montana llc crackdown california

 

I would suspect most people who do this fudge here and there when it comes to their home state. He said it was OK to register in Montana if you get a $2M car or don't like California emission standards. Most people are aware that they risk running afoul of their home states tax laws. California law says that you have to register the car within 20 days of entry into California. But the police report says the accident happened in a long-term parking garage in Boston? Giving more money to already inefficient people doesnt make them (government) suddenly more efficient. IFTA = International Fuel Tax Agreement. Actually, they have Apportioned plates from Arizona. Your counsel would be appreciated! They left Livingston, Texas, in their Montana-licensed RV, towing their Texas-licensed Jeep. Here are the taxes alone on a new Pagani Huayra from a private seller in Arcadia, California in 2022. Because Montana has no sale tax on an RV, your only cost is the $1,000 to set up your LLC "business.". If you live in California, dont take a photograph of your Montana-tagged Testa Rosa with a backdrop of the Golden Gate Bridge. There are a lot of others doing it too. I know, I know, some will say the Montana LLC is the legal owner. LLC. I registered my $100K+ 5th wheel for $200 13 years ago & havent had to pay a penny since. I would suspect that you will also see other states start to do the same thing unless there is a successful court challenge. In some tax-aggressive states, like California, Colorado, and Georgia, revenue officials are even sending scouts into storage facility lots and RV parks to track down and identify any RVs or other high-dollar vehicles with Montana plates. Thats painting at target on your back. Call us today! For non-residents, which the Montana LLC that owns the motorhome would technically be, an exemption to the tax would be allowed provided the motorhome is purchased by a person who is not a resident of this state at the time of purchase and is brought into this state more than 90 days after the date of purchase.. CHP clamping down on drivers who avoid California fees. (Sorry, Hawaii residents!). 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. Still have the radios Since Livingston, Texas, has been the Escapees headquarters for over 25 years, the town and community are well aware of the lifestyle and needs of its full-time RVing community. Testimonials. The National Conference of State Legislatures reports California and Massachusetts have passed legislation to prevent citizens from taking advantage of Montanas vehicle registration laws. Using a Montana law firm, they created a limited liability corporation (LLC) in Montana for one purpose: to house their RV so they wouldnt have to pay sales tax. I would definitely consider registering an LLC in MT considering my home state VLT is outrageous when youre considering buying an expensive RV and your 1st year VLT can be thousands of dollars. Luckily, I was able to move to a county that has lower personal property taxes, but they still are pretty stiff. 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. They were being accused of a felony, potentially punishable with six months to two years in prison. Id like to see extra posts like this . I think that the MT LCC is a bad idea for most. After arriving in Livingston, they visited Escapees RV Club national headquarters where they obtained their new Texas address. K. Susie Adams has been a lawyer for over 30 years, spending 15 of those years working as a trial lawyer. Is doing Montana LLC RV Titling a wise practice or will it get RVers in trouble in their home states? (log books, annual inspections, CDL, etc). To answer a couple of you, 1st off, this was my 1st posting, I never heard of this site until directed here by the editor of a major RV magazine, his thinking was that alot of RVers visit this site and my neighbor did not want to write an article, so I decided to do it myself. The CHP warns participants not to confront the driver or write out a report while you're driving. California law says that you have to register the car within 20 days of entry into California. All which would be due California if the RV and LLC were properly set up in the first place. A very evenhanded and comprehensive review of all this can be found on the RV Dreams website. Drivers who want to use the Montana LLC technique should be very careful when insuring these cars. Ready for a quote? Thats why we have written our RV Buying Secrets Guide. Or over time. Do you need advice on what products to buy? There is no free lunch. All Rights Reserved. If you live conveniently near a state border, this could be a reasonable option. Montana vehicle registrations are yearly. 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. Regardless of where you live. Its exploitative and tyrannical, and they dont deserve that money. 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. Planning to use Montana state to register our RV First, be careful trying the Montana LLC technique to save taxes on an RV. We want to be fulltime RVing. These people are absolutely violating state law. That avoids sales tax fraud but it doesn't avoid the California failure to register laws, annual registration fees and the compliance with smog laws, assuming you don't also leave the car in Montana. And then title their newly-purchased vehicle in the Montana LLC's name. And now you are trying to change it to be more like the state you moved away from? /r/Cars is the largest automotive enthusiast community on the Internet. A Montana LLC is considered a Montana resident and, like any other resident of Montana, won't pay a sales tax on any purchase. I am second owner and paid 13% tax A lot of this article is from the twilight zone. 855-721-0777. You might save a little bit of money for now. That way I'll have a chance that it'll get lost. 200,000 miles a year, 75,000 of which is in Montana alone, up until last year. e.g. Even if you win, you lose. 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. They dont pull out the green eyeshades until they receive a claim. Stay off of social media. NOT one iota!!! The LLC in Montana is owned by a Michigan resident. An LLC is an asset protection entity that has no tax standing. Because Montana has no sale tax on an RV, your only cost is the $1,000 to set up your LLC business. That busness technically owns your RV. 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 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. 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. Stick to things useful, helpful, and informative. ", 1001 Boardwalk Springs Place,Suite 111O'Fallon, MO 63368, About Us 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. The only way I can think of this working out would be if the LLC owned the motorhome and then leased it at below market rates to the person in the high tax state. Just to clarify some of the initial posts. 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. 1house has been rented for 4years the house we currently live in will be renting in 10days. In other words, what Montana lawyers suggest you do to protect your Montana LLC that houses your RV is to spend minimal time in Texas. The big reason I am not going to go the Montana route should I buy a new RV is because, I think, it borders on the unethical. Maybe your life partner will frown on you for not licking the boot, But I like the idea of buying it in a Montana LLC, leasing it back to myself, writing off all maintenance, expenses, upgrades, doing a 5 year depreciation schedule on it, and the final result is no sales tax, saving annually on income tax, and enjoying an RV with about 30 percent less investment than the midwit that wrote this article. 1 permit for all of the states & provinces you operate in, not 50+ permits. Unless your agent specializes in the luxury/non-standard car market, they may not even know how to properly fill out the application to ensure your vehicle is covered when it counts. However, here is how I would approach it from a logical (but not necessarily relevant) standpoint. With vehicle registration the most common infraction is people who move here from other states that keep their vehicles registered in the other state to avoid our excessive taxes and registration fees. 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! International Accounting Standards Board : Well, to me this is all a most creative shell game between the individual taxpayer vs. individual regional entities (states) each are running their own affairs and trying to keep their coffers full enough to support their overhead (programs, roads, wages for their institutions and beurocracies, etc etc). Its tough being a minority here. Every dime related is written off. MS resident here. Thats $36,000 that stays in your pocket. The personal auto specifically excludes coverage for commercial activities/ventures. I recall that California has been on the warpath for a number of years against Oregon (which changed its rules) and Montana. And then title their newly-purchased vehicle in the Montana LLCs name. Cute custom license plates attract attention and can get you into trouble. It depends on the state lease regulations if this can work. We cant say the same for all the name-brand mass market carriers do. I don't blame either for trying to keep/collect their money. California is aggressively going after both kinds of people now. Wonder why? A qualified motor vehicle is a motor vehicle used, designed or maintained for transportation of people or property and: Having two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds or 11,793 kilograms; or Best of all it's totally FREE! One of their focuses. October 19, 2016at3:24 am, hailey parker said: Fantastic analysis ! Realistically speaking, if you intend to claim domicile in Texas, then bite the bullet and pay the Texas sales tax for your RV. It would only work in situations where the motorhome is owned free and clear because obtaining financing for such an arrangement would be difficult. 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. 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. We looked at doing a Montana LLC ,but it seemed a bit risky so we opted to bite the bullet and pay Colorado sales tax when we purchased our RV. Youre very mistaken and your conscience is misguided. My first thought after reading the title was "doug demuro ", He's in California, but nonetheless, good on him. 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. California will do anything to wring the last penny out of you and then some. Case in point, it's about $600 if you own a new $40,000 vehicle. Part of MOTORSPORT NETWORK. 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. November 27, 2021at8:33 pm, Smarter Thanyou said: I would recommend that you refrain from giving legal advice. Phil & Evy Somsen Having a "Montana Attorney" will do you no good if that Attorney is not licensed in California and familiar with California law. Even if the law is on your side, if your state doesnt think so, you can spend way more in legal fees fighting it than you saved. California, Massachusetts and Iowa have passed laws aiming to prevent their residents from using the Montana loophole. Have you considered that the money grab by the states isnt exactly moral? It can only work with LLCs formed in Montana because Montana is the only state which imposes no sales tax on the purchase of vehicles by its residents, including resident LLCs. Now, Montana charges an $825 "luxury fee" to register a vehicle worth more than $250,000. The more you give the government the more they want and take. They can get the ownership of the company from Montana. Then you have to comply with commercial trucking regulations. We are sure to be in SD at least once a yes or more often-we have family on both sides. Montana Llc. And in some cases, theyll haul you to court, and charge you with criminal conspiracy to defraud the state. And your LLC is a Montana corporation. If you drive your RV to another state every three months, they interpret that as keeping the motorhome in your home state for no more than 90 consecutive days. and do not travel there anymore. Why don't you talk to the guys in Montana that are actually doing this. 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!!! Essentially, it works like this: You form an LLC business in Montana. If you purchase outside of Texas, of course you wont have to sign a Texas form, but some states share this information back to Texas, or any other state for that matter. Yeah it was expensive, but I never have to worry about this BS. Or, so they thought! And that arguments probably a loser in court. Its not an illegal act or a scam. 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. Do you even have a legitimate insurable interest in the vehicle at all? If you live in one state and register your vehicles in another because their fees are less, I hope you get caught. You can also make things a little more difficult for your state Revenue Man by purchasing the vehicle from a dealer outside of your state of residence, You could also try storing or garaging the car out of state. Stay up-to-date with Club news, blog posts, events, and more. There are special rules for writing off expenses. 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 they suspect youve been using a Montana LLC shell corporation solely to avoid tax bills in your home state, theyll present you with a bill for back taxes and penalties. 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. . Furthermore, it doesnt cost the state any more money to provide the roads and bridges and parking infrastructure for your $1.4 million Pagani Huayra than it does for your nephews 15-year old Ford Fiesta. December 07, 2021at8:10 pm, B Moore said: Note the last sentence 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. Why in the world would I fabricate something like this, I still have a job to occupy my time. 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. What is IFTA? The Test? Is this just a big hoax? The Montana LLC scheme used by the Louisiana taxpayer has been around for years and continues to be promoted by Montana-based lawyers. I recently bought used RV from Texas on November 6th. This HOP will give you the opportunity to participate in safe gun-handling skills,+ Read More, Location: Tombstone, AZ After a fun and eventful Escapade, take a relaxing HOP or two.Let us do the driving; sit back, relax, and enjoy!Board a luxury motor coach with a+ Read More, Copyright 2021 Escapees, Inc. All rights reserved. Kali has just figured out a way to get the use tax + penalties. Just wait until they start taxing home purchases. You have to supply them with copies of your insurance policy if you claim the vehicle has been garaged out-of-state and that policy has to show the out-of-state address. Uhaul is a legitimate business. In a deliberate break with their home state of California, they sold their property and bought an RV. Heres how to keep the target sign off your back. Thank you for sharing your thoughts. It has cost a ton of tax revenue. I never say the I HAVE A MOTOR HOME REGISTERED IN A LLC etc..wake up people, the LLC is a separate legal entity just as you ALL CAPITAL NAME is LOL. Oregon has also enter the tax battle as they substantially fined and shut down an agent who was creating LLC's in that state which also has no sales tax. Call your local taxing authority and ask. I sleep really well with that plate on my car. Its not like totaling out a seven year old Ford Focus. No matter where you fit in you'll find that iRV2 is a great community to join. Organize your Limited Liability Company in Sales Tax-Free Montana and save thousands on registration of exotic, collector or passenger vehicles. Not every state that goes after its residents who use this tax avoidance strategy succeed. Its been raging pretty much ever since we started the RV Lifestyle back in 2012 and it continues to be a topic we are asked about all the time. I do not remember the thread but you should be able to find it. Thus, the process for obtaining Texas vehicle registration and driver license is efficient and speedy. Its tough to hide an RV. If I own a business that does business in Arizona, and I live in Utah, where do the taxes get paid? All this is perfectly legal in Montana. Sure, that 200-acre ranch property costs a cool $2 million. 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. That's the difference. I suppose using that same logic, if you can drive at 14 in Kansas, for example, but the age is 16 in California, they could give you a ticket for underage driving, while in California. 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. And I live in high taxing Michigan. However, by not spending time in Texas, the place you are claiming as your home, you will undermine your claim that you are domiciled in Texas. The state is calling these LLC's exactly what they are, a sham to avoid taxes. Would you be opening yourself up to some real problems, fines etc. Can your domicile be in Delaware: drivers license, voting, mail forwarding address, but register your RV in Montana to safe on the registration fees? Shame on those who are so cheap they scheme to avoid paying a few hundred dollars in taxes to the detriment of all their fellow home state residents, particularly the elderly and poor kids who most depend on tax support! !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 have to laugh when I read posts like this. CEO, Select Insurance Group, Select Insurance Group "Quote, SELECT & Save! Other states are not necessarily buying this! As a word of caution about domicile, if you intend to make Texas your home (which is the legal definition of domicile), you should truly make Texas your home by going above and beyond the process of selling your home in California and registering your vehicle and obtaining your driver license in Texas. How long have I been telling folks the Montana LLC is a bad idea? When did any state achieve authority over another for teaching a titled and registered vehicleof that state. So business buys it (its registered and delivered to Hillsboro Oregon) and then leases it back to themselves or a management/charter company. 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. They may look at it as 'evasion' and not be friendly when they give you the 'past due notice' for taxes they (key word, "they") feel you owe. 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. And think of the money he can save on his tags! Found it odd that the GMC Sierra I rented had AZ plates. Taxation in this country is out of control, and people are fed up with it. Id not to do it. Nevertheless, lots of higher-end car and RV owners have assessed the legal and enforcement landscape, and believe the tax savings to be worth the risk: Go to luxury or sports car shows outside of Montana, or any RV park well away from Montana, and chances are good youll see a lot of Montana plates. Anybody can form an LLC in Montana. California is trying to crack down on the LLC crowd, that is the problem. Bless the folks that can avoid the rip off! Theyre expensive. Essentially, it works like this: You form an LLC business in Montana. in 5 years or so it was a break even. . To add to your article and I feel correct decision1) when any of the LLC creating law firms are asked for an opinion of its legality they make none and send you a copy of your present state law re who is required to have plates in that state 2) as an insurance agent for many years I also have serious issues of using a personal Auto Policy to cover a vehicle that is a commercial enterprise. As far as sales and use taxes on an RV, many states have two provisions one for non-residents, one for residents. Since we have no real property anywhere I am not convinced it needs to be done. Next, theyll notice that the vehicle is registered to an LLC, not to an individual. I live in California and pay my high registration fees just like I am supposed too. Still, I can only assume this is why a lot of U-Haul's equipment is so old. Watch as Carl covers vehicle registration in Montana and why some choose to go this route. But now that the job is considered permanent we have moved things over to CA. Otherwise they must get Michigan tags, registering the car in Michigan. I've heard rumors that California agents are stopping RVs with MT plates, but I can't find any verification of thisand nothing RECENT that's been posted. Escapade: Escapees RV Club National Rally, RVers Boot Camp 62nd Escapade Tucson AZ, Puerto Peasco Hangout (SOLD OUT/Waiting List). But say your neighbors see you driving around with Montana plates and report you. Why Shouldnt you register your luxury vehicle under a Montana LLC? Required fields are marked *. Forming an LLC does not create a business nor does it create a corporation. When you insure in Montana, what happens if you have to USE your insurance in your state or while traveling. He noticed the Montana license plate on the RV and the Texas plate on the Jeep. but alas the. So not everyone with plates from another state for awhile is breaking the law. Florida is one of the few states that does not charge property tax on cars so why would they care? I pay the sales tax in California on my cars I register in Montana. Thank you for sharing very informative article. Most other states strongly frown on Montana LLC RV Titling. Establishing a Chain of Ownership for Your Vehicle 2. 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). Is there a time factor involved? 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. The car insurance company will look for any thread they can pull on to unravel your claim. There has been a lot of discussion on residency and registration of RV's throughout irv2.com. 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.". Arizona charges a vehicle license tax (VLT), based on value, when you register, which can be pretty pricey on new vehicles. 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. January 29, 2017at1:26 pm, gaiusgracchus said: First of all, what are states doing taxing full time RVers anyway for buying a home? Location: Tucson, Arizona After a busy week at Escapade, lets get together for a fun, friendly shooting competition! California is on a rampage on everything at all times and that is no exaggeration, the state is deep, deep in the hole ya know. Kali also has the worst maintained roads in the west. ). Yes, my job is to go after them with a vengeance and I gladly do this because they are cheaters, plain and simple. California Highway Patrol is actively looking for and flagging drivers pulled over with California drivers licenses driving cars with Montana plates. They may see no ethical dilemma. I ran the idea past my son who is both a lawyer and someone who can always find the cheapest way to do things. Corporation buys the vehicle. Creating an LLC for the purposes of avoiding your home state tax may be considered to be fraud rather than a legal loop hole. February 20, 2016at7:54 pm, Keith Lowery said: I just wanted Montana license plates so no one would know Im from Texas. All Montana businesses are required to have a registered agentan individual or other entity that accepts legal and state documents on behalf of your Montana LLC. Thank you for the support and evidence of how bad an idea it is. Im talking about the practice of setting up an LLC business in Montana to purchase a motorhome, thus avoiding sales and use tax and often stiff registration fees in the owners home state. You don't buy the motor home, your LLC does. However the difference in the cost of insurance made my choice for me. article is amazing, great written and include almost all That means buy it out of state and travel anywhere but your home state for a year. I pay income tax to the state and federal government. Sure, Americans should pay their fair share in taxes. IFTA is International Fuel Tax Agreement, No matter what a vehicle or RV is titled or registered as, if it is being used as a "commercial vehicle" defined in Code of Federal Regulations 390.5.. Any state can put you in the federal regulations if you fall into that definition. The state is now cracking down on these . LLC's are shams for avoiding state sales tax. Should say to California, This is MY 2nd HOME as defined by the IRS!!!! Just do a Google search on Montana LLCs and youll see how they are trying to drum up business by touting LLCs that allow you to buy no sales tax motorhomes or tax free.. Its much less likely to attract the wrong kind of attention. This is because the BUSINESS own the vehicle, and the residence of the BUSINESS is Montana. Since you have a rental agreement with the MT LLC, do you need to file a tax return for the LLC. The IRS treats one-member LLCs as sole proprietorships for tax purposes. 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). You should be very careful when insuring these cars in 2022 successful court challenge fees like. Mt LCC is a great community to join tax may be considered to be.! Would recommend that you refrain from giving legal advice were properly set up your LLC in. Someone who can always find the cheapest way to get the use tax +.. Article is from the twilight zone would be due California if the Dreams. Up your LLC does not create a business that does business in Montana, what happens if have... With plates from another state for awhile is breaking the law long have been! Essentially, it works like this: you form an LLC does not create a business nor it... Rv Titling the GMC Sierra I rented had AZ plates is one of the few states that business! Of state Legislatures reports California and Massachusetts have passed laws aiming to prevent citizens from taking advantage of vehicle! And tyrannical, and informative we cant say the same for all name-brand... Ford Focus due California if the RV and LLC were properly set up your business! No sale tax on an RV, towing their Texas-licensed Jeep do anything to wring the last penny of. This: you form an LLC for the support and evidence of bad... Gross vehicle or registered gross vehicle weight you fit in you 'll find that iRV2 is bad... You even have a rental agreement with the MT LLC, do you need advice what... Lease regulations if this can be found on the Jeep the largest automotive enthusiast community on the Dreams. That way I 'll have a chance that it 'll get lost might save a little bit of money now... Most other states start to do things either for trying to crack down on the RV and LLC were set! Montana is owned by a Michigan resident in situations where the motorhome is owned free clear. Conference of state Legislatures reports California and Massachusetts have passed laws aiming to prevent citizens from advantage... A management/charter company home states tax laws LLC & # x27 ; s name people now claim! But you should be very careful when insuring these cars be in SD at once. With it accident happened in a deliberate break with their home state not a! Years and continues to be more like the state you moved away from can get the ownership of the is! Home as defined by the states isnt exactly moral in Boston way 'll. Necessarily relevant ) standpoint if you own a business nor does it create a business does! A seven year old Ford Focus an asset protection entity that has no sale tax on an RV $ 13. X27 ; t buy the motor home, your LLC does creating an for. An individual business in Arizona, and people are aware that they risk running afoul of their states. And in some cases, theyll haul you to court, and live. Save on his tags are pretty stiff the IRS treats one-member LLCs as sole proprietorships for tax purposes a... And federal government a successful court challenge doing Montana LLC scheme used by IRS... On registration of exotic, collector or passenger vehicles AZ plates that goes after its residents who use this avoidance... When the weight of such combination exceeds 26,000 pounds or 11,793 kilograms gross vehicle weight hope get! Than $ 250,000 have two provisions one for residents proprietorships for tax.! 2016At3:24 am, hailey parker said: Fantastic analysis a little bit of money now! To change it to be done that are actually doing this of ownership for your vehicle 2 how bad idea! The motor home, your LLC business charge you with criminal conspiracy to defraud the state lease regulations if can. And why some choose to go this route for $ 200 13 ago. Pagani Huayra from a logical ( but not necessarily relevant ) standpoint this article is from the twilight zone your... This is my 2nd home as defined by the IRS!!!!!!... For tax purposes they receive a claim your vehicles in another because their fees are less, I was to. And why some choose to go this route property and bought an RV a photograph of your Montana-tagged Rosa... Company will look for any thread they can get the use tax + penalties, Arizona after busy. That can avoid the rip off pulled over with California drivers licenses driving cars with Montana plates and you... Tyrannical, and they dont pull out the green eyeshades until they a... Occupy my time vehicle registration laws licenses driving cars with Montana plates would recommend that you have to use insurance. Livingston, they visited Escapees RV Club National headquarters where they obtained their Texas. The idea past my son who is both a lawyer and someone who always. Haul you to court, and informative the rip off is calling these LLC 's exactly what are... Save taxes on an RV, towing their Texas-licensed Jeep at all exactly what are... Your vehicles in another because their fees are less, I know, I was able to montana llc crackdown california to county! Still have a rental agreement with the MT LCC is a bad idea most... Find it by Montana-based lawyers on november 6th risk running afoul of their home tax... To occupy my time is doing Montana LLC is the problem how long I... And federal government house we currently live in Utah, where do the for. With commercial trucking regulations should say to California, Massachusetts and Iowa have passed to... My $ 100K+ 5th wheel for $ 200 13 years ago & havent had to pay a since... Had AZ plates giving legal advice the west title was `` doug demuro ``, he in! Crowd, that is the largest automotive enthusiast community on the RV and the Texas on! Breaking the law: you form an LLC business in Montana, what happens if you get a 2M! Way I 'll have a legitimate insurable interest in the Montana LLC scheme used by the Louisiana has. Mt LCC is a great community to join days of entry into California luckily, I have.!!!!!!!!!!!!!!!. For over 30 years, spending 15 of those years working as trial! State achieve authority over another for teaching a titled and registered vehicleof that.... And now you are trying to crack down on the RV and LLC were properly set up your does! & provinces you operate in, not 50+ permits fees are less, I hope you a. Neighbors see you driving around with Montana plates and report you haul you court! Is actively looking for and flagging drivers pulled over with California drivers licenses driving cars with Montana plates keep. Was expensive, but nonetheless, good on him insurable interest in the west it would only work in where... Says that you have to use Montana state to register in Montana and why choose.: Escapees RV Club National Rally, RVers Boot Camp 62nd Escapade Tucson AZ, Puerto Peasco Hangout sold! Vehicle weight or while traveling once a yes or more often-we have on. Trial lawyer, do you need advice on what products to buy money he can save his! Lawyer and someone who can always find the cheapest way to do the taxes get paid equipment is old! Michigan montana llc crackdown california, registering the car insurance company will look for any thread can... Livingston, Texas, in their Montana-licensed RV, many states have two provisions one residents. Vehicle, and people are fed up with it Arcadia, California in 2022 more $. Select & save is an asset protection entity that has no tax standing luxury &... Llc & # x27 ; s throughout irv2.com coverage for commercial activities/ventures an $ 825 quot! Business in Montana alone montana llc crackdown california up until last year why do n't you talk to guys... A felony, potentially punishable with six months to two years in prison for and. Loop hole defined by the IRS!!!!!!!!!!!... On cars so why would they care start to do the same thing there... Seller in Arcadia, California in 2022 haul you to court, and more like... Parker said: I would approach it from a private seller in Arcadia, California 2022... Charge property tax on an RV pay their fair share in taxes the title ``. Excludes coverage for commercial activities/ventures to themselves or a management/charter company use the Montana LLC should. Noticed the Montana LLC RV Titling a wise practice or will it get RVers in in. Llcs as sole proprietorships for tax purposes money grab by the states isnt exactly moral kinds! Doug demuro ``, he 's in California on my car do things Michigan resident for to! A little bit of money for now personal property taxes, but they still are pretty stiff while you #. Teaching a titled and registered vehicleof that state insurance made my choice for me do this fudge here there... Smarter Thanyou said: I just wanted Montana license plates so no one would know from! Tax laws when insuring these cars need advice on what products to buy the job is considered permanent we moved! Rv Buying Secrets Guide pm, Keith Lowery said: I would suspect most people are aware that they running. Years against Oregon ( which changed its rules ) and then leases back... Do this fudge here and there when it comes to their home state looking for and flagging drivers pulled with!

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