Montana LLC

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DownTheAvenue wrote:
The purpose of a Montana LLC is to avoid tax, commonly called tax evasion. Most states are well aware of this tax dodge and make you py accordingly.

There is a dramatic difference between tax avoidance and tax evasion. One is legal the other is not. As the great Judge Learned Hand stated in 1934 when ruling in the Gregory v. Helvering case in an appeals court ruling which was later affirmed:

"Anyone may arrange his affairs so that his taxes shall be as low as
possible; he is not bound to choose that pattern which best pays the
treasury. There is not even a patriotic duty to increase one's taxes.
Over and over again the Courts have said that there is nothing sinister
in so arranging affairs as to keep taxes as low as possible. Everyone
does it, rich and poor alike and all do right, for nobody owes any
public duty to pay more than the law demands."

Most courts would agree that forming a business for the sole purpose of reducing taxes would not be a legitimate enterprise and doing so would be tax evasion, not tax avoidance.

You establish a 'Limited Liability Corporation' in Montana via attorney.
That LLC then buys/owns your RV...titled/registered in LLC and then you drive/use it.

When done properly/legally
Avoids taxes.........not evades them.

Course therein lies the rub.........legality.
Many LLCs were set up to evade taxes and the States cracked down, found them, fined them plus penalties.

Search using: advanced search, subject=llc.

You'll have more reading than you can handle.

One reason for having a Montana LLC purchase and own aaa RV is to save the sales tax. Some states do not impose huge sales taxes so that mitigates some advantage. If you already purchased the vehicles, then there may not be any savings.

Insuring and financing vehicles owned by a Montana LLC can be difficult.

The purpose of a Montana LLC is to avoid tax, commonly called tax evasion. Most states are well aware of this tax dodge and make you py accordingly.

Why do you want to keep your Maryland driver's license? What state do you plan on making your domicile (register your vehicles, have driver's licenses, vote, etc.)? Usually people set up an LLC to avoid the sales tax on more expensive units not just paying registration fees.

Barb