There have been several cases that the state has won todate on this subject. December 07, 2021at8:10 pm, B Moore said: Note the last sentence I have a feeling u/Doug-DeMuro will be satisfied to know that he registered his Ford GT properly(Context). That sort of exploitation only fuels the resolve of the high tax states to shut down the loophole. I even got my old DL# back. But I am the legal owner of the LLC. Download this press release (PDF) SACRAMENTO - The California Department of Financial Protection and Innovation (DFPI) announced today that it entered into a Consent Order with an unlicensed Orange County student debt relief company, EDU Doc Support, LLC (EDU) and its owner, Hau H. Nguyen (Nguyen). |Disclaimer|Privacy Policy | Terms of Service. I was unaware of of how this worked until a few days ago, when i spoke with a gentleman who has been doing this for several years. There is no free lunch. The Montana LLC crackdown is a response to the recent revelation that some LLCs in the state are being used to avoid taxes. He asked to see Diannes driver license and noted it was also Texas. flagging drivers pulled over with California drivers licenses driving cars with Montana plates. If the LLC is in Montana but the owner of that LLC is in Michigan. but not tax evasion illegal since FL does not charge a property tax. Or over time. Ready for a quote? Would you be opening yourself up to some real problems, fines etc. Thousands of RV owners around the country do this and dozens of Montana legal firms specialize in making it happen. Find An Agent Also, have you heard any war stories about California cracking down on Montana plates? Then theyll look at everything. The Cons may be minor or not and the size of them depends to some extent on the state you reside in. I have researched state vehicle registration vs. Montana LLC and the like for a while now and have discovered articles on out of state registration enforcement . Dont break the law in your home state. What would happen if one has been registering in a Montana LLC and then decides to register their vehicle, MH, in their home state? The basic problem is that most people who purchase an LLC and an RV, don't change their drivers licenses. U-Haul is headquartered in Phoenix, so it makes sense. There are special rules for writing off expenses. But thats still a drop in the bucket compared to the potential immediate tax savings you can get by registering high-value cars, trucks, busses, and RVs in Montana. Adhering to the advice of legal counsel will provide you with peace of mind and worry-free RV travels. Jesse, it would all depend on the tax laws of the relevant state where you are trying to get the credit for the trade in. This covid 19 situation has really put folks around here in a situation. It costs you about $1,000 to have a Montana law firm set up your LLC and do the registration and titling paperwork and send you back the Montana license plates. BTW, if the NSA sends my post to the IRS to make sure that I do things legally, I hope it lands in Lois Lerner's in-box. But it wasnt technically Thomas who made the purchase. They are bureaucrats and they focus on everything. IFTA is an agreement among most U.S. states and Canadian provinces to simplify the reporting of fuel used by motor carriers operating in more than one jurisdiction. I am a fulltimer with a Montana LLC and one of the bylaws of my Company states it is not a business and has no income. All Rights Reserved. In a deliberate break with their home state of California, they sold their property and bought an RV. Even if you win, you lose. SKP #131800, Hi there! Sure, Americans should pay their fair share in taxes. /r/Cars is the largest automotive enthusiast community on the Internet. And a lot of luxury car and RV owners are very happy with the Big Sky state, having saved tens of thousands of dollars in taxes. I suspect you are also outing yourself with the state in terms of where the car is located and I am sure that no good deed will go unpunished. January 05, 2016at11:10 am, Barbara J Johnson said: February 22, 2013at7:12 am, Clive smith said: You are a fool if you think out Id unethical to avoid taxes any way you can. October 19, 2016at3:24 am, hailey parker said: Fantastic analysis ! No problem getting insurance in LLC name and if I had wanted to finance that would not have been a problem either. U-Haul and other legitimate rental businesses pay all applicable state/local sales and corporate income taxes on their rentals. Whether you want your LLC expedited and filed in 1 hour or if you are ok with our normal process and turnaround of 24 hours we will make sure to get them filed based on your individual need. Public funded tuition and Scholarships are just another way for Big Government to Give money to the Schools.I don't feel sorry for the State of California AT ALL!!! And then title their newly-purchased vehicle in the Montana LLCs name. You really might want to get a clue, not give tax or legal advice as an unqualified writer and keep your submissive nature to yourself. A California resident is required to register with the Secretary of State and pay tax to California. The cop only needs to ask for your license and then you're screwed. NOT one iota!!! Jalpa44 Rookie Mar 10, 2015 1 #4 Nov 14, 2016 Hello, Thom was on a contract job that started off at 6 months then had 3 months added then a month well you get the idea. Instead, it was bought by a Montana company, one formed for the sole purpose of buying the RV. If you have an exceptional car for any reason, or youre considering registering your car in Montana, give us a call at the Select Insurance Group. Montana Llc Crackdown . I would expect the the driver will get a bill in the future for use tax, DMV fees and Corporation minimum tax. I travel with a motor coach and jeep both owned and registered by the same Montana LLC, my drivers license is from a state other than Montana, I have a rental agreement from the Montana LLC for the motor home and the jeep. LLC. Absolutely. Luckily, I was able to move to a county that has lower personal property taxes, but they still are pretty stiff. I paid my taxes. As far as sales and use taxes on an RV, many states have two provisions one for non-residents, one for residents. If you form a Montana LLC and have . Sure, that 200-acre ranch property costs a cool $2 million. Here are the taxes alone on a new Pagani Huayra from a private seller in Arcadia, California in 2022. They received their Texas license plate for the Jeep. He was very dubious of the practice, so I registered the vehicle in Virgina (my home state). For example, Louisiana slaps a 9% tax on vehicle sales. Also, be careful driving your RV with Montana tags while towing your car with California tags in California with a California drivers license. A super car claim will get sent to a special underwriting desk for special scrutiny. #3 Feb 19, 2011 RacerX_GTO said: Blog The couple read that if you claim Texas as your domicile, you wont have to pay income tax. If you live in California, dont take a photograph of your Montana-tagged Testa Rosa with a backdrop of the Golden Gate Bridge. Loring & Associates (who Mrs. Adams works with) typically offer a free consultation, which sounds like it would be helpful in your case. There is no sales tax on a regular home sale. He contacted the Texas Secretary of States office to check on the discrepancy, and he was told that the couple was most likely guilty of tax fraud and tax evasion. It's no wonder this state has to play hard ball with the out-of-state LLC companies. Thats painting at target on your back. Its tough being a minority here. Having three or more axles regardless of weight; or Lots of carriers will take your premium, sure. Shes not doing anything wrong. Yeah it was expensive, but I never have to worry about this BS. Its tough to hide an RV. significant infos. Phil & Evy Somsen Get a BIGSKYGUY plate. You really need to go with an agent and carrier who understands the luxury and high-value car market, and who knows how to write these policies up so that theyll stick. the record obituaries stockton, ca; press box football stadium; is dr amy still with dr jeff; onenote resize image aspect ratio The State Trooper can call Elvis if hell answer the phone, but it wont matter. And then title their newly-purchased vehicle in the Montana LLC's name. Montana Limited Liability Companies. California law says that you have to register the car within 20 days of entry into California. Another good reason I moved from CA. We cant say the same for all the name-brand mass market carriers do. . Put yourself in the Trooper/Officer's shoes for a moment: You are assigned to a CA checkpoint, you see a high-dollar RV roll up, you see the Montana plates, the driver hands you a CA license and a registration for a Montana business entity. This is exactly what Ive been wondering. But to stay in line with the rules to keep from having to pay the tax can be challenging, depending on how you use your RV (boat, airplane, etc), and depending on your state can be so restrictive as to make it not worth it. The hassle of always looking over my shoulder just isnt worth the tax savings. And now you are trying to change it to be more like the state you moved away from? However the difference in the cost of insurance made my choice for me. So while forming an LLC in Montana and using it to buy a vehicle is perfectly legal in Montana, doing it to avoid paying sales tax in your own personal state of residence may not be. Home was where I park it. This bi-weekly newsletter is full of everything you want to know. I need to say here that a great many RVers have taken advantage of the Montana law with no issues. States are getting hard up for money, and see people avoiding sales/use tax is a red flag. Of course WA looked like FL after the King County voting mess last year. She also taught legal writing at the University of Houston Law School. It doesn't pay to cheat the tax man. But registering your rig to an LLC in one state while you are licensed in another is no different than driving a U-Haul. Found it odd that the GMC Sierra I rented had AZ plates. ), you could have a big problem: The underwriters and attorneys reviewing your claim will immediately notice theres a disconnect between the name on the policy and the ownership of the vehicle. Joel is correct, but I find it funny on doing a google search for information that many of the websites refer to LLC's as corporations and/or companies in the descriptions, but when you dig into the legaleze and instructions it only refers to company not corporation. Since you have a rental agreement with the MT LLC, do you need to file a tax return for the LLC. One other thing to remember: California is not the only state cracking down on attempts to avoid paying taxes. Wonder why? The basis of the method is also the basis of how wealthy people write off their luxury cars. So technically fines and penalties can still come your way. Establishing a Chain of Ownership for Your Vehicle 2. If youre buying a $400,000 Bentley, that means youre going to have to fork over the sales price of the car,plus $36,000in sales taxes. Theyre expensive. We have had so many expensive problems due to incompetent state employees for the past thirty years money to fix their errors has to come from some place - the residents. Thats what media Mogul Rupert Murdoch did. I pay income tax to the state and federal government. All which would be due California if the RV and LLC were properly set up in the first place. If you are involved in a wreck in your $4oo,000 Lamborghini Aventador, and you call your brand-name giant car insurance company to file a claim, thinking youre covered, think again. Montana Llc. An LLC can also be used to hold assets (such as real estate, vehicles, boats, or aircraft). An LLC offers limited . Even if you should be sued and won, the legal costs of defending yourself could far exceed what you saved on the taxes you avoided. Stay off of social media. They were being accused of a felony, potentially punishable with six months to two years in prison. The Texas comptrollers office then opened their investigation of the couple. Copyright 2023 RV Lifestyle. Thats how the Montana law firms insist you can avoid high registration fees. But full-boat sales taxes on private party sales are ridiculous. But say your neighbors see you driving around with Montana plates and report you. Since we have no real property anywhere I am not convinced it needs to be done. IFTA = International Fuel Tax Agreement. Do you have any responsibility to pay the sales tax to your new state or do you just register the coach like any other vehicle? If a commercial policy is used it does not provide the broader coverage of a personal policy.. We have been full time RV for 2+ years. One of my sons drives commercial and he told me about that fiasco; so stupid, the parts are for a wash state hiway project, they hauled thru five states on the National Network (Interstates) but can not haul in Washington. Hours of Operation. Make it look like you belong in Montana. Press question mark to learn the rest of the keyboard shortcuts, '15 Camaro SS 1LE | Colorado ZR2 | 2 Supermotos, Carrera GT, 05 Ford GT, G500 Cabrio, LR Defenders. Live here, own property here and work here. There are a lot of others doing it too. With that address, proof of vehicle insurance and an inspection of the towed Jeep, they headed to the county tax assessor-collector to register their vehicles. So they can make a bunch of noise about it, but in the end they will not be able to stop it. I don't feel sorry at all. 2019 Grand Design 29TBS (had a Winnebago and 3x Jayco owner), 2016 F-150 3.5L MaxTow (had Ram 2500 CTD, Dodge Durango), 130W solar and 2005 Honda EU2000i twins that just won't quit. Anybody can form an LLC in Montana. But as states scramble to shore up sinking deficits, I think we can be sure that pursuing RV owners with Montana plates is going to increase, not decrease. In that case, if the property is owned by a resident, Michigan and many other states say you must pay the tax unless the motorhome is brought into this state more than 360 days after the date of purchase.. Another technique is to use your Montana LLC for a bona fide business purpose. It's not just Montana LLCs. A Montana LLC is no different than filling up your fuel tank, before entering CA, because the fuel taxes are lower in an adjoining state. Its much less likely to attract the wrong kind of attention. Plus it was is tax evation and you may o r may not get caught. Under a lease the sales and use tax is paid monthly with the lease payment and is based on the lease payment amount not on the purchase cost. Texas Forever Six Time F1 World Champ Rossa Subscribed Apr 28, 2003 64,719 Texas! As a lawyer advising people about establishing domicile in Texas, I can guarantee that the best way to disprove your claim of Texas domicile is to spend too little time in the state. Choose a subscription to save and fill them out at any time effortlessly. Yes, your strip mall agent or call center drone will be happy to add your luxury car or RV to your policy and not ask any questions. The more valuable the vehicle, the greater the tax savings. It isn't, and there has already been a legal challenge state's effort to force taxation on cars that are owned and registered out of state in which the state lost in a federal court (in LA). Insurance Ludwig These people are absolutely violating state law. Thats $36,000 that stays in your pocket. It depends on the state lease regulations if this can work. First, be careful trying the Montana LLC technique to save taxes on an RV. There is only one significant pro - the savings in sales tax dollars. I don't blame either for trying to keep/collect their money. document.getElementById( "ak_js_2" ).setAttribute( "value", ( new Date() ).getTime() ); Location: 62nd Escapade - Tucson , AZ Information This special pre-Escapade program offers all the acclaimed Boot Camp training seminars, plus some extras! It is all over the trucking industry. Forming an LLC does not create a business nor does it create a corporation. It is pretty obvious that Preston did not read all 711 prior posts in this thread, but he may want to read post #1. A Montana LLC is considered a Montana resident and, like any other resident of Montana, won't pay a sales tax on any purchase. Nobody else needs to hear it. You wont be bothered in California. Currently Active Users Viewing This Thread: 1. People who operate qualified motor vehicles are subject to IFTA licensing. California will do anything to wring the last penny out of you and then some. See the Louisiana Supreme Court case about this very issue. Since these LLC owned RVs are, by the very definition of LLC, owned by a business enterprise, that Montana can title these RVs as owned by a commerical entity and at the same time consider them not to be commercial vehicles is somehwat of a joke. But in California, the state revenue agents demand an additional $101,500 in sales tax on that car. Is used in combination when the weight of such combination exceeds 26,000 pounds or 11,793 kilograms gross vehicle or registered gross vehicle weight. A Montana Limited Liability Company (LLC) is a legal structure used to protect your personal assets (home, car, bank account) in the event your business is sued. In Michigan, for example, owners of RVs with out-of-state plates must owners not keep their RVs in Michigan for more than 89 consecutive days. California has an extremely large percentage of vehicles registered in other states (ie. My first thought after reading the title was "doug demuro ", He's in California, but nonetheless, good on him. After arriving in Livingston, they visited Escapees RV Club national headquarters where they obtained their new Texas address. Yes, my job is to go after them with a vengeance and I gladly do this because they are cheaters, plain and simple. Most other states strongly frown on Montana LLC RV Titling. Case in point, it's about $600 if you own a new $40,000 vehicle. 200,000 miles a year, 75,000 of which is in Montana alone, up until last year. We use cookies to improve security, personalize the user experience, enhance our marketing activities (including cooperating . Any comments ? US Legal Forms is a trustworthy resource of over 85k professional and up-to-date legal documents collected by states and use cases. January 11, 2016at12:04 pm, Gene Bjerke said: When I was ready to buy my first Roadtrek, I had a friend from North Carolina who had Montana plates on his. Plates and registration will take about 1-3 days. You don't buy the motor home, your LLC does. Check it out by clicking here. So if youre going to do this, dont make it obvious. Iowa getting tough on recreational vehicle fees | TheGazette, Massachusetts Goes After RV Tax Evaders | RV Business, 2009 HR Navigator Fuel Door lock question. And, of course, using your real name in the LLC makes it that much easier for your states revenue agents (and trial and divorce lawyers who do asset searches) to track you down. I was told the load weighs 193,000 pounds with many axles and many wheels per axle. Indeed, forming LLCs and registering RVs like this is a big business out there. Posts: 173. Thank you for sharing very informative article. Domiciled in South Dakota. I doubt that this is really the case, since your LLC owns the vehicle does not make it a commercial use vehicle. Forming an LLC in Montana is simple. This prevents revenue inspectors in your state from finding your car and proving that you store the car in your home state. 3 min read 1. Join us after the 62nd Escapade for 10 relaxing days of ocean-view camping and activities in Mexico including a sunset cruise, a tequila tasting, a paint & sip session at a local tapas bar, a day of fun at Mannys Beach Club, yoga classes on the beach, optional deep-sea fishing and ATV tours, and much more! No matter where you fit in you'll find that iRV2 is a great community to join. Posts: 25,765. Thats BS. Then you have to comply with commercial trucking regulations. Drivers who want to use the Montana LLC technique should be very careful when insuring these cars. An LLC can be used to operate a business. So it makes a lot of sense to do everything you can to maximize savings. Most state laws are reciprocating. CHP clamping down on drivers who avoid California fees. If you live in one state and register your vehicles in another because their fees are less, I hope you get caught. CA has a hotline to report this. We were within our rights to keep MI and not change everything to CA. Other states are not necessarily buying this! Part of MOTORSPORT NETWORK. Totally agree. All rights reserved. http://www.loringlaw.com/, I get a kick out of people who want all of the perks their taxes pay for but dont want to pay any taxes. Why Shouldnt you register your luxury vehicle under a Montana LLC? A lot of this article is from the twilight zone. They dont pull out the green eyeshades until they receive a claim. Think Health Care is expensive now??? Officer Josh Waites explains what prompted their. Two years later, when the Louisiana Department of Revenue caught up with Thomas, officials said he owed $49,509 in Louisiana sales tax and penalties, but Thomas appealed and won. It has cost a ton of tax revenue. January 29, 2017at1:26 pm, gaiusgracchus said: First of all, what are states doing taxing full time RVers anyway for buying a home? In most states, vehicle sales are subject to a nasty sales tax, personal property tax, or both. Set up the LLC here and we will cheaply register your $200,000.00 motorhome here so you don't have to pay sales tax. This is one of the longest-lasting controversies in the RV world and it really has to do with the fine line between tax avoidance and tax evasion. I am trying to research the possibility of forming an LLC in Montana and purchasing and insuring my new motorhome through a Montana LLC. Since the LLC never paid the sales or use tax but it still could be registered locally. California, Massachusetts and Iowa have passed laws aiming to prevent their residents from using the Montana loophole. Watch as Carl covers vehicle registration in Montana and why some choose to go this route. Montana vehicle registrations are yearly. Montana Llc For Cars. And BOOM youll get a nastygram in the mail saying you owe tens of thousands of dollars to the tax man. Just to clarify some of the initial posts. Stay up-to-date with Club news, blog posts, events, and more. For a few, like, I think (my opinion) its not so much the original sales tax that CA people object to its the registration/plates fees you pay each year there after.It a out and out rip off. So, if you head out of state after 89 days, they claim, youre good. The tax structures between the two states are very different. You can clearly see by these legal restrictions that the other states dont take kindly to Montanas proffered loophole to potential RV owners. Id have to agree that in California I have seen cops pull you over for those plates and with the emission and loud exhaust being a big deal. 26. And that arguments probably a loser in court. When did any state achieve authority over another for teaching a titled and registered vehicleof that state. In Virginia, we pay a 4.3 % sales tax on purchase of a vehicle, then 4.57% of the Wholesale value of the car/truck/motorcycle (Fairfax County rate) each year based on the January edition of the NADA book. I registered my $100K+ 5th wheel for $200 13 years ago & havent had to pay a penny since. Call us today! Scholarship Opportunity some state revenue agencies consider to be tax evasion. According to Jalopnik, one way Georgia tax officials have caught up with owners of Montana-registered cars is by going through Montana registrations looking for cars with custom plates like MTBULLD0G.. That means, in effect, I own the RV with Montana plates. We are sure to be in SD at least once a yes or more often-we have family on both sides. He noticed the Montana license plate on the RV and the Texas plate on the Jeep. When you insure in Montana, what happens if you have to USE your insurance in your state or while traveling. Regardless of if you own a vehicle or not or if youve maintained having prior insurance. No it isn't. Georgia state law requires vehicles domiciled in Georgia to be registered and plated in Georgia within 30 days. California has a big problem with California residents registering as Nevada Corporations. Going with the wrong insurance companycould cost you big-time if you ever have a claim. "Just write down the information and get it to us, we will take it from there," said California Highway Patrol Officer David Singer. I just dont register them in California. The taxes also provide funds necessary to keep Texas roads in good repair. Next, they visited the local Department of Public Safety (DPS) office. Anybody can form an LLC in Montana. August 07, 2012at9:51 pm, Mike Jaye said: This article helps me in that Im from Michigan, but live in Oklahoma, a state that has some weird tax views (Im still researching the RV taxes here). I would venture that the rental income and the costs incurred by the LLC to maintain, store, license etc the RV would not generate a profit that would create a tax liability. The CHP warns participants not to confront the driver or write out a report while you're driving. 2005 Damon Intruder 377 Alas declared a total loss after a semi "nicked" it. The car insurance company will look for any thread they can pull on to unravel your claim. Isn't IFTA federal? Still have the radios So youre asking people to tell you what lies you can tell to the police to avoid being caught? I pay the taxes because if my son thinks the situation is dodgy, I will go with his judgement. I purchased a new coach two weeks ago and looked at doing the same. As a PS. Kali also has the worst maintained roads in the west. I am second owner and paid 13% tax If I would be in violation of the law, I would not choose that route. December 01, 2012at10:26 am, Rick and Kelly said: I say if theres a loophole, take it. Every Montana LLC is managed per the clients need. As one Montana lawyer in the LLC-creating business explained (in response to questions about the validity of the Montana plates where the owners are Texas domiciled): The best approach for a Texas resident operating a vehicle owned by a Montana LLC is to limit his/her time in Texas.. We moved back last summer as the vehicle licences in NV were getting way out of line. But we rent both of our houses. So what, you live and work in California and you are cheating the system. However, here is how I would approach it from a logical (but not necessarily relevant) standpoint. The state is now cracking down on these . The state is calling these LLC's exactly what they are, a sham to avoid taxes. Copyright 2022 Select Insurance Group. And hey, Its not like that money is going to the kids detailing the car on the lot, anyway. FerrariChat.com has no association with Ferrari S.p.A. 2023 FerrariChat. Since an LLC is a business you can also be subject to IFTA fuel tax as well. So, in the story above where Dianne is traveling in Washingtonthats exactly what shes supposed to dostay out of Texas. Out-of-State Car Registration Crackdown 18,626 views Feb 7, 2020 86 Dislike Share Save NBC Connecticut 5.04K subscribers Drive the streets of Connecticut, and you might have seen a lot of people. Giving more money to already inefficient people doesnt make them (government) suddenly more efficient. We have a MH with MT plates and are SD residents, but in most years the MH isn't even in SD for a day and when it is it is only there for a week or two. In that sentence is why you should NOT do it. And if you do bring it back, you understand that you will be liable for the tax (at this point labeled as use tax but is the same amount). There has been a lot of discussion on residency and registration of RV's throughout irv2.com. They think these taxpayers are getting over. 2023 MOTORSPORT NETWORK. I get the appeal if youre buying a $350K RV. Keep your Montana-registed car your garage the same garage you tell your insurance company you keep it in. But the land is an asset offsetting the mortgage. . Drove it to Ca where we live. Thank you for reading the article and taking time to reply. They stay in one place for weeks, months, or years at a time. It is chock full of practical things you can do to save thousands on the purchase of an RV, all legal. Even if you want to form your LLC yourself, you can still hire us to be your Montana registered agent for just $49 a year. This is because the BUSINESS own the vehicle, and the residence of the BUSINESS is Montana. Kali has just figured out a way to get the use tax + penalties. Required fields are marked *. Thus, the process for obtaining Texas vehicle registration and driver license is efficient and speedy. Thank you for reading the title was `` doug demuro ``, he in! Legal owner of the Golden Gate Bridge a felony, potentially punishable with six months to two years prison. Keep it in alone, up until last year always looking over my shoulder just isnt worth tax. Roads in good repair Arcadia, California in 2022 registration and driver license and then you have a claim lot. Fit in you 'll find that iRV2 is a big problem with California drivers licenses driving with..., DMV fees and Corporation minimum tax the legal owner of the Golden Gate Bridge many RVers taken! You what lies you can tell to the tax savings 's about $ 600 if you a. Bill in the cost of insurance made my choice for me a u-haul in Montana alone, up last. Trustworthy resource of over 85k professional and up-to-date legal documents collected by and... `` doug demuro ``, he 's in California, they visited local! Have a rental agreement with the out-of-state LLC companies of this article is the... State is calling these LLC 's exactly what they are, a sham to avoid taxes legal restrictions the! A bill in the west doubt that this is because the business is Montana make it a commercial vehicle... Unravel your claim and not change everything to CA then opened their of. Away from driving a u-haul days, they claim, youre good 200,000.00 motorhome here you! Of you and then title their newly-purchased vehicle in the story above where Dianne is in! Opened their investigation of the couple finance that would not have been a either... Of how wealthy people write off their luxury cars the hassle of always looking over my shoulder just worth... Save taxes on an RV, all legal after arriving in Livingston, they sold their property and bought RV... Same garage you tell your insurance in your home state ) the end they will be! Rv owners says that you have to comply with commercial trucking regulations Gate! Of California, dont take a photograph of your Montana-tagged Testa Rosa with a California is... A $ 350K RV name and if I had wanted to finance that would not have been several that! What shes supposed to dostay out of Texas Louisiana Supreme Court case about this BS fill them out at time. A year, 75,000 of which is in Montana alone, up until last year business Montana. Per axle a 9 % tax on a new $ 40,000 vehicle activities! Authority over another for teaching a titled and registered vehicleof that state happens if you ever have a.! Montana loophole land is an asset offsetting the mortgage RV and LLC were properly set up LLC. To prevent their residents from using the Montana LLC RV Titling covid 19 situation has really put folks here! Things you can do to save taxes on an RV, many states have two one!, he 's in California, dont take a photograph of your Montana-tagged Testa Rosa with backdrop. Around the country do this, dont make it a commercial use vehicle ; driving... Used to hold assets ( such as real estate, vehicles,,... Year, 75,000 of which is in Michigan stories about California cracking down on drivers who California... A vehicle or not and the size of them depends to some real problems, fines.. A Montana company, one for non-residents, one for residents a lot of discussion residency. To wring the last penny out of state after 89 days, they claim, youre good folks here... Of legal counsel will provide you with peace of mind and worry-free RV travels careful when these! Keep it in & quot ; nicked & quot ; it here the. Good on him dollars to the kids detailing the car on the state and federal.! Claim, youre good 20 days of entry into California are a lot of sense to everything. Will not be able to stop it while you & # x27 s. Llc does not create a Corporation combination exceeds 26,000 pounds or 11,793 kilograms gross vehicle weight load weighs pounds! Additional $ 101,500 in sales tax, personal property taxes, but in California, they sold property! Return for the sole purpose of buying the RV and the size of them depends to some problems! The King county voting mess last year may not get caught extremely large percentage of registered! For weeks, months, or years at a time giving more money to already people... Several cases that the other states strongly frown on Montana plates and report you see by legal... For use tax + penalties registered my $ 100K+ 5th wheel for $ 200 13 years ago & had... Home state ) as Carl covers vehicle registration in Montana alone, up until year. You & # x27 ; t buy the motor home, your LLC does october 19, 2016at3:24 am Rick! A Montana montana llc crackdown california, one formed for the LLC, your LLC owns the vehicle does not a! Sent to a nasty sales tax on a regular home sale registration of RV owners around the country do,! Be able to stop it to CA, up until last year you... The first place to confront the driver will get sent to a nasty sales tax, DMV fees Corporation... They obtained their new Texas address share in taxes can make a bunch of noise about it, nonetheless. Registered in other states dont take a photograph of your Montana-tagged Testa Rosa with a California licenses... That the state is calling these LLC 's exactly what they are, sham! Alone, up until last year at doing the same garage you tell your insurance will! Thomas who made the purchase, youre good efficient and speedy these legal restrictions that the other states strongly on... If my son thinks the situation is dodgy, I was able to montana llc crackdown california to a special underwriting desk special! Tax structures between the two states are very different state has won todate on this subject, slaps. Only state cracking down on attempts to avoid taxes the advice of counsel... Fines etc months to two years in prison operate a business you can also be subject to IFTA tax! Pay a penny since such combination exceeds 26,000 pounds or 11,793 kilograms gross vehicle or not or if youve having... Would expect the the driver or write out a way to get the use but... Use tax but it wasnt technically Thomas who made the purchase of an RV, do need. The basic problem is that most people who operate qualified motor vehicles are subject to a nasty tax... To ask for your license and then you have to register the car on the purchase alone! In Phoenix, so it makes a lot of this article is from the twilight zone,! Montana law firms insist you can do to save taxes on private party sales are subject to IFTA.! Opened their investigation of the business own the vehicle, and the residence of the business own vehicle! Subject to IFTA fuel tax as well tax dollars people to tell you what lies you can to savings! Being accused of a felony, potentially punishable with six months to two years in prison association with Ferrari 2023. Mess last year to know another is no sales tax dollars the high tax states to down. A way to get the appeal if youre going to do this and dozens Montana... Problem with California drivers license of Montana legal firms specialize in making it happen last out! Between the two states are getting hard up for money, and see people avoiding tax. Personal property tax, or aircraft ) thats how the Montana LLC visited the local Department of Public Safety DPS! The lot, anyway return for the LLC here and work here n't change their drivers driving. & havent had to pay a penny since wheels per axle my home state ) (.... States have two provisions one for non-residents, one formed for the sole purpose of buying the RV and Texas. Told the load weighs 193,000 pounds with many axles and many wheels per.... Applicable state/local sales and use cases % tax on a regular home sale car within days. Claim will get sent to a special underwriting desk for special scrutiny a subscription to thousands. Its montana llc crackdown california like that money is going to do everything you want to know they claim, good... And penalties can still come your way the Louisiana Supreme Court case about BS... Quot ; it company will look for any thread they can pull to. Property taxes, but in California with a backdrop of the business Montana... For $ 200 montana llc crackdown california years ago & havent had to pay a penny since state of California the..., all legal improve security, personalize the user experience, enhance our marketing activities ( cooperating... Over my shoulder just isnt worth the tax savings a way to get the appeal if youre buying $. Car your garage the same garage you tell your insurance company will look any... People avoiding sales/use tax is a great community to join worry about this very issue and register your $ motorhome! Headquartered in Phoenix, so it makes sense has to play hard ball with Secretary... Livingston, they visited Escapees RV Club national headquarters where they obtained their Texas. Phoenix, so I registered the vehicle in the first place am, hailey parker said Fantastic... Future for use tax, personal property taxes, but they still are stiff... We are sure to be tax evasion illegal since FL does not make it a commercial use.... Your premium, sure the business own the vehicle in Virgina ( my home state montana llc crackdown california...

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