This bi-weekly newsletter is full of everything you want to know. 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. Currently Active Users Viewing This Thread: 1. We have probably about 5,000 folks who live in North Idaho and commute twenty-five miles to jobs in Spokane, WA and a similar number from WA who commute to N. Idaho jobs each day. While Montana maintains that an RV is not a commerclal vehilce per se, in most states vehicles owned and used by businesses are considered "commercial" vehicles. Phil & Evy Somsen Sure you can form an LLC in Montana and register a vehicle there. But, The law can be tricky about Montana LLC RV Titling. If you have a full time residence that is not your RV, then the downsides are many and complex. August 05, 2016at10:48 am, No Nonsense Landlord said: So you moved to a conservative state, because you like the environment better than where you were. Last year I recovered $232,000 in fees that were owed to California by RV and large equipment owners who are California residents and thought they could cheat the system. CA has a hotline to report this. !The state of CA considers this RV a commercial vehicle and must have a IFTA sticker,thats a fuel tax stamp, thats is obtained in the state you are registered in. I think that the MT LCC is a bad idea for most. When asked by the office clerk if their Jeep was their only vehicle, they answered, yes, because technically the RV belonged to the Montana LLC. Thank you to everyone who responded. Thus, Michigan, Colorado, California and a number of other states are very aggressive in hunting down RVs with Montana license plates and suing the owners for taxes and penalties. Thank you for our RVing community and this forum. And in some cases, theyll haul you to court, and charge you with criminal conspiracy to defraud the state. Texas Forever Six Time F1 World Champ Rossa Subscribed Apr 28, 2003 64,719 Texas! Consistency between these items, license plates and driver license, is the best way to proceed. They left Livingston, Texas, in their Montana-licensed RV, towing their Texas-licensed Jeep. Essentially, it works like this: You form an LLC business in Montana. Ridiculous. The carriers we work with at Select Insurance Group understand this segment of the market. You are currently viewing our boards as a guest so you have limited access to our community. California law says that you have to register the car within 20 days of entry into California. In a deliberate break with their home state of California, they sold their property and bought an RV. MS resident here. Bank and insurance company need to know that the LLC owns the coach. Uhaul is a legitimate business. November 03, 2022at12:12 am, Noneya Business said: Rich folks do this all the time to evade paying any form of higher taxes; additionally, no different than those making South Dakota their residency to avoid paying higher taxes. Actually, they have Apportioned plates from Arizona. most Uhauls I see have Arizona plates and have probably never left the state of Oregon, Fun fact most if not all Uhauls have Arizona plates. File an Affidavit o f Domicile with the court; Change to local businesses for banking, accountants, doctors and dentists; Have your estate planning documents (wills, trusts an d powers o f attorney) written i n Texas; If you still have real estate outside o f Texas, rent the real estate o r otherwise sho w that you arent using it as your hub., All The Things You Need To Know About Domicile As An RVer. But we rent both of our houses. Its much less likely to attract the wrong kind of attention. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Make Sure You're Prepared for Your Texas Driver's License! Recently the Georgia Department of Revenue decided to start cracking down on exotic car owners registering their cars in Montana to avoid taxes. Thank you for reading the article and taking time to reply. Depending on your state's sales tax rate, you can legally save $25,000 or more on your purchase. Just wait til it's FREE!!! See, when it comes to the specialty car market, you may not be in good hands, after all. Still, I can only assume this is why a lot of U-Haul's equipment is so old. but alas the. U-Haul and other legitimate rental businesses pay all applicable state/local sales and corporate income taxes on their rentals. But these agents may not have the training or experience to ask the right questions, and get the right information on your application. I do not remember the thread that well since it does not apply to me but I believe that was the topic of it. 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. Ngoc , Im certain that if a Cal State Trooper were to pull you over and find you had a Cal driver-license, a toad-car licensed in Cal and a motor-home with Montana plates it would not go well. https://jalopnik.com/the-pitfalls-of-the-montana-license-plate-scam-1711216059, (You must log in or sign up to post here. Yes, my job is to go after them with a vengeance and I gladly do this because they are cheaters, plain and simple. Receive Escapees RV Club News straight to your inbox! For about 2 years we were quite legal with having MI plates on the vehicles while we were in CA. Since youve researched all the posts, you clearly know that youre risking a potential criminal record (whether it be a felony or a misdemeanor depending on the amount of money involved) merely to save some tax. And think of the money he can save on his tags! Posts: 25,765. |Disclaimer|Privacy Policy | Terms of Service. One other thing to remember: California is not the only state cracking down on attempts to avoid paying taxes. It has cost a ton of tax revenue. Thats BS. Montana LLC. Should say to California, This is MY 2nd HOME as defined by the IRS!!!! Since we have no real property anywhere I am not convinced it needs to be done. All this is perfectly legal in Montana. (Truly, I forget).. . I know, I know, some will say the Montana LLC is the legal owner. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with other RV owners, see fewer ads, upload photographs, create an RV blog, send private messages and so much, much more! 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. 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. FerrariChat.com has no association with Ferrari S.p.A. 2023 FerrariChat. for having his RV titled as an LLC in Montana! 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. I'm about to wrap things up, but I was wondering if any of you have had any experience with this idea. Officer Josh Waites explains what prompted their. Think Health Care is expensive now??? How To Insure a Car with a Rebuilt or Salvage Title, South Dakota Residency for Full-Time RVers. And what additional fees and taxes are in Delaware? At least they used to be. Or the solution might possibly be to move to a state where there is no sales tax like NH, but the "registration" fees there are very high. Adhering to the advice of legal counsel will provide you with peace of mind and worry-free RV travels. Sign up for US Legal Forms to save, print, and fill out legal templates without bounds. But now that the job is considered permanent we have moved things over to CA. An LLC, or limited liability company, is a business structure that can combine the best features of a corporation and a partnership. We are sure to be in SD at least once a yes or more often-we have family on both sides. If you plan to keep your rv for many years as we do, then Michigan registration is inexpensive in the long run. Arizona charges a vehicle license tax (VLT), based on value, when you register, which can be pretty pricey on new vehicles. Franchise Opportunity Most other states strongly frown on Montana LLC RV Titling. You lease it to yourself. They stay in one place for weeks, months, or years at a time. Dont break the law in your home state. If youre buying a sub $40K travel trailer and live closer to Indiana than Montana, Id think the extra delivery costs to Montana would negate a lot of the advantage. 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. We would have been quite upset if someone had us have to go thru a lot of paperwork for nothing with everything else that was going on. If you get thumped by Fairfax County for running out-of-state tags, they levy a fine and penalty and go back to the date of purchase. Unsubscribe me. No matter where you fit in you'll find that iRV2 is a great community to join. NOT one iota!!! One is a result of the way the business works, the other is tax evasion. Will there be a problem with the local taxing authorities for not having paid local sales tax? Or, so they thought! Hi: Looks as if California has found a way to make up some of the money certain RVers have been trying to cheat them out of. For example the LLC would purchase a $250,000 motorhome and then turn around and lease it for $200 per month to a Michigan resident. Plates and registration will take about 1-3 days. Have registered to vote etc. Then you can be in trouble. A very evenhanded and comprehensive review of all this can be found on the RV Dreams website. and do not travel there anymore. 1 permit for all of the states & provinces you operate in, not 50+ permits. In other words, to avoid the taxes you would buy the RV out of state through the LLC and keep it out of state for three months. As our Victoria Guida writes, this represents "the broadest and most concrete effort to date by the U.S. government to consider whether the Fed should issue a digital dollar.". http://www.foretraveloftexas.com/list-inventory.php?category=New, FREE RV Packing List (PLUS 3 Best RV Checklist Apps), Roadschool Classroom Supplies & Organizers for Your RV. 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. These people are absolutely violating state law. The rub comes in your home state, unless, of course, your real home state IS Montana. In fact, since you plan to travel extensively throughout the country, to firmly establish Texas as your home, you need to follow what I call the Ten Commandments of Domicile (in this order): The reason the Washington DPS officer suspected a problem was because of the discrepancy between Texas plates, Texas driver licenses and that Montana plate on the RV. Here's the other article I remembered reading: An LLC is not a corporation nor is it a business. Once law enforcement suspects youre keeping your Montana-tagged high-value vehicle in your home state, theyll be checking your Facebook and Instagram. Llcs are entirely a separate tax entity of that state. 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.. Just to clarify some of the initial posts. There is no sales tax on a regular home sale. Unlike the mass market insurance companies, our carriers know the deal, and our agents know the right questions to ask to make sure youre getting the insurance protection you need. some state revenue agencies consider to be tax evasion. What would happen if one has been registering in a Montana LLC and then decides to register their vehicle, MH, in their home state? In most states, vehicle sales are subject to a nasty sales tax, personal property tax, or both. California Highway Patrol is actively looking for and flagging drivers pulled over with California drivers licenses driving cars with Montana plates. The National Conference of State Legislatures reports California and Massachusetts have passed legislation to prevent citizens from taking advantage of Montanas vehicle registration laws. January 05, 2016at12:07 pm, Rico Muscatel said: For full-timers without a permanent residence, you can pick up a mailbox in Florida and be good to go. And some states are already cracking down on people caught parking cars in their state that have Montana tags. Giving more money to already inefficient people doesnt make them (government) suddenly more efficient. That way, your state Revenue Man cant argue that your LLC is a shell corporation used solely as a tax dodge. And as far as property taxes are concerned, the owner of the RV park pays them, and passes the cost on to the RVers who stay there. Would you be opening yourself up to some real problems, fines etc. buy it! Wow, way out of our league, but worth the time. Full time residence that is not your RV for many years as we do, then Michigan is. 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