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In this video tutorial, Shonika discusses the importance of notarizing a bill of sale. She highlights several reasons for this, including tax purposes, proof of ownership of a vehicle, and legal protection in case of disputes over payment. A bill of sale serves as a safeguard against fraud, as a notary public acts as a witness to the transaction and applies an official seal, thereby recording the contract in the local notary's office. This ensures that the details of the sale are recognized and legally binding. Overall, notarization is crucial for establishing a valid record of the transaction.