New purchase Sales Tax

ferndaleflyer wrote:
Does any one know exactly how those that got caught at this were caught???? I have said this on here before---I have 3 homes in 3 different states and everything is registered in the state most friendly to me....If I changed drivers license & registration every time I was at any of the 3 over 30 days I would go broke. On the other hand I have never been questioned in over 30 years.

There are various ways that people get caught with using a Montana LLC illegally. In some instances it may the seller dealer being audited by their state and that state reporting back to the state being shorted. For example, my client who got caught had purchased his rig in Florida from a dealer. As is common in vehicle purchases, they had to provide a copy of their NY driver's license even though the vehicle was purchased by a Montana LLC. Our best guess is that the selling dealer was audited by Florida sales tax whom we believe reported the purchase to NY Sales Tax who in turn contacted the client and requested that he provide proof that he had complied with NYS law. He could not provide that proof so he owed the tax, penalty and interest.

In other situations, the taxpayer is reported by a neighbor or an ex-spouse or by the local police who just happen to notice the Montana plates in a local garage/driveway/yard. It isn't really rocket science on getting caught, but even fairly intricate precautions may still not be enough to avoid the call from the state taxing authorities.

Getting back to the OP. He is currently a resident of NY. More than likely the discussion about CA law is not applicable. Now we turn to his question of licensing his new RV in Florida. Again, we have a NYS resident licensing a vehicle in a state other than his home state. To add to the problem NYS is very, very aggressive in pursing NY residents who are now claiming Florida residency for any reason. He may be inviting a lot of tax issues with his efforts to avoid the sales tax. The odds of using the Montana/Florida sales tax dodge may backfire and create a lot more items being audited.

If you have a driver's license, with matching state address, in the state the vehicle is registered in you are fine. The problem always arises when your registration is in Montana (or another state) and your driver's license is from California (an example) or your actual state of residence. When the drivers license and registration information do not match the automatic assumption is tax fraud. Most state's motor vehicle code considers this scenario an offense and you can and will be ticketed. In CA the vehicle(s) can even be impounded if the officer is having a bad day or you try to BS him.
Randy

I think most get turned in by irate neighbors who resent picking up the tab for such scofflaws.

And who can blame them?

Does any one know exactly how those that got caught at this were caught???? I have said this on here before---I have 3 homes in 3 different states and everything is registered in the state most friendly to me....If I changed drivers license & registration every time I was at any of the 3 over 30 days I would go broke. On the other hand I have never been questioned in over 30 years.

$10K is a big ticket charge. My county is 8%.
My last new vehicle (pickup truck) NY charged tax on MSRP. Rebates and discount off the price were taxed. Tax website explains it, or at least restates it.

Around here, at 50 degrees many people are still wearing flip-flops, shorts, and a T-shirt!
I understand what you are saying, though. When I visit my son near Visalia, I am often amused at the people wearing winter coats at 50 degrees!
I'm trying to think of something to type to get the thread back to the original thoughts, but it seems everything that needs to be said has been said!

mowermech wrote:
I think you have been listening to too many snowbirds who are trying to justify their migrations.

IMHO...anything below 50 degrees is too cold......:B:B....Dennis

"Montana has some cold cold winters and in places ther and the Dakotas the Folks go to the store in the fall and stock up for 6 months. They aree pretty much stuck in the area of the ranch for the duration except some that have Helicopters."

My aunt and uncle were ranchers, and I met a few quite wealthy ranchers. While a few had a small fixed wing airplane, I never met one that had a helicopter. They are VERY expensive to buy, and VERY expensive to maintain.
The winters here aren't all THAT cold. While people who live on farms and ranches keep trips to town to a minimum, very few hunker down on the ranch for the entire winter. There is no need to, the roads are kept plowed, and, as we all know, EVERYBODY has a four wheel drive (except me, I have TWO of them!).
I think you have been listening to too many snowbirds who are trying to justify their migrations.

Francesca Knowles wrote:

mowermech wrote:

For example, if you live in California, the law says if you keep it out of state for one year, and can prove that it was never in CA for that calendar year, you can register it in CA without paying any sales or use tax. It really IS just that simple!

Well...it's not really THAT "simple"...

Here quoting from CA. BOE How to request a use tax clearance

" Vehicles
The BOE may request any documentation that demonstrates out-of-state delivery and use of the vehicle outside of California during the applicable test period. Such documentation may include, but is not limited to:
• A signed and notarized BOE-448, Statement of Delivery Outside California.
• A copy of the purchase agreement or contract.
• Documents that show delivery outside of California and who contracted for that delivery (buyer or seller).
• Documents to show the first functional use outside of California.
• Receipts for meals.
• Receipts for lodging or campground receipts.
• Receipts for fuel.
• Receipts for transportation.
• Documentation to show the use and location of the vehicle outside of California during the applicable qualifying
period (12 months or 90 days).
• Cell phone bills that show the purchaser outside of California during the qualifying period.
• Registration or title documents for the vehicle or vessel in another state.
• Credit card receipts/bank statements.
• Insurance documents which indicate the location and time period of coverage of vehicle and its navigational
limits.
• Any other documents that would show the location and use of the vehicle outside of California during the
qualifying period."

Mowertech is correct, it is that simple. The proof is that listed in the BOE documents. We did it on our coach, just kept a log with all receipts taped to the back of the pages. We did get a letter from BOE asking for proof and all we did was send copies. A year later they wrote back and said all was well.

If I were fortunate enough I would buy for Montana or other and with the intent, of spending a year in the area maybe even a permanent pad or lot constructed well to return too.
Montana has some cold cold winters and in places ther and the Dakotas the Folks go to the store in the fall and stock up for 6 months. They aree pretty much stuck in the area of the ranch for the duration except some that have Helicopters.
To save 10,000 to 75,000.00 in taxes it is worth it. You may face other taxation outside of an RV Park but that would take some investigation.
There is plenty to do and see there and if a year sounds good well....