BillOfSaleNow

Just Sold My Car in Arizona — What’s Next? (2026)

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Reviewed against state DMV requirementsLast reviewed: May 20266 min readEditorial policy
You just sold a car in Arizona. The sale is not legally complete until you file a release of liability with Arizona DMV and the buyer titles the car within 15 days. Arizona exempts private-party car sales from state sales tax.

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Arizona car sale facts

Titling agencyArizona DMV
Title transfer deadline15 days from sale
Release of liabilityFile with Arizona DMV within 5 days
Buyer’s sales / use taxPrivate-party exempt (Private party sales pay a flat $20 vehicle license transfer fee instead of sales tax)
Bill of sale notaryNot required
Title fee (buyer pays)$4
Car identifierVIN

Your Arizona car post-sale checklist

  1. 1

    Keep your signed Arizona bill of sale

    This is your proof that you sold the car on the sale date. If the buyer gets a ticket, is in an accident, or fails to transfer the title within 15 days from the sale date, the Arizona bill of sale shields you from liability. Keep both your copy and a scan for at least 5 years.

  2. 2

    File a release of liability with Arizona DMV

    Most Arizona sellers file this online through Arizona DMV within 5 days of the sale. Filing removes you from records as the registered owner so any post-sale tickets, tolls, or accidents become the buyer's responsibility, not yours. Arizona requires the buyer to title the car within 15 days — your release filing protects you if the buyer misses that deadline.

  3. 3

    Cancel or transfer your auto insurance

    Contact your insurer the same day you hand over the keys. Arizona does not require you to maintain insurance on a vehicle you no longer own, but you must not cancel before the sale is complete. If you are replacing the car with another, transfer the policy instead — many insurers offer a short grace period to bind coverage on the new vehicle.

  4. 4

    Remove your license plates

    In Arizona, plates go with the seller — not with the car. Remove the plate(s) before the buyer drives or rides away. You can return them to Arizona DMV or transfer them to your next vehicle.

  5. 5

    Verify the 15-day title transfer window

    Arizona requires the buyer to retitle the car at Arizona DMV within 15 days of the sale date. If you have not received confirmation that the title has been transferred by day 20, contact Arizona DMV with your bill of sale and release-of-liability filing number to confirm the change of ownership.

  6. 6

    Confirm your Arizona tax obligations (seller's side)

    Arizona does not impose state sales tax on private-party car sales (Private party sales pay a flat $20 vehicle license transfer fee instead of sales tax). The buyer typically pays a flat title fee (~$4) at Arizona DMV. If you sold the car for more than your original purchase price, you may owe federal capital gains — most private car sales are at a loss and not taxable.

  7. 7

    Watch for liens or loan payoff confirmation

    If you had a loan on the car, confirm the lender received the buyer's payoff and has released the lien on the Arizona title before you deliver the title. Arizona uses Title (lien section) as the lien release form — your lender will file this with Arizona DMV to clear the title record.

Arizona lien release procedure

  1. Lienholder completes the lien release section on the back of the existing title.
  2. Owner submits the released title with a title application at an AZ MVD office or Authorized Third Party.
  3. Pay the title fee and receive a new title without lien notation.

Frequently Asked Questions — Arizona

How long do I have to file a release of liability in Arizona?

Arizona sellers should file a release of liability with Arizona DMV within 5 days of the sale. Most Arizona sellers can file this online directly through Arizona DMV. Filing removes you from records as the registered owner so any post-sale tickets, tolls, or accidents fall on the buyer.

What is the Arizona title transfer deadline for a car?

Arizona requires the buyer to title the car within 15 days of the sale date. Missing the deadline can trigger late fees and back-dated registration penalties.

Do I owe Arizona sales tax on the car I just sold?

Arizona does not impose state sales tax on private-party car sales. Private party sales pay a flat $20 vehicle license transfer fee instead of sales tax. Sellers generally owe no Arizona sales tax. You may owe federal capital gains tax if the car sold for more than your original purchase price — most private sales are at a loss and not taxable.

Does Arizona require a notary on the car bill of sale?

No. Arizona does not require notarization for a private car bill of sale. A signed bill of sale with both parties' full names, addresses, signatures, and the date is sufficient for Arizona DMV.

How does the buyer register the car in Arizona?

The buyer brings the signed bill of sale and endorsed title to Arizona DMV, pays the title fee (~$4) plus any applicable use tax, and receives a new Arizona title in their name. Transfer must be completed within 15 days of the sale date.

What if the buyer hasn't transferred the title yet?

In most states this is the buyer's responsibility, not yours. Filing a release of liability with your state DMV is the seller-side protection — it removes you from records as the registered owner so any post-sale tickets, accidents, or tolls fall on the buyer regardless of when the title is actually transferred.

Do I need to keep the bill of sale after the sale is complete?

Yes — keep your signed bill of sale for at least 5 years. If a parking ticket, toll, or accident occurs after the sale but before the buyer transfers the title, the bill of sale is your proof that the car was sold on the sale date. Store a scan and the original.

Used BillOfSaleNow for your sale?

Quick review helps other Arizona sellers find a tool that protects them.

Source: Arizona DMV · Last verified 2026-05-07

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