Go Back   iRV2 Forums > iRV2.com COMMUNITY FORUMS > iRV2.com General Discussion
Click Here to Login
Join iRV2 Today

Mission Statement: Supporting thoughtful exchange of knowledge, values and experience among RV enthusiasts.
Reply
  This discussion is proudly sponsored by:
Please support our sponsors and let them know you heard about their products on iRV2
 
Thread Tools Search this Thread Display Modes
 
Old 09-28-2008, 05:11 PM   #1
Junior Member
 
Join Date: Sep 2008
Posts: 16
HAS ANY ONE PURCHED THER MH HOME THROUGH AN LLC AND HOW HARD WAS IT TO DO. PLANING TO BYE IN 8-10 MONTHS
__________________

__________________
PAPA BEAR is offline   Reply With Quote
Join the #1 RV Forum Today - It's Totally Free!

iRV2.com RV Community - Are you about to start a new improvement on your RV or need some help with some maintenance? Do you need advice on what products to buy? Or maybe you can give others some advice? No matter where you fit in you'll find that iRV2 is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with other RV owners, see fewer ads, upload photographs, create an RV blog, send private messages and so much, much more!

Old 09-28-2008, 05:11 PM   #2
Junior Member
 
Join Date: Sep 2008
Posts: 16
HAS ANY ONE PURCHED THER MH HOME THROUGH AN LLC AND HOW HARD WAS IT TO DO. PLANING TO BYE IN 8-10 MONTHS
__________________

__________________
PAPA BEAR is offline   Reply With Quote
Old 09-28-2008, 05:24 PM   #3
Senior Member
 
j2detoit's Avatar
 
Join Date: Oct 2002
Location: Detroit Lakes MN
Posts: 214
Welcome You should do what is leagal and proper Buy it pay for it and take care of the obligations that come with it
__________________
JJ,

2006 30 ft Cherokee TT
j2detoit is offline   Reply With Quote
Old 09-28-2008, 05:36 PM   #4
Senior Member
 
RVThere's Avatar
 
Freightliner Owners Club
Join Date: Aug 2008
Location: Florida Keys
Posts: 2,163
Papa bear,

I was all set to buy my MH through a Montana LLC back in June. I set up the LLC and everything. A few red flags made me change my mind:

1. My accountant was dead set against it. He explained to me that 'sales tax' is actually 'sales and use tax' so he did not think it was legal to buy it through a Montana LLC and live in NJ. And trust me, this guy is not shy about pushing the IRS.
2. Your interest rate will be a 0.5% higher. If you plan on keeping your rig over 5 years, it could be you are paying more in interest than you are saving on the sales tax.
3. There was only ONE bank that would loan to a LLC so you could not shop around for the best rates.
4. You have to get a separate insurance policy for the rig so you can't take advantage of a multi-vehicle discount on one policy. My agent in NJ could not insure a MH that belonged to an LLC in Montana.
5. You have to renew your LLC every year for about $150.
6. In Colorado, the prosecuted a number of people who had a LLC and did not pay sales tax on their rigs.

On the surface, a LLC seems too good to be true. When you dig down, in many cases, it doesn't live up to its hype.
__________________
Tom and Katharine
'07 Winnebago Tour 40TD, 400hp Cummins
'17 Winnebago View 24V, '02 R-Vision B+
RVing for 19 years & 150,000+ miles
RVThere is offline   Reply With Quote
Old 09-28-2008, 05:38 PM   #5
Senior Member
 
cb5300's Avatar
 
Monaco Owners Club
Appalachian Campers
Join Date: Nov 2007
Posts: 1,167
I've bought 2 motor homes through a LLC and it was very easy. You have to make sure that you cross all of your t's and dot all of the i's, but if you do then you shouldn't have any problems.
__________________
Charles and Martha*2008 Monaco Signature
FMCA #F388752*GoodSam Life Member
2007 Ford Explorer - Toad
cb5300 is offline   Reply With Quote
Old 09-28-2008, 05:51 PM   #6
Senior Member
 
cb5300's Avatar
 
Monaco Owners Club
Appalachian Campers
Join Date: Nov 2007
Posts: 1,167
<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by RVThere:
Papa bear,

2. Your interest rate will be a 0.5% higher. 3. There was only ONE bank that would loan to a LLC so you could not shop around for the best rates.
4. You have to get a separate insurance policy for the rig so you can't take advantage of a multi-vehicle discount on one policy. My agent in NJ could not insure a MH that belonged to an LLC in Montana. </div></BLOCKQUOTE>

When I bought my current MH in March of this year I had 5 banks that was trying to get my loan, not counting the two here in VA that I normally do business with, and the interest rate was no higher for my LLC. You are right in the fact that your NJ agent couldn't insure your RV if tagged in in Montana cause you have to insure where you have it tagged, however, if you are using a insurance company that is doing business in NJ and MT then your NJ agent could have found you an agent in MT and then worked out something for you. My policy in MT is cheaper then the VA policy and has state mandated coverage that is better. So in my case the LLC was a good thing, no sales tax (3%) and also no personel property tax every year that runs $5.95/$100.00 here in my county.
__________________
Charles and Martha*2008 Monaco Signature
FMCA #F388752*GoodSam Life Member
2007 Ford Explorer - Toad
cb5300 is offline   Reply With Quote
Old 09-28-2008, 06:16 PM   #7
Junior Member
 
Join Date: Sep 2008
Posts: 16
THANKS FOR THE INFORMATION WILL LOOK FUTHER
__________________
PAPA BEAR is offline   Reply With Quote
Old 09-29-2008, 08:08 AM   #8
Moderator Emeritus
 
Gary RVRoamer's Avatar


 
Join Date: Jan 2000
Location: Silver Springs, FL. USA
Posts: 18,078
If your Montana LLC owns the vehicle but you keep it in New Jersey, you could be violating some NJ laws. Most states have a law that says if a vehicle is kept in the state more than 30 days, it has to be registered and titled in the state. And if you do that, it becomes taxable (sales and use tax). That's basically how the people in Colorado got caught up - they were keeping and using their RVs in the state of Colorado, even though they were registered in Montana bu the LLC.
__________________
Gary Brinck
Former owner of 2004 American Tradition
Home is in the Ocala Nat'l Forest near Ocala, FL
Summers in Black Mountain, NC
Gary RVRoamer is offline   Reply With Quote
Old 09-29-2008, 12:42 PM   #9
Senior Member
 
Join Date: Apr 2000
Location: Crossville,TN USA
Posts: 437
I have no issue with someone "avoiding" taxes. However, since day one I have felt that a Montana LLC is tax "evasion", and that may cost you far more than in the long run than you could ever expect to save.

One of the keys is the term LLC, which all of those professing to be able to set this up for you, use in their corporate identity. If they themselves are Limited Liability Corporations what does that tell you. Another key to me is that all of these MT set-up operations advertise extensively----if a lawyer is advertising to get business that puts up a red flag in my mind. Flame me if you will; but, I will continue to sleep well and not worry about when the tax man is going to be knocking on my door, Ken...
__________________
Ken Roberts is offline   Reply With Quote
Old 09-29-2008, 02:36 PM   #10
doc
Senior Member
 
doc's Avatar
 
Appalachian Campers
Join Date: Sep 2002
Location: Dixie !! (north Georgia) USA
Posts: 2,954
Welcome aboard PapaB.
(long story - I apologize)
I examined very closely what you are talking about last March when we bought our current MH. Talked to the lawyers in Montana and was ready to spend the necessary money to set up the corporation. Somewhere about our second conversation is when I told him we were not fulltimers, just retired and traveled 3-4 months per year - that we still had a residence in Georgia and voted here. It was then he said I might get in trouble in Georgia if the coach stayed in Georgia at least six months per year. I did not want to pay the tremendous sales tax here in Ga (over 10 thousand dollars ) and then pay our ad valorum (basically a property tax) forever. He told me I might get away with it, but if I were questioned it would probably mean a hefty fine and the amount of sales tax not collected at the time of the sale. I figured I had been a LEO most of my life and didn't want to go to a prison and meet someone I sent there.
So I wrote another check for balance of the sales tax not collected in SC where I bought the coach.
Short of moving to a state with a top limit on sales tax (for instance SC has a $300 limit) before the purchase, I offer no help. But lots of sympathy and empathy
__________________
doc is offline   Reply With Quote
Old 09-29-2008, 05:04 PM   #11
Senior Member
 
Ray,IN's Avatar
 
Join Date: Aug 2001
Location: North America somewhere
Posts: 13,700
There is a guy right now negotiating with Illinois Dept. of Revenue for evading state sales tax on his MH he purchased through a MT LLC. See the escapees forums for his post and the pages of replies. He seems to be in a real bind financially.
It's not worth the risk, many states, in this time of financial turmoil, are now searching for "lost" revenue.
Ask that MT lawyer if they will pay all fines and late fees if you are prosecuted because they failed you. The answer is NO! MT lawyers don't care what happens outside the borders of MT.

In the final analysis though, it's your money and your life to do with as you please.
__________________
2000 Winnebago Ultimate Freedom USQ40JD, ISC 8.3 Cummins 350, Spartan MM Chassis. USA 1SG, retired;PPA,Good Sam Life member,FMCA."We the people are the rightful masters of both the Congress and the Courts - not to overthrow the Constitution but to overthrow men who pervert the Constitution. "Abraham Lincoln"
Ray,IN is online now   Reply With Quote
Old 09-29-2008, 05:20 PM   #12
Senior Member
 
Bobby C's Avatar
 
Monaco Owners Club
Join Date: Mar 2008
Location: Birmingham, AL
Posts: 174
Insurance is bought on where the vehcile is garaged, not where the tag was bought. If the vehicle is "owned" by and LLC, you may have difficulty buying "traditional" MH insurance. You may have to buy commercial insurance. However, I am confident some company may insure a private coach that is "owned" by an LLC. I would check that part out as a part of your due-dilligents.
__________________
2008 Monaco Monarch 34SBD Ford F 53 Chassis

2007 Ford Explorer V8 Towed
Bobby C is offline   Reply With Quote
Old 09-29-2008, 05:46 PM   #13
Junior Member
 
Join Date: Sep 2008
Posts: 16
THANKS FOR THE INPUT WILL DO MORE CHECKING
__________________
PAPA BEAR is offline   Reply With Quote
Old 09-29-2008, 05:53 PM   #14
Junior Member
 
Join Date: Sep 2008
Posts: 16
WELL I WAS JUST CHECKING BECOUCE OF THE ADD WONTED TO AVOID 8.75% TAX IF I COULD TO OLD TO GO TO JAIL THANKS
__________________

__________________
PAPA BEAR is offline   Reply With Quote
Reply



Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Mt. LLC recommendation? BOB E iRV2.com General Discussion 2 11-06-2008 07:47 PM
New Jersey & LLC reg GG1 Northeast Region 5 05-21-2008 11:26 AM
Montana LLC /NKK Ecker Newmar Owner's Forum 17 08-09-2007 10:02 AM
Detroit Chassis LLC Skip- Kerrville, TX Ford Motorhome Chassis Forum 7 07-15-2007 07:02 PM
Montana LLC ChiefJohn iRV2.com General Discussion 1 01-15-2007 12:30 PM

» Virginia Campgrounds

Reviews provided by


Copyright 2002- Social Knowledge, LLC All Rights Reserved.

All times are GMT -6. The time now is 04:37 PM.


Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.