Community Forums

timjet · 04-22-2016, 06:29 AM

The state of FL charges 6% tax on the full purchase price of a new or used RV. Some folks have partially avoided these high taxes by creating a LLC and registering in Montana.

Can anyone shed some light on this, pros and cons??

Clayobx · 04-22-2016, 06:39 AM

IMHO, trouble. Unless your planning on full time and establishing Montana or SD as a domicile. Many states, FL being one view it as tax fraud. Use the google search on IRV2. Here you'll find volumes of opinions and facts. Summary, FT ok, living in s/b in FL spells trouble.

OLYLEN · 04-22-2016, 07:17 AM

You cheat the state so I can pay more taxes. It's called tax evasion. You live there support the system or move. JON

LEN

BarryG20 · 04-22-2016, 07:53 AM

As others have said do so at your own risk. Could be worse where I live we have to pay 8.1% sales tax and then a 2% owners tax at time of registration.

raineman · 04-22-2016, 08:01 AM

Pay your taxes. If one can not afford the tax on one's toys, then maybe they should not have toys.

edrayman · 04-22-2016, 08:23 AM

6% on what you paid...

In Mass we have to pay $25 for ever $1000 based on MSRP not what you paid. So if the MSRP for your Motorhome is $300,000 your excise tax bill would be $12000...
The state follows a stricken depreciation scale. So it makes sense to purchase used.

You have up to 30 days to pay or they will tack on a fee. If you do not pay in the next 30 days a warrant is issued and the property is not legally registered any longer.

laj · 04-22-2016, 08:23 AM

if done right, no cons, no problems.

vtwinwilly · 04-22-2016, 08:36 AM

Quote:

Originally Posted by laj

if done right, no cons, no problems.

... and I think that's what the OP was asking. How do you go about doing this legally? Are there resources and/or information that explains the process?

I don't think anyone is advocating breaking the law or "dodging" their civic duties, but why pay more if you don't have to.

BTW... My coach is registered here in Texas and it's so old there's no big tax ramifications anyway. I'm just curious about the process.

powderman · 04-22-2016, 09:05 AM

Quote:

Originally Posted by edrayman

6% on what you paid...

In Mass we have to pay $25 for ever $1000 based on MSRP not what you paid. So if the MSRP for your Motorhome is $300,000 your excise tax bill would be $12000...
The state follows a stricken depreciation scale. So it makes sense to purchase used.

You have up to 30 days to pay or they will tack on a fee. If you do not pay in the next 30 days a warrant is issued and the property is not legally registered any longer.

Something's wrong with my calculator. It says $7500 not $12000. Still a lot of money though.

. Like stated above, if you want to play, you gotta pay.

laj · 04-22-2016, 09:14 AM

get all the states llc papers, then figure out which one works best for you. not all states are the same. montana seems to be one of the more popular ones, not always the best tho. don't worry to much about the large print, thats what they want you to focus on. pay real close attention to the small, fine print. the rest is just reading how to go through which hoops first and the filing.

jondrew55 · 04-22-2016, 09:39 AM

Kinda like a smaller version of companies that acquire other companies out of the US so they can move their HQs or avoid US taxes (something that has been recently clamped down on).

I don't judge anyone if they can legally avoid paying more than they have to.

edrayman · 04-22-2016, 09:51 AM

Sorry my math was off. If you find a way let us all know for we wish to get in on the saving. 😄

djbmsu · 04-22-2016, 10:42 AM

There are several ways to legally reduce tax's on the purchase of an RV. Trading in your existing unit will reduce the tax is one. Any method to deceive, lie or cheat so that you do not pay your correct tax, is Illegal. Pretty Basic.

exgman · 04-22-2016, 12:07 PM

Call Bennett Law in Missoula Mt. When I looked in to doing it I found them to be honest and above board. They'll explain it to you and send you a packet with all the rules you have to follow to be legal. I don't know about Florida but it's next to impossible to be a resident of California and be legal any more.