Iowa Vehicle Bill of Sale Overview
If you're buying or selling a vehicle in Iowa through a private sale, a well-prepared bill of sale is essential. Iowa handles vehicle title transfers at the county level through county treasurers' offices, and they rely on the bill of sale to verify the transaction details and calculate the use tax owed.
The Iowa DOT Motor Vehicle Division sets the statewide rules for vehicle titling and registration, but the actual processing happens at your local county treasurer's office. One important distinction in Iowa: private party vehicle sales are subject to a 5% "use tax" rather than the standard 6% retail sales tax. This lower rate is a real benefit for buyers in private transactions.
Iowa also requires notarization of the title assignment, which adds a step that some neighboring states skip. Plan to visit a notary public when completing the sale — many banks and shipping stores offer notary services. The good news is that Iowa doesn't require emissions testing, so there's one less thing to worry about.
5%
Use tax (private sales)
30 Days
Transfer deadline
Yes
Notarization required
No
Emissions test
Iowa DOT MVD Requirements
Iowa's county treasurers handle title transfers on behalf of the Iowa DOT. Here's a breakdown of what each party needs to do:
Important: Iowa's 30-Day Deadline & Notarization
Buyers must transfer the title within 30 days of purchase to avoid late penalties ($10/month, up to $100). Iowa also requires notarization of the title assignment — both the buyer and seller should visit a notary public together when signing the title over.
What the Seller Must Provide
- Signed & Notarized Title: Complete and sign the title assignment in the presence of a notary public, including the buyer's name, sale date, price, and odometer reading
- Bill of Sale: A detailed bill of sale with both parties' information, vehicle details, VIN, sale price, date, and signatures
- Odometer Disclosure: Federal requirement — the mileage and its accuracy must be documented on the title or a separate federal form
- Damage Disclosure: Iowa requires sellers to disclose if the vehicle has flood damage, salvage history, or other material damage
What the Buyer Needs at the County Treasurer's Office
- Notarized Title: With seller's signature notarized and all assignment fields completed
- Bill of Sale: Signed by both parties
- Valid Photo ID: Iowa driver's license or state ID
- Proof of Insurance: Iowa minimum liability coverage ($20,000/$40,000/$15,000)
- Payment: Title fee ($25), registration (weight + value based), and 5% use tax
How to Fill Out an Iowa Vehicle Bill of Sale
Follow these six steps to complete your Iowa vehicle bill of sale correctly. Our template walks you through every field so nothing gets missed.
Enter Seller Information
Provide the seller's full legal name as it reads on the Iowa vehicle title, their current mailing address, and a contact number. If the title lists co-owners joined by "and," both must sign. If joined by "or," either owner can complete the sale independently.
Enter Buyer Information
Record the buyer's full legal name (as it will appear on the new title), current Iowa address, and phone number. The buyer's county of residence determines which county treasurer's office processes the transfer and may affect registration fees.
Describe the Vehicle
List the year, make, model, body type, and color. Carefully transcribe the full 17-character VIN from the vehicle's dashboard or door jamb sticker, and confirm it matches the title character for character. Any mismatch will stop the transfer in its tracks at the county treasurer's office.
Record the Odometer Reading
Note the current odometer mileage at the time of sale and specify whether it's accurate, exceeds the instrument's mechanical limit, or doesn't reflect actual mileage. This is a federal requirement under NHTSA rules. Exemptions apply to vehicles 20+ years old or with a GVWR over 16,000 lbs.
State the Sale Price
Enter the agreed purchase price in both numeric and written form. Iowa's county treasurer calculates the 5% use tax from this figure. If the vehicle is a gift, write "$0 — Gift" and be aware that the county may still assess use tax based on the vehicle's fair market value depending on the relationship between the parties.
Sign, Date, and Notarize
Both parties must sign and date the bill of sale. For the title assignment, Iowa requires notarization — plan to visit a notary public together. Print at least two copies of the bill of sale for your records. The buyer then has 30 days to bring everything to the county treasurer's office.
Iowa Title Transfer Process
After the bill of sale is signed, the title is notarized, and payment has changed hands, the buyer needs to complete the following steps at their county treasurer's office:
Complete the Sale with Notarization
Sign the bill of sale, get the title assignment notarized, and exchange payment and keys
Get Insurance Coverage
Purchase at least Iowa's minimum liability insurance before driving or registering the vehicle
Visit Your County Treasurer's Office
Bring the notarized title, bill of sale, photo ID, and insurance documentation
Pay Fees and Use Tax
Title fee ($25), registration (weight + value based), and 5% use tax on the sale price
Receive Your New Title and Registration
Iowa issues a new title in the buyer's name along with registration and plates
Iowa Vehicle Sales Tax & Fees
A key detail that many Iowa buyers and sellers overlook: private vehicle sales are taxed at 5% (use tax), not the 6% retail sales tax rate. This distinction can save hundreds of dollars on a more expensive vehicle. Here's the full cost breakdown:
| Fee / Tax | Amount |
|---|---|
| Use Tax (Private Sales) | 5% of sale price |
| Retail Sales Tax (Dealer) | 6% (applies to dealer purchases only) |
| Title Transfer Fee | $25 |
| Registration Fee | Based on vehicle weight + value (varies) |
| License Plate Fee | $5 for standard plates (or transfer existing) |
| Late Transfer Penalty | $10/month (up to $100 max) after 30 days |
| Duplicate Title | $25 |
Sample Iowa Vehicle Bill of Sale
Take a look at what our Iowa vehicle bill of sale includes. Your personalized document will contain all the fields that Iowa county treasurers expect.
STATE OF IOWA
VEHICLE BILL OF SALE
Private Party Motor Vehicle Transfer
SELLER:
Name: [Seller Name]
Address: [Iowa Address]
County: [County]
BUYER:
Name: [Buyer Name]
Address: [Iowa Address]
County: [County]
VEHICLE INFORMATION
Year: [Year] Make: [Make] Model: [Model]
VIN: [17-digit VIN]
Odometer: [Miles] miles
Sale Price: $[Amount]
Iowa Vehicle Bill of Sale FAQ
Got questions about Iowa vehicle sales, use tax, or the title transfer process? Here are the answers to what people ask most often.
Official Iowa Resources
Refer to these official state and federal resources for the latest Iowa vehicle transfer requirements, county treasurer contacts, and government forms.
Iowa DOT — Motor Vehicle Division
Statewide title, registration, and licensing information
Iowa DOT — Buying & Selling a Vehicle
Step-by-step guide for private party transactions
NHTSA — Odometer Fraud Prevention
Federal odometer disclosure requirements and fraud reporting
NICB VINCheck — Free Vehicle History
Check if a vehicle has been reported stolen or salvaged
NHTSA VIN Decoder
Decode any VIN to confirm year, make, model, and specifications
IRS — Vehicle Sale Tax Reporting
Federal tax implications of selling a vehicle
Other Iowa Bill of Sale Templates
Selling something other than a car in Iowa? Browse our full collection of Iowa-specific bill of sale templates.
Iowa Boat Bill of Sale
Boats, jet skis, and watercraft
Iowa Motorcycle Bill of Sale
Motorcycles, scooters, and mopeds
Iowa Trailer Bill of Sale
Utility, travel, and cargo trailers
Iowa Firearm Bill of Sale
Handguns, rifles, and shotguns
Iowa General Bill of Sale
Furniture, electronics, and personal property
Iowa ATV Bill of Sale
ATVs, UTVs, and off-road vehicles
Iowa Horse Bill of Sale
Horses, cattle, and livestock
Iowa Mobile Home Bill of Sale
Manufactured and mobile homes
Create Your Iowa Vehicle Bill of Sale
Fill in a few details and get your Iowa-compliant document ready to download. Includes the notary section Iowa requires.
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