Bill of sale soon required on all vehicle title transfers

To The Press

Starting Jan. 2, 2020, anyone transferring a vehicle title between private parties in Floyd County will need to provide a bill of sale.

The Floyd County Treasurer’s Office made the announcement recently, as have county treasurer’s offices across the state.

Currently a bill of sale or purchase agreement is required when a sale is made by a licensed dealer. This step extends that to private party sales, said Floyd County Treasurer Frank Rottinghaus.

The Iowa State County Treasurer’s Association is cooperating with the Iowa Department of Revenue and Finance to substantiate vehicle purchase prices, which are used to determine the 5% one-time transfer registration fee when vehicle titles are transferred.

Those fees have a direct impact on the money available to the State’s Road Use Tax fund, Rottinghaus said in a press release.

The Iowa State County Treasurer’s Association Executive Board encouraged all 99 county treasurers to proactively require a bill of sale to be completed by buyer and seller in anticipation of an administrative mandate to do so.

Many counties already require a bill of sale between private parties, a practice that complies with section 321.13 of the Iowa Code.

Bills of sale at a minimum must contain the sellers’ name and signature, the make of the vehicle, the model year, the Vehicle Identification Number (VIN), the date of sale and sale price.

Bill of sale forms are available in the Treasurer’s Office.

The buyer has 30 days from the date of sale to complete the transfer to avoid title and registration penalty.

Rottinghaus said to contact his office with any questions about the new requirement, at 641-257-6118 or treasurer@floydcoia.org.