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How to Sell a Car Privately in Ontario

A private sale skips the dealership, so the seller and the buyer handle the paperwork themselves — and the buyer finishes the process at a ServiceOntario centre. This guide walks through the usual steps, in the order they normally happen.

The documents involved

In a typical private sale, four things change hands or get signed: the Used Vehicle Information Package (UVIP), a bill of sale, the vehicle permit (the ownership document), and the payment itself. One thing does not transfer: in Ontario, licence plates stay with the seller.

Step 1: Agree on the price and the terms

The first step is a clear agreement on price and condition. Many private sales are made “as is,” meaning the buyer accepts the vehicle in its current condition, without a warranty from the seller. Whether the vehicle is sold as is or with a safety certificate included makes a real difference to what the buyer still has to spend, so it is worth stating plainly in the bill of sale — that way both sides remember the deal the same way.

Step 2: Get the Used Vehicle Information Package

In Ontario, the seller obtains the Used Vehicle Information Package — usually called the UVIP — from ServiceOntario. It costs about $20. The package records the vehicle’s registration history in Ontario, the registered owner’s name, odometer information where available, and whether any liens are recorded against the vehicle. The buyer cannot transfer the vehicle into their own name without it, and reading it before money changes hands lets the buyer confirm that the seller is in fact the registered owner.

Step 3: Fill out a bill of sale

A bill of sale is the written record of the transaction. A complete one includes the full names and addresses of the buyer and the seller, the date of the sale, a description of the vehicle — year, make, model, colour and body type — the vehicle identification number (VIN), the odometer reading, and the purchase price. Both parties sign it, and each keeps a copy. If the vehicle is a gift rather than a sale, the bill of sale records a price of $0 and notes the gift.

Step 4: Sign the vehicle permit

The vehicle permit — the green ownership document — has a transfer section on the back of the vehicle portion. The seller signs that section and fills in the buyer’s name and the date of sale. The signed permit goes to the buyer, together with the UVIP and the bill of sale.

Step 5: Remove the licence plates

Before the buyer drives away, the seller removes their licence plates. Plates belong to the seller in Ontario: they can go onto another vehicle the seller owns, or be returned to ServiceOntario. The buyer uses their own existing plates, or new plates issued at registration — and the buyer needs insurance in place before the vehicle can be registered and driven.

Step 6: The buyer registers within six days

The buyer has six days from the date of sale to register the vehicle at a ServiceOntario centre. At the counter, the buyer presents the signed permit, the UVIP, the bill of sale, proof of insurance, a driver’s licence, and a Safety Standards Certificate if the vehicle is being registered as “fit.” The buyer also pays retail sales tax (RST) of 13 percent, calculated on the purchase price or the vehicle’s wholesale (Red Book) value, whichever is greater.

What about a safety certificate?

A Safety Standards Certificate confirms that a vehicle met minimum safety standards on the day it was inspected at a licensed inspection station. A vehicle generally cannot be registered as “fit” without one. The seller is not automatically required to provide it: many private sales are completed “as is, unfit,” and the buyer arranges the inspection and any repairs afterwards. Because repair costs are unpredictable, whether a certificate is included in the deal is one of the most important points to settle back in Step 1.

The family gift exception

Ontario allows a vehicle to be transferred as a tax-free gift between certain family members — including a spouse, parent, child, grandparent, grandchild, or sibling — with the tax exemption available once in a 12-month period. The transfer still requires a safety certificate, and both sides complete a sworn statement at ServiceOntario confirming that the vehicle is a gift. Outside that list of relatives, the regular tax rules in Step 6 apply.