Selling or buying a vehicle in Maryland? If the buyer wants excise tax calculated on the actual purchase price — rather than the vehicle’s book value — a notarized bill of sale is required.
This free template is formatted for Maryland’s requirements and works alongside the Certificate of Title at any Maryland MVA office.
Click Get This Template below to open it in Google Docs, then click Use Template to save a copy to your Drive.
For templates for all 50 states, visit the Motor Vehicle Bill of Sale Templates →
On this page:
- What Is a Maryland Motor Vehicle Bill of Sale?
- Is a Bill of Sale Required in Maryland?
- Maryland-Specific Requirements
- Free Maryland Motor Vehicle Bill of Sale Template
- How to Fill Out the Template
- How to Transfer a Car Title in Maryland
- Frequently Asked Questions
What Is a Maryland Motor Vehicle Bill of Sale?
A Maryland motor vehicle bill of sale is a written record of a private vehicle sale.
In Maryland, a bill of sale is not always required — but it is strongly recommended and effectively required when the buyer wants excise tax calculated on the actual purchase price rather than the NADA clean retail value. Title transfers are handled at any Maryland MVA office.
Is a Bill of Sale Required in Maryland?
A bill of sale is not always strictly required in Maryland. However, it is practically essential because:
If a notarized bill of sale is not provided, Maryland calculates the 6% excise tax on the greater of the declared purchase price or the vehicle’s NADA clean retail value. If a notarized bill of sale is provided showing the actual sale price, excise tax is calculated on the greater of the purchase price or $640 ($320 for trailers) — which is almost always lower than NADA retail value.
For vehicles less than 7 years old, a notarized bill of sale is especially important as it directly determines the excise tax base.
Maryland-Specific Requirements
1. Register Immediately
Maryland requires the buyer to complete title and registration as soon as possible — there is no standard grace period for operating an untitled vehicle on Maryland roads. The vehicle must be titled and registered before it can be legally operated.
2. ⚠️ Notarized Bill of Sale Required for Tax Savings
If the buyer wants excise tax calculated on the actual purchase price, the bill of sale must be notarized and recorded on the MVA’s official Bill of Sale form (Form VR-181) or an equivalent signed by both parties before a notary.
Without a notarized bill of sale, excise tax defaults to 6% of the greater of the purchase price or the NADA clean retail value — which for most used vehicles means paying tax on a higher amount.
3. Safety Inspection Required
Most used vehicles must pass a Maryland safety inspection before they can be titled and registered. The seller typically arranges and pays for the inspection before the sale. The inspection certificate is valid for 90 days.
4. Excise Tax: 6%
Maryland charges 6% excise tax on the greater of the purchase price (with notarized bill of sale) or $640, or on the NADA clean retail value (without notarized bill of sale). Tax is paid at the MVA at the time of title transfer.
5. Title Fee
The Maryland title fee is $200 for most vehicles ($40 for motor scooters and mopeds). A lien filing fee of $40 applies for each lien recorded.
6. License Plates
Maryland license plates can be transferred between vehicles in the same owner’s name, between parents and children, and between spouses — with a $15 transfer fee. Plates that are not transferred must be surrendered to the MVA.
7. Joint Ownership
If the title shows “AND” between owner names, all owners must sign both the title assignment and the bill of sale. If “OR,” any one owner may sign alone.
Free Maryland Motor Vehicle Bill of Sale Template
This template opens in Google Docs. Click Use Template to save a copy to your Drive, fill it out digitally, or print and complete by hand.
How to Fill Out the Template
Enter the seller’s name exactly as it appears on the Certificate of Title. Enter the buyer’s name exactly as they want it on the new title.
In Section 3, copy the VIN character by character from the dashboard plate and the title. Enter the full agreed purchase price in Section 4 — Maryland calculates 6% excise tax on this figure if the bill of sale is notarized.
Both parties sign Section 11 and Section 13 (Notary Acknowledgment) in the presence of a notary. Do not pre-sign. Bring the unsigned form to the notary and sign there.
For a complete field-by-field walkthrough of every section, see: How to Fill Out a Motor Vehicle Bill of Sale →
How to Transfer a Car Title in Maryland
For the Seller
Complete the Assignment of Ownership section on the back of the Maryland Certificate of Title. Provide the buyer with the safety inspection certificate. Keep a copy of the signed bill of sale for your records.
For the Buyer
Visit any Maryland MVA office as soon as possible with the assigned Certificate of Title, this notarized bill of sale, safety inspection certificate, proof of Maryland insurance, valid Maryland ID, and payment for the $200 title fee and 6% excise tax.
If the Maryland title is being used as the application form, complete the Application for Certificate of Title section on the title itself.
Lost Title
Apply for a duplicate title at any Maryland MVA office before proceeding with the sale. Contact the MVA at mva.maryland.gov.
Frequently Asked Questions
Not always — but if the buyer wants excise tax calculated on the actual purchase price rather than the NADA clean retail value, a notarized bill of sale is required. Without it, excise tax defaults to 6% of the greater of the purchase price or the book value. For most used vehicles this means paying more tax.
6% of the greater of the purchase price (with notarized bill of sale) or $640 for most vehicles. Without a notarized bill of sale, excise tax is calculated on the greater of the purchase price or the NADA clean retail value — typically a higher amount.
Yes. Most used vehicles must pass a Maryland safety inspection before they can be titled and registered by the new owner. The seller typically arranges and pays for the inspection before the sale. The inspection certificate is valid for 90 days.
The Maryland title fee is $200 for most vehicles, $40 for motor scooters and mopeds. A lien filing fee of $40 applies for each lien recorded.
Maryland does not have a standard grace period for operating an untitled vehicle on public roads. The vehicle must be titled and registered before it can be legally operated. Complete the title transfer at an MVA office as soon as possible after the sale.
Yes, as long as it is notarized and signed by both parties. The MVA accepts any notarized bill of sale showing the purchase price and vehicle description. Using the MVA’s official Form VR-181 is recommended but not mandatory.
This template and all information on this page are provided for informational purposes only and do not constitute legal advice. Contact the Maryland MVA at mva.maryland.gov to confirm current requirements before completing your transaction.