Montana LLC

[awol50]

If you full time or keep your RV out of the state you are a resident of, you can probably register the RV anywhere you want.
But drive or park it regularly where you live with out of state plates? Good luck. That "I'm not the owner, just the renter" bs won't go far when you get investigated because your neighbor ratted you out.

[candyman2]

Originally Posted by mccrob

Been using the $49 dollar people for 3 yrs now great people no problems.

Can you explain this? I am new to RVing. In Illinois the plates and registration are terrible.

[awol50]

Originally Posted by candyman2

Can you explain this? I am new to RVing. In Illinois the plates and registration are terrible.

Do you know the circumstances of the person who said that?
Also just as with income tax cheating, just because you haven't been audited on your cheating doesn't mean you got away with anything.

[Solo_RV_Guy]

Originally Posted by candyman2

Can you explain this? I am new to RVing. In Illinois the plates and registration are terrible.

Welcome to iRV2 forums.


Since you're new to these forums I'll take this opportunity to let you know the "Montana LLC" is a frequent topic of discussion with seldom-changing input, output, or outcomes. Montana has several tax advantages for those who buy expensive luxury items but who have those items held by an LLC (limited liability company). In Montana there is no sales tax collected on vehicles purchase by Montanans, including "resident LLCs." Montana has no personal property tax on vehicles and makes their money from registration fees. The sweet deal for luxury motorcoach buyers isn't as sweet as it has been - Montana has instituted a luxury vehicle registration fee recently.


Sound like it could be complicated? It is... and is why I suggest you use the search engine of your choice to learn a bit more about Montana LLCs in general but remember that every thing you read or watch on YooToob was posted by someone with an agenda of some kind. I'm not taking a position, simply noting that if folks are passionate enough to write or shoot a video, they've got more invested that might appear.


You should also use the "powered by Google" search box near the top of the iRV2 pages (just right of center). There are at least 2 other running threads on iRV2 about Montana LLCs and vehicle taxation/fees.


The quick and dirty version: If you are a full-time RVer, moving with some regularity and frequency, you *might* be able to lawfully use an LLC. If you're going to keep your Montana LLC-registered coach in Illinois, you would likely be in violation Illinois vehicle and/or tax codes.


There are a lot of details that determine if this type of tax avoidance is right for you. What worked (and was right, or perhaps was wrong) for another person should not be automatically considered as 100% pertinent to YOUR locale (domicile) and other factors.


And remember, free legal advice is worth everything you paid for it. Before you you commit to using (or not) an LLC or other autonomous entity, consult with lawyers and accountants. You don't want to be in a situation where the taxman seizes your coach.

[Prof_T]

Originally Posted by Solo_RV_Guy

Welcome to iRV2 forums.


Since you're new to these forums I'll take this opportunity to let you know the "Montana LLC" is a frequent topic of discussion with seldom-changing input, output, or outcomes. Montana has several tax advantages for those who buy expensive luxury items but who have those items held by an LLC (limited liability company). In Montana there is no sales tax collected on vehicles purchase by Montanans, including "resident LLCs." Montana has no personal property tax on vehicles and makes their money from registration fees. The sweet deal for luxury motorcoach buyers isn't as sweet as it has been - Montana has instituted a luxury vehicle registration fee recently.


Sound like it could be complicated? It is... and is why I suggest you use the search engine of your choice to learn a bit more about Montana LLCs in general but remember that every thing you read or watch on YooToob was posted by someone with an agenda of some kind. I'm not taking a position, simply noting that if folks are passionate enough to write or shoot a video, they've got more invested that might appear.


You should also use the "powered by Google" search box near the top of the iRV2 pages (just right of center). There are at least 2 other running threads on iRV2 about Montana LLCs and vehicle taxation/fees.


The quick and dirty version: If you are a full-time RVer, moving with some regularity and frequency, you *might* be able to lawfully use an LLC. If you're going to keep your Montana LLC-registered coach in Illinois, you would likely be in violation Illinois vehicle and/or tax codes.


There are a lot of details that determine if this type of tax avoidance is right for you. What worked (and was right, or perhaps was wrong) for another person should not be automatically considered as 100% pertinent to YOUR locale (domicile) and other factors.


And remember, free legal advice is worth everything you paid for it. Before you you commit to using (or not) an LLC or other autonomous entity, consult with lawyers and accountants. You don't want to be in a situation where the taxman seizes your coach.

This...

[Busskipper]

Originally Posted by Solo_RV_Guy

Welcome to iRV2 forums.


Since you're new to these forums I'll take this opportunity to let you know the "Montana LLC" is a frequent topic of discussion with seldom-changing input, output, or outcomes. Montana has several tax advantages for those who buy expensive luxury items but who have those items held by an LLC (limited liability company). In Montana there is no sales tax collected on vehicles purchase by Montanans, including "resident LLCs." Montana has no personal property tax on vehicles and makes their money from registration fees. The sweet deal for luxury motorcoach buyers isn't as sweet as it has been - Montana has instituted a luxury vehicle registration fee recently.


Sound like it could be complicated? It is... and is why I suggest you use the search engine of your choice to learn a bit more about Montana LLCs in general but remember that every thing you read or watch on YooToob was posted by someone with an agenda of some kind. I'm not taking a position, simply noting that if folks are passionate enough to write or shoot a video, they've got more invested that might appear.


You should also use the "powered by Google" search box near the top of the iRV2 pages (just right of center). There are at least 2 other running threads on iRV2 about Montana LLCs and vehicle taxation/fees.


The quick and dirty version: If you are a full-time RVer, moving with some regularity and frequency, you *might* be able to lawfully use an LLC. If you're going to keep your Montana LLC-registered coach in Illinois, you would likely be in violation Illinois vehicle and/or tax codes.


There are a lot of details that determine if this type of tax avoidance is right for you. What worked (and was right, or perhaps was wrong) for another person should not be automatically considered as 100% pertinent to YOUR locale (domicile) and other factors.


And remember, free legal advice is worth everything you paid for it. Before you you commit to using (or not) an LLC or other autonomous entity, consult with lawyers and accountants. You don't want to be in a situation where the taxman seizes your coach.

- -

Very good Summation

[Saskfan]

I have used All Day $49 for over 7 years. Good simple outfit to deal with.

[dadej]

Originally Posted by awol50

If you full time or keep your RV out of the state you are a resident of, you can probably register the RV anywhere you want.
But drive or park it regularly where you live with out of state plates? Good luck. That "I'm not the owner, just the renter" bs won't go far when you get investigated because your neighbor ratted you out.

Ask my local ex tax assessor who lives across the street from the state patrol officer. NOT good.

[wnytaxman]

Originally Posted by USMCRET

You know, I think it would be very helpful if those who are championing the LLC construct would state whether or not they are full timing. If not full timing, in which state are you domiciled. I’m certain these points make a difference.

Best comment yet. It makes a world of difference as to which state is your residence state. For example, many full timers use South Dakota as a state of residency. South Dakota has always looked the other way when it comes to Montana LLC ownership of vehicles. Not all states feel the same way about the Montana LLC.

One word of caution on even good old South Dakota. The most major sales tax case to come out of the US Supreme Court was South Dakota versus Wayfair. South Dakota was chasing sales tax revenue and they won. So even South Dakota may not be a good choice going forward.

[UAV]

Easy to register in MT, but watch out if you ever have an insurance claim. If your insurance company investigates things (and it won't take much) they could quite possibly deny any claim based on the fact you are not storing your coach where you say and/or using it as intended.

One may save a lot on taxes and fees but if you ever have a claim, or if your state of residency (I am in CO and they finally got hip to owners registering their RVs in MT) it will cost you far more than simply paying your taxes and fees in your home state.

Hate to say that since I used to use the MT plate back a few years. Great, and might I add, a very fair deal.

[FatChance]

Just another reminder because it seems to be left out, but Montana's new $800/year "luxury tax" is only on vehicles less than 10 years old).

[awol50]

Originally Posted by UAV

Easy to register in MT, but watch out if you ever have an insurance claim. If your insurance company investigates things (and it won't take much) they could quite possibly deny any claim based on the fact you are not storing your coach where you say and/or using it as intended.

One may save a lot on taxes and fees but if you ever have a claim, or if your state of residency (I am in CO and they finally got hip to owners registering their RVs in MT) it will cost you far more than simply paying your taxes and fees in your home state.

Hate to say that since I used to use the MT plate back a few years. Great, and might I add, a very fair deal.

I asked my insurance company, Hartford AARP and they said they don't care about where you register/tags are. I don't even remember if they asked where I garage it. Only wanted to know usage days.

[theroc]

I always recommend going through an insurance agency that is thoroughly familiar especially with insuring those using a Montana LLC. There are very few insurance agencies that really know all the ins-and-outs of exactly the ramifications as they pertain to insurance of full-timing and using a Montana LLC.

There are three I highly recommend. We've used all three through the years and settled on using the first, Destination Services, as our last agent. Two of them are right in Missoula but all are licensed to write policies in most states if not all.

1. Destination Services (Missoula)

2. Garden City (Missoula)

3. Miller (Lake Oswego, Oregon)


btw, we always used Montana as a garaging address ...and again, as most have been saying in this and the dozens of other threads on this subject, using a Montana LLC is suitable primarily for full-timers or those who are away from their home state the majority of the time. To be legal, you must adhere to the vehicle registration laws of the state in which you reside or call your domicile. Therefore, if the vehicle is physically in your home state more than not, a Montana LLC should not even be considered.

[NoSlack]

You business is in Montana and the business owns the motorhome. It is OK if you are a fulltimer but as a part timer with your motorhome garaged in another state, that state my charge you a tax on the motorhome as if you bought it in that state.