New purchase Sales Tax

[Lipets]

What's the current thinking on registering in a tax free or low tax rate state.

I'm looking over $10K in tax. (10,000)

Is it of those things that are done all the time?

Are there certain states that welcome the income for registering in their state?

[mowermech]

I'll say it again:
KNOW the law.
COMPLY with the law.
DOCUMENT your compliance with the law.

If complying with the law means you can NEVER bring your RV "home", DO NOT EVER cross the border into your home state with it!
If complying with the law means you must keep the RV out of your home state for 6 months or one year, then KEEP it out for that period, and be willing and able to PROVE that you have done so!
It really IS just that simple!

[ferndaleflyer]

And what does that have to do with their registration fees and taxes? I see 30 trailers in a lot that never leave the state they are parked in and all have Maine tags.

[wnytaxman]

jgolden wrote:

Lipets wrote:

jgolden wrote:
$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.

Rebates are taxed, I agree.

Discounts are never taxed in NY

You are never taxed on MSrP in NY, I would guess that no state does.

Thanks just got back to this post.
This from NY state Tax Dept
New vehicle (prior to rebates)
$25,000
Minus dealer’s rebate
- 1,000
Taxable amount
$24,000
In this example, since the dealer will be reimbursed by the manufacturer and the credit card company, neither the $2,000 manufacturer’s rebate nor the $500 credit card rebate may be deducted from the amount subject to sales tax. However, the dealer’s rebate of $1,000, which is not reimbursed by any other third party, must be deducted from the taxable amount.

Depends on what you call MSRP. If the dealer gives no "rebate" then the MSRP and the Taxable amount is the same, or so it appears.
As you can see the "price" example includes manuf rebates of $2000 and a credit card deal credit of $500. To get to the $25,000 sale price. Eliminate the dealer discount and the MSRP is the starting point.
I'll have to dig out the original paper work.

In NY you will pay the sales tax on the difference between your trade and the new rig. If someone is paying full MSRP on a new unit, then they have more issues than just sales tax. Only the cash difference is subject to sales tax.

[BobGed]

ferndaleflyer wrote:
How about one of you "experts" telling me how trucking companies from all over the country have their trailers registered in Maine? Legally! These things go over scales every day with no complaints.

Interstate trucking companies pay pro rated road use fees for the states they operate in.

[wa8yxm]

We just had another post from a RV er who said that "he did everything legal" when he set up his LLC so he could register his RV in a state with low tax.

Problem is.. His advisors lied. His state treasurer did not think it was legal at all and has just sent him a notice of apparent liability.

And odds are quite good it will stick.

Many others, over the years, have posted the same sad story.. Generally the liability you end up with is considerably more than if you'd paid up front like you should.

Now if you plan on MOVING to say SD or MT. Good for you.

But so long as you reside in __, registering your RV in another state is one sick bird (That is an ILL Eagle) folks). Thank K6ATX for the pun.

[ferndaleflyer]

How about one of you "experts" telling me how trucking companies from all over the country have their trailers registered in Maine? Legally! These things go over scales every day with no complaints.

[J-Rooster]

It might be worth your time to talk to a N.Y. tax attorney to find out all the in's and out's on tax laws! The main thing is to protect yourself from doing something that is illegal, when at the time you thought it was O.K.

[jgolden]

Lipets wrote:

jgolden wrote:
$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.

Rebates are taxed, I agree.

Discounts are never taxed in NY

You are never taxed on MSrP in NY, I would guess that no state does.

Thanks just got back to this post.
This from NY state Tax Dept
New vehicle (prior to rebates)
$25,000
Minus dealer’s rebate
- 1,000
Taxable amount
$24,000
In this example, since the dealer will be reimbursed by the manufacturer and the credit card company, neither the $2,000 manufacturer’s rebate nor the $500 credit card rebate may be deducted from the amount subject to sales tax. However, the dealer’s rebate of $1,000, which is not reimbursed by any other third party, must be deducted from the taxable amount.

Depends on what you call MSRP. If the dealer gives no "rebate" then the MSRP and the Taxable amount is the same, or so it appears.
As you can see the "price" example includes manuf rebates of $2000 and a credit card deal credit of $500. To get to the $25,000 sale price. Eliminate the dealer discount and the MSRP is the starting point.
I'll have to dig out the original paper work.

[GHOST1750]

Think I'll not buy that new 1.5 million Prevost I've been dreaming about. :W

I bought 10 years ago when it was legal to take out of stste delivery. I kept every receipt even for as small as a candy bar and made sure I followed every rule. I sweat out the time until I received the approval from the stste. I didn't cheat, I lived in the blamed thing the full time it was out of state.

[2oldman]

Francesca Knowles wrote:
What kind of a world do we live in where you, someone who does the honorable thing and pays the same rates as the neighbors you share our State with, is left feeling somehow stupid or foolish for having paid your fair share?

I guess I forgot to include the wink icon.

[Passin_Thru]

I think you should "Render unto Ceasar that which is Ceasars" so the rest of us don't have to carry your share of the burden. Sine when do you think I should pay your taxes?? Wait til you get the Fl tax bill. BWAHAHA

[Francesca_Knowl]

2oldman wrote:
I have many neighbors who have Montana LLC's, registrations in Oregon, and have paid very little tax on their big RVs. Like an idiot I obeyed the law and paid my legal, exhorbitant fees in WA. I'm not squealing on them because I'm too embarrassed to admit I didn't do it myself. After all, these people are still buying gas in my state so I guess that makes up for it. And I think they may have guns.

The "chump factor"...I'm sorry you have gotten caught up in it, 2Oldman!

What kind of a world do we live in where you, someone who does the honorable thing and pays the same rates as the neighbors you share our State with, is left feeling somehow stupid or foolish for having paid your fair share?

[wny_pat1]

Sale tax in NYS is once. Registration is every two years and the cost is very reasonable when compared to many other states. So before you jump, be very careful what state you go to!! And in other states, their counties may charge you a yearly tax on your motorhome!!! So there is something else you what to watch out for!

[2oldman]

Lipets wrote:
Is it of those things that are done all the time?

Are there certain states that welcome the income for registering in their state?

Oh sure.. people do it all the time with advice from this board. I have many neighbors who have Montana LLC's, registrations in Oregon, and have paid very little tax on their big RVs. Like an idiot I obeyed the law and paid my legal, exhorbitant fees in WA. I'm not squealing on them because I'm too embarrassed to admit I didn't do it myself. After all, these people are still buying gas in my state so I guess that makes up for it. And I think they may have guns.

The states love it too and will welcome you with open arms. So sure, go ahead and register it wherever you want. If they ask you for a local address, just make one up. They never check.

Tell everyone you heard it on here. Heck, you could have heard it on here 7 years ago.

[Lipets]

jgolden wrote:
$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.

Rebates are taxed, I agree.

Discounts are never taxed in NY

You are never taxed on MSrP in NY, I would guess that no state does.