Anyone from CA ever use BOE Pub 52 Rules?
I am going to be intentionally vague as I am only looking for feedback from those who have legally gone through this process or have looked into it for themselves. Seems very straightforward as long a...
Forum Discussion
California is intentionally vague in some areas but very specific in others....
Excerpt:
For purchases or binding purchase contracts entered into prior to October 2, 2004, and on or after July 1, 2007,
through September 30, 2008, use tax is generally due if a vehicle or vessel was purchased outside California, and
brought into this state within 90 days of purchase, not including any time of shipment to California, or time of
storage for shipment to California. Use tax will not apply if the vehicle, or vessel was used, stored, or both used and
stored outside of California one-half or more of the time during the six-month period immediately following its
entry into this state.
For purchases beginning October 2, 2004, through June 30, 2007, and on or after October 1, 2008, a vehicle or
vessel purchased outside of California and brought into California within 12 months from the date of its purchase is
presumed to have been purchased for use in California and subject to tax if that vehicle or vessel is:
Purchased by a California resident as defined in section 516 of the California Vehicle Code, or
In the case of a vehicle, subject to California vehicle registration during the first 12 months of ownership, or
In the case of a vessel, subject to property tax in California during the first 12 months of ownership, or
Used or stored in California for more than one-half of the time during the first 12 months of ownership.
Effective January 1, 2010, a California resident is defined to include a closely held corporation or limited liability
company if 50 percent or more of the shares or membership interests are held by shareholders or members who are
residents of California as defined in section 516 of the Vehicle Code.
In our case, we gave up our California residency prior to buying our coach in Arizona. We then took possession of it in New Mexico and registered it in South Dakota, our resident State. I was retiring in July and we left the State in September so as to California, no use tax was due nor were any registration fees. If you are still a resident of California, the above would only apply if the vehicle was out of the State for 6 months and a day. If taking delivery out of state, it must be taken to the out of state location by the seller or a seller's agent ONLY. You cannot hire someone to take it out of state for you as California will deem you control it and the use tax would apply. I had the Arizona dealer deliver it to me in New Mexico and had a notarized statement from NM so stating.
If you decide to keep it out of California there are a bunch of receipts and documentation necessary to prove it did not enter California. They are vague as to what records you will need. One thing they are specific about, though, is those records must be kept for EIGHT YEARS.
My answer may or may not clear up whatever it is you're trying to accomplish. That said, I do know that as of 2008 California has a separate task force assigned to assist the CDMV in collecting taxes and such. They investigate many cases looking for slip ups. The C.H.E.A.T.E.R. system also funnels cases through this task force. They quietly investigate Montana LLCs and the like. The rules are there but I would make doggone sure all my I's were dotted and T's crossed. Finally, "motive" honorable or otherwise has nothing to do with it. Follow the rules and you should be ok unless someone in Sac gets a wild hair, slip up and you could be toasted......just sayin.....Dennis
Excerpt:
For purchases or binding purchase contracts entered into prior to October 2, 2004, and on or after July 1, 2007,
through September 30, 2008, use tax is generally due if a vehicle or vessel was purchased outside California, and
brought into this state within 90 days of purchase, not including any time of shipment to California, or time of
storage for shipment to California. Use tax will not apply if the vehicle, or vessel was used, stored, or both used and
stored outside of California one-half or more of the time during the six-month period immediately following its
entry into this state.
For purchases beginning October 2, 2004, through June 30, 2007, and on or after October 1, 2008, a vehicle or
vessel purchased outside of California and brought into California within 12 months from the date of its purchase is
presumed to have been purchased for use in California and subject to tax if that vehicle or vessel is:
Purchased by a California resident as defined in section 516 of the California Vehicle Code, or
In the case of a vehicle, subject to California vehicle registration during the first 12 months of ownership, or
In the case of a vessel, subject to property tax in California during the first 12 months of ownership, or
Used or stored in California for more than one-half of the time during the first 12 months of ownership.
Effective January 1, 2010, a California resident is defined to include a closely held corporation or limited liability
company if 50 percent or more of the shares or membership interests are held by shareholders or members who are
residents of California as defined in section 516 of the Vehicle Code.
In our case, we gave up our California residency prior to buying our coach in Arizona. We then took possession of it in New Mexico and registered it in South Dakota, our resident State. I was retiring in July and we left the State in September so as to California, no use tax was due nor were any registration fees. If you are still a resident of California, the above would only apply if the vehicle was out of the State for 6 months and a day. If taking delivery out of state, it must be taken to the out of state location by the seller or a seller's agent ONLY. You cannot hire someone to take it out of state for you as California will deem you control it and the use tax would apply. I had the Arizona dealer deliver it to me in New Mexico and had a notarized statement from NM so stating.
If you decide to keep it out of California there are a bunch of receipts and documentation necessary to prove it did not enter California. They are vague as to what records you will need. One thing they are specific about, though, is those records must be kept for EIGHT YEARS.
My answer may or may not clear up whatever it is you're trying to accomplish. That said, I do know that as of 2008 California has a separate task force assigned to assist the CDMV in collecting taxes and such. They investigate many cases looking for slip ups. The C.H.E.A.T.E.R. system also funnels cases through this task force. They quietly investigate Montana LLCs and the like. The rules are there but I would make doggone sure all my I's were dotted and T's crossed. Finally, "motive" honorable or otherwise has nothing to do with it. Follow the rules and you should be ok unless someone in Sac gets a wild hair, slip up and you could be toasted......just sayin.....Dennis
