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In this tutorial video, the presenter explains the steps to handle the V5 document when selling a car. First, both the seller and the buyer must sign the designated areas on the V5. The seller should retain a portion of the yellow bit and tear the page down the middle, keeping one side while giving the buyer the other. It's important to collect the buyer's details, including their name and address. After completing these steps, the seller can send the document to the DVLA to notify them of the sale, which may result in a tax refund if applicable. The presenter encourages viewers to subscribe and like the video if it was helpful.