Forum Discussion
JKQ
Jun 08, 2013Explorer
Montana has no sales tax & no vehicle annual inspection. Oregon is also sales tax free. For the purpose of clarity: If a buyer who lives in NY, FL, PA, any state for that matter that has a sales tax, he will pay the appropriate sales tax to his home state upon registering the vehicle. Some dealers DO collect sales tax even if the buyer is out of state AND they send it to the home state of the buyer not the state of the purchase. So, using tax free Montana as an example here is how the tax is avoided. The RV purchaser cannot live in Florida, register the RV in his own name & address in Montana because to register any vehicle in Montana the individual OR COMPANY must be Montana based. By forming an LLC (limited liability company)in Montana with a Montana address your LLC is domesticated in Montana and comes within the state laws for registering a vehicle. The cost to set this LLC up is usually in the $1500.00 area, peanuts as compared to the sales tax on an expensive RV. So technically the LLC owns the RV registered in Montana but you living in any state own the LLC.
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