I've mentioned in a couple threads that I am looking at a Newmar Baystar. Unfortunately the actual price is coming in ~35K lower than MSRP. From what I understand California charges sales tax on MSRP not actual purchase price (which is stupid). I am not against paying taxes, but this is an extra 3K on top of a 9K tax bill.My wife and I have been discussing a year long road trip for a while. This seems like a good time to not only purchase a new RV but also begin our year long road trip. We would not take the RV into California at all for the year (so many other places to visit). Saving 12K in tax could pretty much fund our whole gas and a significant portion of our lodging bill for the year.I see no problem in setting up a Montana LLC (or even Oregon) and just staying out of the state for the year. At this time we even still have Washington State Drivers Licenses as we only recently moved here (and will probably get hit with a $300 fine when we do get our DL), but I cannot see an issue even if we had CA DL as long as we don't take the MH into California.Has anybody tried this, anybody see any issues? I am not looking for legal advice, I understand this is always at my own risk, but would be interesting to know peoples thoughts.

No way I'd pay MORE tax than what was due on a purchase price.Good luck.

I think not sure but when you come back and want to get a Ca. lic. plate you will get hit with a used tax. No idea how much less it will be on a 1 yr old MH

superrayzor wrote:...I see no problem in setting up a Montana LLC (or even Oregon) and just staying out of the state for the year...you may not see a problem with this but Sacramento may. being aggressive in paying only those taxes which you legitimately owe is one thing but most taxing bodies take a dim view of tax avoidance. I would research the heck out of forming a Montana LLC (or any state for that matter) before I pulled that trigger and my research would include an hour with a good tax atty in California. I suspect you're gonna find that this is a pay me now or pay me later situation. good luck.

Road trip to S.D. ? One night stay and set up domicile to register new toy, with lower tax and licensing to boot. Heck I bet you would save a couple grand more in insurance alone.Also you mentioned needing to change your D/L so you can avoid that Cali issue as well. SD , no state income tax, I dont think any Personal Prop tax either. And even though your unit is going to be new. No need to run back to any state a year later for state inspections diesel or otherwise. I'm in this process now and these were my reasons.

I don't know where you got your information, but California charges sales tax on the actual sales price, not the msrp.

Legally avoiding California Sales Tax | Good Sam Community

DiskDoctr
Explorer
Apr 16, 2017
No way I'd pay MORE tax than what was due on a purchase price.

Good luck.
John_Wayne
Explorer II
Apr 16, 2017
I think not sure but when you come back and want to get a Ca. lic. plate you will get hit with a used tax. No idea how much less it will be on a 1 yr old MH
rk911
Explorer
Apr 16, 2017
superrayzor wrote:
...I see no problem in setting up a Montana LLC (or even Oregon) and just staying out of the state for the year...

you may not see a problem with this but Sacramento may. being aggressive in paying only those taxes which you legitimately owe is one thing but most taxing bodies take a dim view of tax avoidance. I would research the heck out of forming a Montana LLC (or any state for that matter) before I pulled that trigger and my research would include an hour with a good tax atty in California. I suspect you're gonna find that this is a pay me now or pay me later situation. good luck.
kerrlakeRoo
Explorer
Apr 16, 2017
Road trip to S.D. ? One night stay and set up domicile to register new toy, with lower tax and licensing to boot. Heck I bet you would save a couple grand more in insurance alone.
Also you mentioned needing to change your D/L so you can avoid that Cali issue as well. SD , no state income tax, I dont think any Personal Prop tax either. And even though your unit is going to be new. No need to run back to any state a year later for state inspections diesel or otherwise.
I'm in this process now and these were my reasons.
RognBon
Explorer
Apr 16, 2017
I don't know where you got your information, but California charges sales tax on the actual sales price, not the msrp.
Old-Biscuit
Explorer III
Apr 16, 2017
And why are you worried about CA sales with a 'Seattle' location ????

Or is that incorrect!
time2roll
Nomad
Apr 16, 2017
RognBon wrote:
I don't know where you got your information, but California charges sales tax on the actual sales price, not the msrp.
I agree.

However any factory rebates or trade in value are applied after the full negotiated price is taxed.

If you fully comply with the law to be exempt then go for it. You may need to show some type of registration and residency out of CA. Find the actual law and read it carefully.
jplante4
Explorer II
Apr 16, 2017
Seem to remember a discussion about this in the past. You may want to search the archive. If I remember correctly, you can purchase and register in another state and as long as you don't enter California within a certain amount of time (I'm thinking it was 1 year), you don't have to pay CA sales tax.

I think this is the thread I remembered.
darsben1
Explorer
Apr 16, 2017
RognBon wrote:
I don't know where you got your information, but California charges sales tax on the actual sales price, not the msrp.

But any trade is not deducted from sale price
So a $250,000 Rv
with a
$100,000 Trade
difference
$150,000
but tax is on $250,000
enblethen
Nomad
Apr 16, 2017
Some dealers will deliver rig to Arizona. It may cost a little!
Remember if you are a Washington resident, you will have to pay sales tax based on your resident county.
You won't have to pay CA sales tax, but WA sales tax if delivered in AZ.