BillOfSaleNow

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

BN
Reviewed against state DMV requirementsLast reviewed: May 20266 min readEditorial policy
You just sold a car in Mississippi. The sale is not legally complete until you file a release of liability with Mississippi DMV and the buyer titles the car within 7 days. Mississippi charges 5% sales/use tax at title transfer (buyer pays).

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Mississippi car sale facts

Titling agencyMississippi DMV
Title transfer deadline7 days from sale
Release of liabilityFile with Mississippi DMV within 5 days
Buyer’s sales / use tax5% (Sales tax applies at the reduced 5% vehicle rate)
Bill of sale notaryNot required
Title fee (buyer pays)$9
Car identifierVIN

Your Mississippi car post-sale checklist

  1. 1

    Keep your signed Mississippi 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 7 days from the sale date, the Mississippi 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 Mississippi DMV

    Most Mississippi sellers file this online through Mississippi 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. Mississippi requires the buyer to title the car within 7 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. Mississippi 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 Mississippi, 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 Mississippi DMV or transfer them to your next vehicle.

  5. 5

    Verify the 7-day title transfer window

    Mississippi requires the buyer to retitle the car at Mississippi DMV within 7 days of the sale date. If you have not received confirmation that the title has been transferred by day 12, contact Mississippi DMV with your bill of sale and release-of-liability filing number to confirm the change of ownership.

  6. 6

    Confirm your Mississippi tax obligations (seller's side)

    Mississippi charges 5% sales/use tax on private-party car sales — the buyer pays this at Mississippi DMV when titling. Sales tax applies at the reduced 5% vehicle rate. Sellers generally do not owe Mississippi sales tax, but if the car sold for more than your original purchase price you may owe federal capital gains tax. Consult a tax advisor.

  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 Mississippi title before you deliver the title. Mississippi uses Mississippi Title (lien section) as the lien release form — your lender will file this with Mississippi DMV to clear the title record.

Mississippi lien release procedure

  1. Lienholder completes the lien release section on the back of the existing Mississippi title.
  2. Owner submits the released title and title application at the county tax collector's office.
  3. Pay the title fee and receive a clean Mississippi title.

Frequently Asked Questions — Mississippi

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

Mississippi sellers should file a release of liability with Mississippi DMV within 5 days of the sale. Most Mississippi sellers can file this online directly through Mississippi 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 Mississippi title transfer deadline for a car?

Mississippi requires the buyer to title the car within 7 days of the sale date. Missing the deadline can trigger late fees and back-dated registration penalties.

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

Mississippi charges 5% sales/use tax on private-party car sales. Sales tax applies at the reduced 5% vehicle rate. The buyer typically pays this at Mississippi DMV when titling — sellers generally owe no Mississippi sales tax on the proceeds. You may owe federal capital gains if you sold for more than the original purchase price.

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

No. Mississippi 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 Mississippi DMV.

How does the buyer register the car in Mississippi?

The buyer brings the signed bill of sale and endorsed title to Mississippi DMV, pays the title fee (~$9) plus 5% sales/use tax, and receives a new Mississippi title in their name. Transfer must be completed within 7 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 Mississippi sellers find a tool that protects them.

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

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