Community Forums

wnytaxman · 07-11-2017, 10:43 AM

Getting back to the OP's original question, it sounds like the Vagabond is in a perfect situation for a rig titled in a state other than his resident state. Now the question arises, what is your resident state and how have you determined that it is your resident state? From other posting it would appear that South Dakota and perhaps other states are much more lenient when it comes to vehicles titled in other states. Perhaps you should look at establishing SD as your state of residence as they seem to be the most open minded toward full timers.

I would research the various states and see which one fits your needs the best and then go for it. As a full timer you would have a lot of options.

Gary RVRoamer · 07-11-2017, 11:09 AM

I don't think the term "authorities" is limited to badged law enforcement personnel. Further, the LEO may be employed by some agency other than a police dept. e.g. a District Attorney , Park or Forest Service, BLM, etc., and they may have agendas beyond traffic law enforcement.

nothermark · 07-11-2017, 11:28 AM

A lot depends on how aggressive the states are at collecting their high fees. We see a lot of Florida plates in NY partly because NY registrations are relatively low cost so the tax folks are not hunting people down. OTOH I have heard multiple places that Florida will go after folks who linger too long some place with an out of state plate because their plates are very expensive hence worth the trouble to collect. California has a similar reputation for going after folks with Montana LLC's and similar tax dodges for similar reasons.

Wofour · 07-16-2017, 08:55 PM

I hate taxes like most but I hate fines and penalties more. If you register in your home state pay the taxes and get your license problem solved.

wnytaxman · 07-17-2017, 06:47 AM

Quote:

Originally Posted by Wofour

I hate taxes like most but I hate fines and penalties more. If you register in your home state pay the taxes and get your license problem solved.

In an effort to put the OP's question back into perspective...it is my understanding that he is full timing. He has no sticks and bricks as a permanent residency. Therefore that leads to the quandary of a motorhome titled in one state while using a stated home residency in another state. There is no tax dodge here, but just a situation of trying to determine whether or not he will have an issue.

From all that I have read on here and elsewhere, it would appear that there are states that will allow you to use them as a resident state without any issues with vehicle registration in another state. South Dakota comes to mind right off the bat. The gentleman's question is having a MH registered in Montana, or elsewhere, and his driver's license from another state.

Wofour · 07-17-2017, 08:13 AM

Unfortunately, the federal rules requiring states to verify closely your status and residence complicate the situation as well. The states have to meet the rules or their license are not accepted as identification per the Fed. I recently moved to another state and shifted everything over. They required a document addressed to my physical address, not PO Box, with my name on it and it had to be from a local, state, or Federal organization. Tough for folks with no Home to meet those rules. And believe me, taxes are always a reason to try to skirt the system.

wnytaxman · 07-17-2017, 08:56 AM

With estimates of as many as a quarter of a million people full timing in an RV I would have to believe that South Dakota, Texas, Florida and other states that seem to have a pretty viable full timing clientele are within federal guidelines. One only needs to have a resident state for tax purposes. A tax home is a must, but if one is full timing that tax home can be anywhere.

Yes, taxes are always an issue, but if I'm full timing, then to whom do I pay those taxes? Do I pick a high tax state like California or New York? Or would it make more sense to go with a no income tax state like Florida or Texas?

Full timers create a special category that differs substantially from those of us with permanent locations. It does give them a leeway to pick and choose where to call home from a legal perspective.

nothermark · 07-18-2017, 05:08 AM

I don't see an issue if one picks a good state to "move to" as part of going full time. One pays taxes to the state of residency of record. They are providing services for that so you pay them their bite or you get thumped when caught.

Dale & Mark Bruss · 07-18-2017, 05:29 AM

Vehicle registration is not tied to driver's license but to the term "garaged". "Garaged" is where the vehicle spends most of its time. A full-timer does not have to deal with this but part-timers do. The states are enforcing registration to insure sales tax collection.

Colorado, for one, has full-time LEO monitoring RV parking lots looking for out of state registrations. South Dakota has had to respond to every state around it with vehicle registrations with non-SD addresses.

California has a sense of humor so a LLC registered vehicle is being treated as a commercial vehicle (LL Corporation) and is looking for FTA gas stamps.

Bottom line, if you are not a full-timer, register where you live and pay the taxes. Avoid the criminal tax evasion charges.

soonerdave · 07-18-2017, 05:31 AM

I guess I have never really understood the desire to set up an LLC to avoid taxes, are some people really that cheap or do they just enjoy trying to game the system? You spend 100's to who knows how many thousands of dollars on an RV and you can't or don't want to pay the taxes, what the hell?

The taxes you pay in your home state support your state, schools, law enforcement, garbage collectors, you name it. Why do you not want to do your share to support them?

I gripe about paying taxes too, I earned and defended that right, I don't cheat on my taxes and I pay because it's the law and it's also what's right. If you don't like the law then get it changed.

I may be wrong about what I've just said but I also have no tolerance for cheaters, and people who set up LLCs for the purpose of avoiding taxes are just that. IMHO!

RV Vagabond · 07-19-2017, 07:46 PM

Quote:

Originally Posted by soonerdave

I guess I have never really understood the desire to set up an LLC to avoid taxes, are some people really that cheap or do they just enjoy trying to game the system? You spend 100's to who knows how many thousands of dollars on an RV and you can't or don't want to pay the taxes, what the hell?

The taxes you pay in your home state support your state, schools, law enforcement, garbage collectors, you name it. Why do you not want to do your share to support them?

I gripe about paying taxes too, I earned and defended that right, I don't cheat on my taxes and I pay because it's the law and it's also what's right. If you don't like the law then get it changed.

I may be wrong about what I've just said but I also have no tolerance for cheaters, and people who set up LLCs for the purpose of avoiding taxes are just that. IMHO!

If you live regularly in a certain state, then I would agree - support your home state with sales taxes. But I bought my motorhome while living in California and soon afterwhich moved out of state to be a fulltime traveler, constantly moving from state to state. I bought my motorhome in Iowa where they allow you to register it and pay sales tax in any state you want to. California sales tax would have been about $17,000 when I had it there for only a few months and did not even buy it there. California should not get the whole $17,000 but there is no way to split the sales tax between the 25 or so states it will be driven in during the first year or so. I figured the most reasonable solution was to title it in Montana where they do not have any sales tax at all. Make sense?

soonerdave · 07-19-2017, 08:05 PM

Quote:

Originally Posted by RV Vagabond

If you live regularly in a certain state, then I would agree - support your home state with sales taxes. But I bought my motorhome while living in California and soon afterwhich moved out of state to be a fulltime traveler, constantly moving from state to state. I bought my motorhome in Iowa where they allow you to register it and pay sales tax in any state you want to. California sales tax would have been about $17,000 when I had it there for only a few months and did not even buy it there. California should not get the whole $17,000 but there is no way to split the sales tax between the 25 or so states it will be driven in during the first year or so. I figured the most reasonable solution was to title it in Montana where they do not have any sales tax at all. Make sense?

Make sense, in your case absolutely it does. But, I think you know which group of individuals I'm talking about.