Tax and Bill of Sale Requirements

TPWD is required by law to collect tax for vessels/boats (115 feet or less in length) and outboard motors purchased in Texas or brought into Texas on or after January 1, 2000. The tax rate is 6.25% of the sales price. Tax is assessed at the time of registration/title transfer and is due within 45 working days from the date of sale or date brought to Texas. Applications filed later than 45 working days are subject to tax penalties and interest.

Bill of Sale or Invoice Requirement

A signed bill of sale or invoice is required for every transfer of ownership. Trailers are handled through the local county tax office and the price of the trailer must be separated from the price of the boat and motor.

One of the following is acceptable to meet the bill of sale or invoice requirement:

• Form PWD 143/144 application - sales price (not including trailer), date of sale, and trade-in information must be completed and signed by the seller. Forms PWD 143/144 can be downloaded from the Boat Forms webpage.
• Handwritten Receipt or Sales Invoice - must contain date of sale, sales price (not including trailer), description of vessel/boat and/or outboard motor (make, serial number, and model year), purchaser’s name(s), and seller's signature(s).
• Back of TPWD (brown) title completed with sales price, the name of the purchaser(s) and signature of the owner(s) listed on the front of the title or from their legally documented representative. (Older blue and green title formats do not have spaces for the bill of sale on the back).

New Resident Tax

$15.00 New Resident tax is assessed (not sales tax) for new Texas residents bringing their previously titled or registered boat and/or outboard motor from another state into Texas.

For more information call (800) 262-8755.

Resources

• Fee Chart for Boats and Outboard Motors
• Boat/Motor Sales, Use and New Resident Tax Calculator
• References, Tools & Forms for Boat and Outboard Motor Titling and Registration