wbwood wrote:
Whether you call it avoidance or evasion, I don't think it really matters. If you don't agree with the taxes your state collects, then move to a place with lower taxes or no taxes at all. You are living where you are for a reason. Obviously you like it. I know one thing, if you "avoid" paying your home state the taxes on something you bought in another state, then don't be surprised when you receive a tax bill from your home state. I know on the NC state tax paperwork that we file every year, there is a question where it asks if you bought anything out of state. States are really cracking down on getting what is theirs.
What the OP mentioned is shady in my book.
There is a big difference between avoidance and evasion....I avoid paying higher taxes in TX where I own property because I am a legal resident in SD....I legally do not stay in TX past their six month residency requirement so I legally don't have to register there...my property is vacation property under TX law. I do register my vehicles in SD, have my license there, and pay all subsequent taxes...but own no property there...we are true full timers.
If I registered in SD and lived as a resident in TX, past their own state requirements, I would be evading there taxes and fees by not registering as a resident and registering my vehicles there. BTW, I do pay property taxes to TX on the property I own...the key is knowing the laws, abiding by them and paying only the taxes that I LEGALLY owe.