Do you need a separate bill of sale?
Required with no title; with a title, only as needed
With a title, the buyer needs the signed title, plus bills of sale where needed to show the chain of ownership. The buyer's form VD-119 has a seller block; you sign it only if no other bill of sale exists. With no title, Vermont specifies what the bill of sale must carry: enough to identify the vehicle — make, year and VIN — plus the purchase price, the mileage, the seller's signature and the date of sale. The buyer's tax is 6% of the price or the J. D. Power clean trade-in value, whichever is greater. Vermont's own form VT-005 is a bill of sale on the front and an odometer statement on the back.
Source: Vermont DMV, Title; Vehicle Taxation; forms VD-119i and VT-005