GA coming after MT plate owners
10-31-2018, 10:41 PM
#241
I live in Montana, but always register and title my cars in California to help the state make up all the lost tax revenue from @usctrojanGT3
11-01-2018, 12:07 AM
#242
I live in Montana, but always register and title my cars in California to help the state make up all the lost tax revenue from @usctrojanGT3
11-01-2018, 08:04 AM
#243
Many are, many arent.
I think the crux of this argument is what FastMD stated previously- his taxes have gone up and services have gotten worse. And yet the "rich" continued to be told that they arent paying their fair share when a majority of taxes are paid by those with wealth. So when you have an opportunity to save taxes wherever possible, ie car registration taxes, why not do it?
I think the crux of this argument is what FastMD stated previously- his taxes have gone up and services have gotten worse. And yet the "rich" continued to be told that they arent paying their fair share when a majority of taxes are paid by those with wealth. So when you have an opportunity to save taxes wherever possible, ie car registration taxes, why not do it?
and yes we pay to support children and families that what oppurtunity
but heck they don't pay there share.....how long can this country support the world.
My family came here as immigrants also but legally and we were not given anything.
We work and achieve and pay taxes.
and don't expect handouts.
11-01-2018, 10:29 AM
#244
Racer
Lets all stop trying to judge others. If this was illegal, then every time I go to Coffee and Cars here locally and there are a dozen cars with Montana plates, why do the cops, who are present at the events, just sit by and do nothing?
You want to pay more tax, by all means do so. There are folks who try to minimize their tax burdens and for that I say good for them.
Any time you make a false filing (like starting a business that doesn't conduct business) in order to evade a tax, it flirts with that territory. Whether or not you get hammered for it depends on how much tax is getting evaded (and how many people are taking advantage), enforcement priorities, how easy to detect and prove the scheme is, and to some degree, politics. The Montana scheme would still be going strong if only a handful of people were using it but when hundreds or thousands of people got in the game, that's when it attracted the attention of the tax authorities.
11-01-2018, 10:56 AM
#245
P.S. why not buy a cabin in montana, get an adress and be 'legal'? I really don't understand this very well, why would police have anything on MT plate cars, they could be registered as an asset of a Zambian llc as long as they are registred in US they can drive wherever they want, no?
If you can open a llc in Montana without living there and register a car there, why and how the hell would someone forbidden that? US is open borders between states, no? As long as there isn't fraud on the process, all is well.
If you can open a llc in Montana without living there and register a car there, why and how the hell would someone forbidden that? US is open borders between states, no? As long as there isn't fraud on the process, all is well.
11-01-2018, 10:59 AM
#246
Yes open boarders, but you have 50 tax laws from state to state. Federal tax is common in all states.
11-01-2018, 11:26 AM
#247
Those are all illegal, it's just that you're unlikely to get caught unless you're flagrant about it or have somehow attracted scrutiny for some other reason.
Cops are not usually responsible for catching tax scofflaws. That comes down to the IRS and state tax revenue departments.
I don't think anyone is arguing against legitimate means of reducing tax burden. It's when you start getting into setting up sham businesses to get around taxes is where it gets iffy. Not to say it's 100% illegal because other people in other states have fought and won. But that practice dances on the line between tax avoidance and tax evasion.
Any time you make a false filing (like starting a business that doesn't conduct business) in order to evade a tax, it flirts with that territory. Whether or not you get hammered for it depends on how much tax is getting evaded (and how many people are taking advantage), enforcement priorities, how easy to detect and prove the scheme is, and to some degree, politics. The Montana scheme would still be going strong if only a handful of people were using it but when hundreds or thousands of people got in the game, that's when it attracted the attention of the tax authorities.
Cops are not usually responsible for catching tax scofflaws. That comes down to the IRS and state tax revenue departments.
I don't think anyone is arguing against legitimate means of reducing tax burden. It's when you start getting into setting up sham businesses to get around taxes is where it gets iffy. Not to say it's 100% illegal because other people in other states have fought and won. But that practice dances on the line between tax avoidance and tax evasion.
Any time you make a false filing (like starting a business that doesn't conduct business) in order to evade a tax, it flirts with that territory. Whether or not you get hammered for it depends on how much tax is getting evaded (and how many people are taking advantage), enforcement priorities, how easy to detect and prove the scheme is, and to some degree, politics. The Montana scheme would still be going strong if only a handful of people were using it but when hundreds or thousands of people got in the game, that's when it attracted the attention of the tax authorities.
11-01-2018, 11:27 AM
#248
Racer
2 problems with that. One, unless you already wanted to purchase a cabin in Montana, buying a cabin just so you can register a car in MT and save on tax would almost assuredly be a net loss. Why buy a cabin you don't want for $100k in an attempt to save $30k in car taxes? Secondly, this scheme wouldn't really work anyway because a lot of states require you to register the car in your state of residence if that is where it is primarily garaged. So in the case of GA, if you have a GA license and the car is in GA for more than a certain number of days of the year, you have to register the car in GA. Doesn't matter if you own a MT cabin unless your legal residence is there.
Yes you can drive wherever you want. It's just that there are laws about when and where you have to register a car, based on where you live. And with that, comes taxes.
This is the issue. If you open a legitimate business and register a car to it, that's one thing. Even then, if the car is primarily garaged and used in another state, often you have to register the car in that state. But if you open an LLC that doesn't conduct any business, just so you can register a car to it to avoid taxes, that's the problem. In general, shell companies are legal for various reasons so maybe some of these folks can fight and win on that technicality but the fact that these guys only opened the LLC to avoid car tax is where the state may have them by the *****.
I really don't understand this very well, why would police have anything on MT plate cars, they could be registered as an asset of a Zambian llc as long as they are registred in US they can drive wherever they want, no?
If you can open a llc in Montana without living there and register a car there, why and how the hell would someone forbidden that? US is open borders between states, no? As long as there isn't fraud on the process, all is well.
11-01-2018, 11:36 AM
#249
Rennlist Member
Separate from from the MT thing, but related, how does it work if you store your cars in one state, but typically drive them in a bordering state?
And the additional layer of having your primary address in a different state? Or different country???
It seems like most of the insurance and tax laws around vehicles are aimed at regularly driven/ primary vehicles. Registering, insuring and paying fees/taxes on a rarely used collection spread out in different locations (and that shifts locations sometimes) seems to get a bit complicated compared to the cut/dry opinions/interpretations on this thread.
And the additional layer of having your primary address in a different state? Or different country???
It seems like most of the insurance and tax laws around vehicles are aimed at regularly driven/ primary vehicles. Registering, insuring and paying fees/taxes on a rarely used collection spread out in different locations (and that shifts locations sometimes) seems to get a bit complicated compared to the cut/dry opinions/interpretations on this thread.
11-01-2018, 11:42 AM
#250
P.S. why not buy a cabin in montana, get an adress and be 'legal'? I really don't understand this very well, why would police have anything on MT plate cars, they could be registered as an asset of a Zambian llc as long as they are registred in US they can drive wherever they want, no?
If you can open a llc in Montana without living there and register a car there, why and how the hell would someone forbidden that? US is open borders between states, no? As long as there isn't fraud on the process, all is well.
If you can open a llc in Montana without living there and register a car there, why and how the hell would someone forbidden that? US is open borders between states, no? As long as there isn't fraud on the process, all is well.
11-01-2018, 12:27 PM
#251
Burning Brakes
Sales tax been an issue for years with Washington State residents who live in WA cities bordering Oregon cities.
i.e. Vancouver WA / Portland OR. Up to 10.1% sales tax in WA + high registration v no sales tax in Oregon
and cheap 2 year license plates.
Washington State Patrol monitors WA residents who are possible offenders w/OR plates and eventually let them
explain their position to a judge.
One example of many:
https://katu.com/news/local/wsp-hand...county-schools
i.e. Vancouver WA / Portland OR. Up to 10.1% sales tax in WA + high registration v no sales tax in Oregon
and cheap 2 year license plates.
Washington State Patrol monitors WA residents who are possible offenders w/OR plates and eventually let them
explain their position to a judge.
One example of many:
https://katu.com/news/local/wsp-hand...county-schools
Last edited by Hothonda; 11-01-2018 at 12:50 PM.
11-01-2018, 11:40 PM
#252
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Bottom line is a MT LLC owning a car is legal and not subject to state sales tax. Transferring the registration to the state where the car resides a month or two later should not have any sales tax burden. Also fully legal. If doing this is allowed in your state, why not? I certainly have better use for the saved $ than the state does.
11-02-2018, 12:06 AM
#253
Bottom line is a MT LLC owning a car is legal and not subject to state sales tax. Transferring the registration to the state where the car resides a month or two later should not have any sales tax burden. Also fully legal. If doing this is allowed in your state, why not? I certainly have better use for the saved $ than the state does.
11-02-2018, 12:43 AM
#254
Bottom line is a MT LLC owning a car is legal and not subject to state sales tax. Transferring the registration to the state where the car resides a month or two later should not have any sales tax burden. Also fully legal. If doing this is allowed in your state, why not? I certainly have better use for the saved $ than the state does.
11-02-2018, 02:06 AM
#255
And you're required to do so within 30 days if you plan on driving it on public roads. This is where the illegality of registering in Montana and then never registering it in California despite driving it on public roads here comes in...
