Legally avoiding California Sales Tax

superrayzor wrote:
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.

I wonder if anyone has ever challenged this, since sales tax is supposed to be on the actual sales price and I've paid just 6 cents tax on used vehicles in more than one state.
Having said that, I'd be inclined to reside in my LLC Montana coach and rent or keep a second home in CA. I mean you are allowed to cross the border into CA with any out of state licensed vehicle, are you not? Also work in that state without establishing residency?