How to Sell a Car in Illinois (Private Party)
Illinois sellers sign the title and provide an odometer statement. The buyer has 20 days to transfer the title and must pay 6.25% state use tax plus any local tax. A bill of sale is recommended but not legally required.
Required Documents
- Illinois Certificate of Title — signed by the seller on the assignment section with odometer disclosure
- Form VSD 703 (Private Party Vehicle Tax Transaction) — buyer completes this to report the sale and pay taxes
- Bill of sale — not legally required but recommended to document the transaction
- Valid government-issued ID for both parties
Title Transfer Process
- Seller signs the back of the Illinois title, including the odometer reading and sale price
- No notarization is required on the Illinois title or bill of sale
- Buyer submits the signed title and Form VSD 703 to an Illinois Secretary of State facility within 20 days
- Seller can notify the IL Secretary of State of the sale by completing the top portion of the title before signing
Taxes and Fees
- 6.25% Illinois use tax on the purchase price (or book value, whichever is greater)
- Local taxes (city/county) may apply, typically 0%–4.75% additional depending on the buyer's registration address
- $95–$115 title and registration fee paid by the buyer
- Illinois does not allow a trade-in credit to reduce the taxable amount in private sales
Timeline
- Buyer has 20 days from the date of purchase to transfer the title
- Late transfers result in a penalty of $30–$100 from the IL Secretary of State
- Processing at an IL Secretary of State facility is typically same-day
Seller Tips
- Write "Sold As-Is" on the bill of sale to limit post-sale disputes
- Illinois plates stay with the seller — remove them before handing over the car
- If your title shows a lienholder, get a lien release letter before listing the vehicle
- Keep a copy of the signed title and bill of sale for at least two years
How to create a bill of sale
- Confirm there are no liens on the Illinois title; if there are, obtain a lien release first.
- Sign the assignment of title on the back of the IL title, including the odometer reading and sale price.
- Complete a bill of sale with both parties' names, VIN, sale price, and sale date.
- Hand the signed title and bill of sale to the buyer.
- Remove your Illinois license plates — they stay with you, not the vehicle.
- Advise the buyer to submit Form VSD 703 and the title to an IL Secretary of State office within 20 days.
Frequently asked questions
Does Illinois require a bill of sale for a private car sale?
No, Illinois does not legally require a bill of sale for private vehicle sales. However, it is strongly recommended as proof of the sale price, which affects the use tax the buyer owes.
What is Form VSD 703 in Illinois?
VSD 703 is the Private Party Vehicle Tax Transaction form. The buyer fills it out and submits it to the IL Secretary of State with the title and tax payment within 20 days of purchase.
How much is the use tax on a private car sale in Illinois?
The state use tax is 6.25% of the purchase price or book value, whichever is higher. Additional local taxes may apply based on where the buyer registers the vehicle.
Do I need a notary to sell a car in Illinois?
No. Illinois does not require notarization for a private party vehicle sale or title assignment.
Generate your Illinois bill of sale
Create an Illinois-ready bill of sale documenting the sale price used for VSD 703 tax reporting.
Create Bill of Sale