How to Create an Ontario Bill of Sale

Key Takeaways

• Selling or buying a used vehicle in Ontario requires a Vehicle Bill of Sale to document the transfer of ownership.

• A Vehicle Bill of Sale includes details about the buyer, seller, and vehicle, along with the sale price and signatures.

• You need this document to register the vehicle with ServiceOntario and calculate the applicable sales tax.

• A Vehicle Bill of Sale can be handwritten, typed, or created using a downloadable template, as long as it meets Ontario’s requirements.

• Draft yours with our free Vehicle Bill of Sale template and book an online notary appointment to have it commissioned in minutes.

Selling or buying a used vehicle in Ontario comes with taking a few essential steps—and creating a Bill of Sale is among them. Creating your Vehicle Bill of Sale correctly prevents delays at ServiceOntario and ensures a smooth ownership change.

Here, we’ll explain what a Vehicle Bill of Sale is and how to properly create and commission one in Ontario.

What Is a Vehicle Bill of Sale in Ontario? 

A Vehicle Bill of Sale is a document that records the transfer of ownership of a vehicle from a seller to buyer. It serves as proof of purchase and confirms that a vehicle has officially changed hands. In Ontario, you need to submit this document to ServiceOntario to register your used vehicle and pay the applicable retail sales tax.

Unlike some provinces, Ontario doesn’t have a standardized Bill of Sale form. That said, you can create one by hand, type it yourself, or use a downloadable template. You can also use a Bill of Sale section included in the Used Vehicle Information Package (UVIP). As long as it contains all the details required and both parties sign, the format of a Bill of Sale is entirely flexible.

A Bill of Sale is also referred to as a:

• Proof of purchase
• Sales receipt

Why a Vehicle Bill of Sale is Important in Ontario 

A Bill of Sale is a critical document that protects both the buyer and the seller. Here are a few specific reasons why a Vehicle Bill of Sale is important in Ontario:

1. Required for Registration 

When buying a used vehicle privately, you must register it with ServiceOntario within 6 days of purchase. A completed Bill of Sale is one of the primary documents you’ll need to complete vehicle registration. 

2. Proves Ownership

A Vehicle Bill of Sale confirms the exact date the transaction happened and shows that a vehicle’s ownership was legally transferred.  

3. Assists with Calculating Sales Tax

A Bill of Sale provides official proof of a vehicle’s sale price. ServiceOntario uses this amount or the vehicle’s wholesale value (whichever is higher) to determine the amount of sales tax owed during registration.

4. Notes Essential Vehicle Details

This document includes important vehicle details such as the make, model, VIN, date of sale, and final purchase price.  

5. Outlines Payment Terms

A Vehicle Bill of Sale in Ontario records the agreed-upon sale price and payment method used for the sale.

6. Proves “As Is” Condition

If a car is sold “as is,” a Bill of Sale confirms that the buyer accepts the vehicle in its current state.

7. Legally Protects Both Parties 

Documenting the sale helps prevent disputes or misunderstandings. It protects both the buyer and seller from potential liability, unpaid debts, or future claims related to the vehicle.

8. Helpful for Family Transfers

Even when transferring a vehicle between family members in Ontario, you often need a Vehicle Bill of Sale to register the car. While certain tax exemptions may apply, a written record of transfer remains essential.

Required Information in an Ontario Vehicle Bill of Sale 

To ensure your Vehicle Bill of Sale is valid in Ontario, it must include specific details about the buyer, seller, and vehicle. Here’s the required information you need for a Vehicle Bill of Sale in Ontario:

Buyer Information

• Full legal name
• Current home address
• Up-to-date contact information (phone number or email)

Seller Information

• Full legal name
• Address
• Contact information

Vehicle Details

• Vehicle Identification Number (VIN)
• Make, model, and year
• The vehicle’s power source (gas, diesel, electric)
• Vehicle’s colour
• Body type (e.g., SUV, truck, sedan, etc.)
• Odometer reading at the time of the sale

Sale Details

• Date of sale/Purchase date
• Payment method (e.g., cash, e-transfer, etc.)  
• Any special terms included (e.g., sold “as is”)
• Final purchase price (this will be used to calculate sales tax) 
  • Some exemptions may apply to family members. For instance, if you’re gifting a vehicle to a relative, you must submit the Sworn Statement for a Family Gift of a Used Motor Vehicle in Ontario. Use our free template to easily create one up in minutes. 

Signatures

• The buyer’s signature
• The seller’s signature
• An authorized official, such as a notary public or commissioner of oaths
  • While this isn’t required, it prevents disputes in the future and adds an extra layer of credibility

Use our free, fillable Vehicle Bill of Sale to save time and ensure your form includes all the details required in Ontario.

How to Create a Vehicle Bill of Sale in Ontario 

Here’s a step-by-step guide to creating your Vehicle Bill of Sale in Ontario, so you can breeze through the process.

1. Gather Required Information

Before drafting your Bill of Sale, collect essential details about both parties and the vehicle. You’ll need the following:

• The buyer’s and seller’s full legal names and addresses
• The vehicle’s VIN, make, model, year, colour, body type, and odometer reading
• The sale price and date of the transaction

2. Choose a Format To Create Your Vehicle Bill of Sale

You can use the Bill of Sale in your Used Vehicle Information Package, or create your own. A handwritten or typed version works, too. Just make sure it includes all the details required in Ontario and both signatures.

To save time, use our free Vehicle Bill of Sale template to draft one quickly, while ensuring it meets ServiceOntario’s standards.

3. State the Sale’s Terms

Include the purchase price, date of sale, and, if applicable, the payment method used (cash, e-transfer, etc.). If you’re not offering any warranties, add an “as is” clause, such as:

“The vehicle is sold as is, without any warranties or guarantees, expressed or implied.”

This wording ensures both parties understand the vehicle’s condition at the time of sale. It also protects the seller and decreases the chances of future disputes.

4. Sign and Date the Document 

For your Bill of Sale to be valid, both the buyer and seller must sign and date it.

5. Keep Copies for Reference

After signing, make at least one copy of the Vehicle Bill of Sale. The buyer needs the original to register the car, while the seller should keep a duplicate for proof of the transaction.

6. Attach Supporting Documents

The seller must also give the buyer:

• The signed vehicle ownership permit
• The Used Vehicle Information Package 
• A Safety Standards Certificate (SSC) if the vehicle will be plated

These documents confirm that the vehicle is safe and that its ownership can be legally transferred.

7. Register the Transfer at ServiceOntario 

Within six days of purchase, the buyer must visit ServiceOntario to register the vehicle. They must bring the following documents with them:

• The original Vehicle Bill of Sale
• The UVIP from the seller
• The completed Application for Transfer (on the back of the ownership permit)
• A Safety Standards Certificate (if applicable)
• Annual or semi-annual emission and safety inspection (if applicable)
• Proof of insurance
• A valid Ontario driver’s licence
• The odometer reading at the time of the sale
• Annual/Semi-annual Inspection Declaration Form 
  • Only if you’re registering a trailer or pick-up truck with a gross weight of over 4,500 kgs, for personal use

Signing a Vehicle Bill of Sale with a Notary Public

Having your Vehicle Bill of Sale commissioned by an authorized official, like a notary public, adds credibility to it. It shows the buyer’s and seller’s commitment to accurate information and gives it more weight should the transaction ever be disputed.

Commissioning involves signing your Vehicle Bill of Sale before an authorized official, such as a notary public or commissioner. During commissioning, you make an oath or affirmation, swearing or affirming that the information in your Vehicle Bill of Sale is accurate.

This step ensures your Bill of Sale hasn’t been altered or signed under false pretenses. To learn more about how commissioning works, check out our guide on Finding a Commissioner of Oaths Near You.

You can have your Vehicle Bill of Sale commissioned online in just 7 short minutes! Book an online notary appointment with us to meet with a notary from anywhere and have it commissioned.

Create Your Ontario Vehicle Bill of Sale the Right Way

Creating a Vehicle Bill of Sale in Ontario is easy when you know what to include and follow the proper steps. This document safeguards both the buyer and the seller, while ensuring a vehicle’s ownership transfer complies with provincial requirements.

Use our free Vehicle Bill of Sale template to get started. Once your form is ready, book an online notary appointment to have it commissioned in just 7 minutes.