A separate Mississippi bill of sale is not normally listed as a required document when a valid certificate of title is properly assigned to the buyer. It remains valuable as transaction evidence and becomes particularly important in certain missing-title cases, while the buyer generally has 30 business days to register the vehicle. (Dor)

Private vehicle transfers are generally subject to a 5% casual sales tax based on the vehicle’s state-determined true value unless a specific exemption applies.

Mississippi Bill of Sale Quick Facts

The principal rules are published by the Mississippi Department of Revenue, the Mississippi Secretary of State, and county tax collectors acting under state motor vehicle law. (Dor)

Is a Mississippi Bill of Sale Required?

For a normal titled vehicle, the properly assigned title is the primary ownership document.

A separate bill of sale should still record:

• Buyer’s and seller’s legal names and addresses.

• Vehicle year, make, model, and VIN.

• Sale date.

• Actual purchase price.

• Odometer reading.

• Payment status.

• Buyer’s and seller’s signatures.

A bill of sale does not cure an open, incomplete, altered, or improperly assigned title.

What Documents Does the Buyer Need?

The seller should complete all applicable title sections except those specifically reserved for the buyer. An open title—one signed by the seller without identifying the buyer—should not be accepted.

Does a Mississippi Title Need to Be Notarized?

Mississippi’s ordinary private-sale title instructions do not list notarization as a general requirement for the standard title assignment.

Notarization does apply to certain special documents. For example, Mississippi’s Affidavit of Ownership is a sworn document that must be notarized and supported by a bill of sale. (Dor)

How Does Mississippi’s 5% Casual Sales Tax Work?

A transfer from a person or business that is not a licensed motor vehicle dealer is generally subject to a 5% casual sales tax.

The tax is based on the vehicle’s true value as calculated through the official Mississippi motor vehicle assessment schedule. The buyer pays it to the county tax collector when the vehicle is registered or licensed.

Which Transfers Are Exempt?

Mississippi’s casual sales tax regulation lists exemptions for qualifying transfers:

• Between spouses.

• Between a parent and child.

• Between a grandparent and grandchild.

• Between siblings.

• Through a will or intestate estate.

• Involving a vehicle 10 or more years old based on its manufacture date.

• Between qualifying trustees and beneficiaries.

• In certain qualifying business-ownership transactions.

Using a licensed dealer to complete the transfer can void the casual-sale exemptions listed in the regulation.

What Mississippi Title Fees Apply?

The Fast-Track amount consists of the regular $9 title fee plus a $30 expedited-processing fee. The 72-hour period starts after the central title office receives a complete application and does not include mailing time. (Dor)

Registration, privilege tax, county charges, and ad valorem tax are additional.

How Is Mississippi Ad Valorem Tax Calculated?

Passenger vehicles and other qualifying vehicles with a gross vehicle weight of 10,000 pounds or less are generally subject to annual ad valorem tax at registration.

The assessment process begins with 30% of the manufacturer’s suggested retail price. The assessed amount is reduced through a depreciation schedule over 10 years, and the county applies the relevant local millage rate. Mississippi provides a minimum assessed value of $100 for a passenger vehicle. (Dor)

The amount can therefore differ by vehicle and county.

What Is the Mississippi Registration Deadline?

A recently purchased vehicle must generally be registered within 30 business days of the purchase date.

“Recently purchased vehicles must be registered within 30 business days of the purchase date.”
— Mississippi Department of Revenue

When the vehicle is purchased outside the buyer’s home county, Mississippi allows up to 48 hours to transport it to the buyer’s residence or business. The 30-business-day registration period still applies. Failure to register on time can result in ordinary late penalties and an additional $250 penalty. (Dor)

What Happens to Mississippi License Plates?

The previous owner removes the Mississippi license plate before delivering the vehicle.

The seller may be able to surrender the plate or apply unused registration credit under applicable county procedures. The buyer should not operate the vehicle using the seller’s plate. (Dor)

Are Inspections or Emissions Tests Required?

Mississippi does not require an emissions test as a condition of ordinary vehicle registration. (Dor)

A special ownership case can require an inspection. When a vehicle is 10 model years old or newer and the applicant uses the Affidavit of Ownership process, a Mississippi Department of Public Safety inspection and supporting title form may be required. (Dor)

How to Complete a Mississippi Private Vehicle Sale

• Confirm that the seller is named on the certificate of title.

• Compare the title VIN with the vehicle.

• Confirm that every recorded lien has been released.

• Complete the buyer, seller, date, price, and mileage sections.

• Prepare and sign a separate bill of sale.

• Remove the seller’s license plate.

• Have the buyer apply for title and registration within 30 business days.

• Pay the applicable casual sales tax, title fee, registration, and ad valorem charges.

What If the Vehicle Has No Title?

A bill of sale alone is not a normal substitute for a Mississippi title.

An applicant who cannot obtain the expected ownership document may need to submit the official Affidavit of Ownership with:

• A notarized ownership statement.

• A bill of sale.

• Vehicle-identification information.

• Supporting evidence explaining the ownership chain.

• An inspection for certain newer vehicles.

The buyer should confirm eligibility with the county tax collector before paying for a no-title vehicle. (Dor)

Common Mississippi Bill of Sale Mistakes

• Treating the bill of sale as a substitute for an assigned title.

• Accepting an open title.

• Missing the 30-business-day registration deadline.

• Calculating the casual sales tax only from a low stated price.

• Assuming every family transfer is automatically exempt.

• Leaving the seller’s plate on the vehicle.

• Using an unsigned or non-notarized Affidavit of Ownership.