Arkansas Trailer Bill of Sale Requirements: Tax, Notary, Filing

An Arkansas bill of sale for a trailer needs, at minimum, a description and vehicle identification number for the trailer, the total sale price, and the signatures of both buyer and seller.¹ The Department of Finance and Administration publishes an official form, the Vehicle Bill of Sale/Odometer Disclosure Statement (Form 10-313), that covers a standard private-party sale.² You aren’t required to use that exact form, but whatever document you write should carry at least the same information. Once the sale is done, the buyer has 30 days to bring the paperwork to a DFA revenue office and apply for a title and registration.³

What to Put on the Bill of Sale

Start with the regulatory minimums: the trailer’s description, its VIN, the total sale price, and both signatures. Then add the details that keep a routine transaction from turning into a dispute:

Full legal names and addresses of the buyer and seller.
The date of the transaction. This sets the clock on the 30-day title and registration deadline.
Trailer specifics beyond the VIN: make, model, year, and distinguishing features like color or dimensions.
Payment terms, including whether the trailer was paid in full, financed, traded, or gifted.
Condition language, especially whether the trailer is sold as-is.

Two signed copies, one for each party. Arkansas doesn’t require you to file the bill of sale with the state, but the DFA may ask to see it during registration if the title history has gaps or the purchase price needs verification for tax purposes.

The As-Is Clause and Gifted Trailers

The as-is line is the one sellers should care most about. Without it, a buyer who later finds a hidden defect could argue the seller implicitly guaranteed the trailer’s condition. An as-is statement makes clear the buyer accepted the trailer in its current state with no warranties.

If the trailer is a gift, say so on the bill of sale and record a purchase price of $0. The sale price determines whether Arkansas sales tax applies, so this line matters. Noting “gift — no consideration” and keeping documentation of the relationship between the parties helps if the DFA asks questions later.

What the Bill of Sale Doesn’t Prove

A bill of sale by itself does not prove ownership of a trailer in Arkansas. For a titled trailer, the seller has to sign over the title certificate to the buyer, including the date of transfer and, where applicable, an odometer reading. When multiple owners are listed on the title, all must sign if their names are joined by “and”; if joined by “or,” either can sign alone.⁴ Cross-outs, corrections, or white-out on the title will get it rejected at the DFA, and the seller will have to apply for a corrected title before the transfer can go through.

If the seller financed the trailer and a lien is still showing on the title, the lender has to release that lien before ownership can transfer. Verify the release before handing over any money. If the title has been lost, the seller has to apply for a duplicate through the DFA before completing the sale.

Buyers should also check whether the trailer’s title carries a brand such as “salvage,” “flood,” or “junk,” tracked through the National Motor Vehicle Title Information System.⁵ Arkansas requires a VIN verification on vehicles with out-of-state titles carrying those brands.³

Homemade or Never-Titled Trailers

Homemade trailers, and trailers assembled from parts, don’t have a manufacturer-assigned VIN. They can’t be titled or registered until the Arkansas State Police assigns one. The process starts with a $10 VIN application. After it’s processed, the ASP sends a letter with the assigned VIN and instructions for scheduling an inspection. Bring the letter, the trailer, a photo ID, and a weight slip from a public scale. If the trailer passes, you get a certificate of inspection that goes to the DFA along with the bill of sale to apply for a title.

Some factory-built trailers, particularly older or lightweight utility trailers, were never issued a title in the first place. In those cases, the bill of sale becomes the primary proof of ownership, and the DFA may also ask for prior registration receipts or other documents establishing the chain of ownership before issuing a new title.

What the Buyer Does Within 30 Days

The buyer has 30 calendar days from the purchase date to apply for a title and registration at a DFA revenue office.³ That window is shorter than the 60 days allowed for cars and trucks. Miss it, and a late penalty of $3.00 kicks in for every 10-day period the registration is overdue, stacking until the total penalty equals the annual registration fee for that trailer.⁶

Bring the following to the revenue office:

The signed-over title from the seller, with all fields filled in correctly.
The bill of sale showing the purchase price.
Payment for applicable fees and sales tax.
A lien release, if the seller had outstanding financing.

If the trailer is new from a dealer and has never been titled in Arkansas, you may also need the Manufacturer’s Certificate of Origin before the DFA can issue a title in your name.

Sales Tax and the $4,000 Threshold

Arkansas charges 6.5% state sales tax on trailers with a total purchase price of $4,000 or more. Below $4,000, no state sales tax is due.⁷ Texarkana residents pay 7% instead of 6.5%.³ Local city and county taxes may apply on top of the state rate.

The threshold is based on total consideration, meaning the actual sale price shown on the bill of sale, invoice, or financing agreement.⁷ The DFA can require additional documentation to verify the true selling price. Writing “$3,999” on the bill of sale for a $6,000 trailer to slip under the threshold is fraud, and the DFA has ways of checking.

What the Seller Should Do After Signing

Signing over the title and handing over a bill of sale does not end the seller’s legal exposure. Until DFA records show the new owner, the seller remains the registered owner. Traffic violations, accident liability, and renewal notices can land on the seller if the buyer drags their feet on titling.

To close that gap, submit a Notice of Transfer of Ownership of a Motor Vehicle form to the DFA as soon as the sale is complete.⁸ The form asks for the trailer’s make, model, VIN, the buyer’s name, and the date of sale. It creates a paper trail showing when the seller gave up ownership, regardless of when the buyer eventually titles the trailer.

Remove your license plates at the time of sale. Arkansas plates stay with the owner, not the vehicle. Leaving them on a trailer you no longer own invites problems if the buyer racks up toll violations or the trailer is abandoned somewhere.

Notarization

Arkansas does not require a trailer bill of sale to be notarized as a general rule. Notarization may come up if the trailer is being used as loan collateral, if there’s a dispute over the authenticity of signatures, or if a lender or the DFA specifically requests it. When it’s needed, both parties appear before a notary with government-issued ID. A notary confirms the signatures are authentic but doesn’t verify the accuracy of what the document says.

Keep Your Copies

Both parties should hold on to a signed copy of the bill of sale, along with lien release forms, prior registration receipts, proof of payment, and any ASP inspection certificates. Arkansas’s statute of limitations for most contract disputes is three years,⁹ so keep the records at least that long. Scan them and store the digital copies somewhere other than your phone.

1
Legal Information Institute. 006.05.08 Arkansas Code R 12 – Sale of Motor Vehicles
2
Arkansas Department of Finance and Administration. Arkansas Vehicle Bill of Sale/Odometer Disclosure Statement
3
Arkansas Department of Finance and Administration. Vehicle Tag Renewal
4
Arkansas Department of Finance and Administration. Replacement Titles
5
Office of Justice Programs (NMVTIS). Understanding an NMVTIS Vehicle History Report
6
Arkansas Department of Finance and Administration. Notice of Suspension of Arkansas Statutes Affecting Registration of Motor Vehicles
7
FindLaw. Arkansas Code Title 26 Taxation 26-52-510
8
Arkansas Department of Finance and Administration. Notice of Transfer of Ownership of a Motor Vehicle
9
Justia Law. Arkansas Code 16-56-105 – Actions With Limitation of Three Years