Do I need a special bill of sale for a junk heavy equipment in Texas?
Texas requires a bill of sale for all private party vehicle sales. A junk heavy equipment may have additional disclosure requirements around condition, mileage, or title status.
Junk vehicle bill of sale
Selling a junk heavy equipment in Texas? Junk or scrap vehicle sale — generate the right bill of sale for your transaction.
When selling a junk heavy equipment through a private party sale in Texas, a bill of sale protects both the buyer and seller by documenting the transaction details and the vehicle's condition at the time of sale.
Texas issues a Certificate of Authority to Dispose of a Motor Vehicle for junk vehicles. Form VTR-71-2 must be submitted to TxDMV. A junk title in Texas means the vehicle is valued only for its scrap metal or parts.
Texas Transportation Code Section 501.091 requires disclosure of a junk vehicle designation. The bill of sale must clearly state the vehicle is sold for scrap or parts only.
Texas requires Form VTR-71-2 for junk vehicle transactions. No additional state inspection is required.
A Texas junk vehicle with a Certificate of Authority to Dispose cannot be rebuilt or re-titled. It may only be sold to a licensed salvage dealer or used for parts. Verify the title status carefully.
In Texas, the title transfer fee is $33 and registration costs $50.75 per year. Heavy Equipment sales are subject to 6.25% motor vehicle sales tax on purchase price. Texas does not require notarization for private-party heavy equipment transfers. Emission testing is required in Texas — verify the heavy equipment passes before completing the sale.
Texas has a 6.25% state sales tax rate. Flat 6.25% motor vehicle sales tax statewide. Private-party heavy equipment sales in Texas are subject to sales tax. Tax based on Standard Presumptive Value (SPV) or purchase price, whichever is higher. The title transfer fee is $33.
The most common heavy equipment makes in private-party sales are Caterpillar, John Deere, Komatsu, Volvo, Case. Average private-party heavy equipment prices range from $10,000–$300,000. Heavy equipments average 0.7 NHTSA recalls per model across categories including Hydraulic System, Electrical, ROPS/FOPS.
Before completing a heavy equipment bill of sale in Texas, verify these safety items:
Equipment floater or inland marine policy required. Costs vary widely: $500–$5,000/year depending on value and use. Caterpillar and Komatsu machines hold value well — 50–60% retention after 5,000 hours. Peak season for private heavy equipment sales is spring when construction season begins, with an average of 60 days on market.
Heavy Equipments are classified as "Construction equipment (not registered for road use; transported on flatbed/lowboy)" for registration purposes. Heavy equipment is valued by engine hours, not mileage. Machines over 80,000 lbs require special transport permits. Federal odometer disclosure does not apply to heavy equipments.
Heavy equipment (excavators, bulldozers, loaders, etc.) transfers rely on a bill of sale and serial number documentation. Most states do not title heavy equipment that is not driven on public roads. Heavy equipment is generally not titled by states. A bill of sale is the primary transfer document. Equipment with a road-travel capability (e.g., motor graders) may require registration in some states.
When selling a heavy equipment in Texas, the following disclosures apply:
BillOfSaleNow has generated 10,842 bill of sale documents for Texas transactions, with 292 generated this month alone. The most popular vehicle type is car.
Generate a Texas heavy equipment bill of sale with condition details included.
Create Texas Heavy Equipment Bill of SaleTexas requires a bill of sale for all private party vehicle sales. A junk heavy equipment may have additional disclosure requirements around condition, mileage, or title status.
Include buyer and seller details, vehicle identifiers (VIN, year, make, model), sale price, date, signatures, and a clear description of the vehicle condition as junk.
Yes. A properly completed bill of sale is a legal document in Texas. For junk vehicles, disclosing the condition protects both buyer and seller.
Texas charges a $33 title transfer fee. Registration costs $50.75 per year. Sales tax: 6.25% motor vehicle sales tax on purchase price. Notarization is not required.
Average private-party heavy equipment prices range from $10,000–$300,000. Junk vehicles typically fall in the lower range. The most common makes are Caterpillar, John Deere, Komatsu, Volvo, Case.
Verify ROPS/FOPS (Rollover/Falling Object Protective Structure) certification Check engine hours — the primary value indicator for heavy equipment
45% faster sale
Vehicles whose listings include a history report spend ~45% less time on site before selling, and report-viewers are 5x more likely to become a lead.
Source: Experian / AutoCheck
$4,000 avg loss
NHTSA estimates 450,000+ vehicles per year are sold with rolled-back odometers — the average victim loses about $4,000 in downstream repair costs.
Source: NHTSA
17.5M private sales/yr
About 17.5 million private-party vehicle transactions happen in the U.S. each year — roughly 47% of the used market.
Source: Cox Automotive 2024
1 in 3 buyers
Roughly 1 in 3 used-car buyers say they suspect private sellers are hiding mechanical problems — documentation closes that trust gap.
Source: JW Surety Bonds (n=3,000)
$60–$85 mobile notary
Mobile notary visit minimums run $60–$85 — higher on weekends, plus per-mile travel fees. State-formatted documents skip the trip.
Source: Thumbtack / NNA