To sell a car in Long Island, there are a number of rules and regulations that can be challenging to get your head around. There are many basic forms and paperwork you will need to sell your car which will make the transaction faster and easier. If you stay aware of the laws and paperwork, it will make the sale process much more pleasant for you and the buyer of your vehicle.
Title and Registration
These are two very basic issues which people trying to sell cars in Long Island have to deal with. As the seller, it is your responsibility to ensure the vehicle has a title before you sell it. If you have lost it, you must get a duplicate before a sale can take place. You will also have to sign the title, write down the mileage reading and the agreed sale price. It is also your responsibility as seller to make sure the buyer knows they must also register the car.
It is illegal to leave the plates on a sold car. It is the buyer's responsibility to register the sale and they will have to put legal plates on their new vehicle. Leaving the plates on a car can lead to investigations into the car being stolen or other registration issues. Information on how to surrender these items can be found on the MVC website for the area.
Release of Liability
As a seller, you must obtain a release of liability form which will be filed to the Motor Vehicle Commission. This is a standard form which all sellers of a car in any state must complete. If you ignore this form, it means you may still be considered liable for issues such as car tax for a specific vehicle. This form can be easily obtained by going to your local MVC office or regional service center.
Bill of Sale
A Bill of Sale form is something you must complete as a record of the transaction with the new owner of the vehicle. This can be downloaded from the UNOFFICIAL DMV website or can be obtained through your local MVC office. The Bill of Sale is a piece of paperwork which you can use to prove you no longer own the vehicle. However, it is just a record of sale and does not prove your release of liability. A bill of sale is only required for a vehicle which was built in 1973 or later.
Car Sale Tax
When you sell your car, you may be eligible to pay car sales tax. If you are selling a car for cash, that cash will be considered as excess income and you must include it as personal income in your tax review. The same applies to all people who sell used cars in Long Island.
There is often plenty of paperwork which must be completed when you sell a car. This can make the whole process seem confusing and lengthy. However, if you have all of your forms ready to complete and you know all of your local and national regulations for selling cars, it won't take half the time to sort out.