seller signs and prints their name. The odometer boxes are above the signature lines. The title signature does not need a notary in Alabama.
What happens to your license plates when you sell a car in Alabama?
Alabama law says the plate is removed when the vehicle is sold and kept by the seller. It can be transferred to another vehicle of the same class. The state transfer fee is $1.25, and some counties add local fees. If you do not have or get another vehicle for it, there is no refund and the plate is revoked. If you get an insurance verification notice for a sold vehicle, ALDOR says to give the licensing official proof of sale, such as a bill of sale, and surrender the plate. Form MV 32-7A-5 is used when the plate cannot be surrendered.
Inspection, odometer and sales tax in Alabama
Inspection. None tied to the sale. ALDOR says Alabama law does not provide for emissions testing. For vehicles that do not need a title, the licensing official inspects the vehicle and its ownership documents before registering it to the new owner.
Odometer disclosure. Required for model year 2011 and newer vehicles until they are 20 years old. Model year 2010 and older vehicles, vehicles of 16,000 lbs or more and vehicles that are not self-propelled are exempt. The seller records the mileage in the title assignment and signs and prints their name, and the buyer signs and prints to acknowledge it. ALDOR Form MVT 5-5 can also be used. The mileage on the buyer's title application must match the assignment exactly.
Sales tax. The buyer pays casual sales tax to the county licensing official in the county where the buyer lives, when registering the vehicle. The state rate is 2%, plus local city and county rates. As proof of price, Alabama law calls for the buyer's sworn report with a properly executed bill of sale or other evidence, or the buyer can accept ALDOR's standard value for the year, make and model.
What the buyer does next
The buyer has 20 days to apply for a new title. The title fee is $15.
Forms used in the transfer:
Before you sell
This is general information, not legal advice. Rules and fees change, so check with the Alabama Department of Revenue (ALDOR), Motor Vehicle Division if anything about your sale is unusual. Last verified October 20, 2026.
Listing it first? Good photos sell cars faster: see how to take pictures of a car to sell, and read the full guide to selling a car. Buying or selling in another state? Pick it on the bill of sale page.