CHP clamping down on drivers who avoid California fees

[Akcontender]

Jeeze folks you are scaring me to death with all of these fees. I bought a used Holiday Rambler last fall in the lower 48 and since I live in Alaska I paid zero sales tax on the purchase and the license tag fees are $100 for 2 years. Since I am over 65 years old I can license 1 vehicle for free. I think I may have paid $35 to get the new title in my name. I couldn't afford to live in California and own my RV and other toys that I have.

[Chuck 1935]

Originally Posted by Akcontender

Jeeze folks you are scaring me to death with all of these fees. I bought a used Holiday Rambler last fall in the lower 48 and since I live in Alaska I paid zero sales tax on the purchase and the license tag fees are $100 for 2 years. Since I am over 65 years old I can license 1 vehicle for free. I think I may have paid $35 to get the new title in my name. I couldn't afford to live in California and own my RV and other toys that I have.

You are correct Sir ! :-)

[algolfer]

Something else that the CHP routinely have been doing for years and this article does not mention is reporting possible residency issues to the Franchise Tax Board for an audit. If the CHP see a vehicle with out of state plates continuously parked at a California home, they inform the Franchise Tax Board. FTB then checks to see if returns are being filed for CA. If no returns, they may pursue a residency audit. This practice not only happens in CA but other states will do this as well.

[JFXG]

Tax avoidance is legal, tax evasion is not. As is often the case, the line between the two is fine and gray, and the analysis of your position vis a vis crossing this line often focuses on intent.

My father, a very smart and very pragmatic attorney, often said that the easiest way to avoid falling off a cliff is to stay the hell away from the edge.

[Bullitt]

Originally Posted by algolfer

Something else that the CHP routinely have been doing for years and this article does not mention is reporting possible residency issues to the Franchise Tax Board for an audit. If the CHP see a vehicle with out of state plates continuously parked at a California home, they inform the Franchise Tax Board. FTB then checks to see if returns are being filed for CA. If no returns, they may pursue a residency audit. This practice not only happens in CA but other states will do this as well.

That's just nasty and mean! Gotta have your ducks in a row and be on the up and up.

The again, writing citations is what Chippies love to do too. Contrary to some popular belief, they don't write cites for revenue, the just like it. My buddy, a retired CHP officer, wrote 150 citations in one month working out of Merced about 20 years ago. Part of contest between him and another guy on the watch.
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[VanDiemen23]

You guys bashing CA sales tax and registration fees are overlooking a key concept here - the amount of money per person it takes to run a state doesn't vary that much. What varies is how the states individually try to collect it.

CA has some of the LOWEST property taxes anywhere - one of the reasons the state has such revenue issues. Local communities that rely on property tax revenue make up for that primarily with sales taxes - which is the reason for the explosive growth and excess retail because sales taxes are largely distributed back to the communities where its generated. It's also why sales taxes vary from community to community.

I live in the 2nd cheapest housing location in cali, house is worth about $300K, and taxes are $1200/yr. Recently sold my Mom's house in indianapolis - got $42K for it. The property taxes on that dwelling were nearly 3X what I pay on my california home - not 3x per square foot - 3X!

And Cali's registration fees are nearly identical to Indiana's - same type of % of initial cost depreciated over X years formula.

I had a friend in one of the Carolinas that registered a box trailer. Tax man then came around because in that state they count ALL property - so personal property tax was applied to his race car and all the stuff associated with it. And if you have a trailer, you must have something to haul in it. Texas has some crazy property tax variations from community to community.

If you're going to full-time then by all means register in a low-tax state, but if you don't want to support your community, and think it's OK to cheat your neighbors, then do everyone a favor and move, because the guy next door to you isn't going to think your tax dodge is cool when he's not getting one.

[smack2020]

Vandieman23,
You are pretty fortunate to have such a low property tax. My houses in Ca were always 1% plus. I also believe that everyone should pay their fare share of taxes, but if you can find a legal loophole, go for it. Most Ca houses in Ca have gone up in value over the last 10 months. I wonder how many people have called the tax accessor to have their houses reappraised? Probably none. So would it be fair if one neighbors house was tax appraised for $150,000 5 years ago and now the house is worth $300,000 and he pays tax on the $150,000 while a newly purchased neighbors house was bought for $300,000 and that is what he is paying property tax on?


Scott

[Chuck 1935]

A $300,000 house in California is called a Hut !!

[mel s]

Originally Posted by racersedge

its not a bad idea you just personally think it is. Done correctly its a great idea.

racersedge
I disagree...... but If they can live with themselves I won't call anyone a tax cheat, (aka: liar)! ..
BTW, where I come from... honest patriotic citizens pay every tax they are supposed pay.
Mel
'96 Safari

[ScoobyMike]

Originally Posted by mel s

racersedge
I disagree...... but If they can live with themselves I won't call anyone a tax cheat, (aka: liar)! ..
BTW, where I come from... honest patriotic citizens pay every tax they are supposed pay.
Mel
'96 Safari

Hahahahahahaha!

Oh wait, were you serious?

[falconman]

Everytime I hit a pothole on these disgusting Calif highways I wonder where my tax/ registration dollars go. Then I watch the news about the latest give away programs. Keep electing the same people, get the same results!

[Smitty77]

I too feel Docj worded it very well. We retired just under two years ago, and as part of out retirement strategy we Domicile out of South Dakota. We did retain a rental property, and a vacation home, in California. We'll be filing our 540NR this year for the first time. We did remove our Homeowners exemption from out vacation home. We do have SD plates on both our RV and our Toad (both were purchased, and registered at one time in CA, so taxes and DMV fees were paid during those times).

We also keep a F150 at the vacation home, and that I have still registered in CA, as it remains in CA.

We did our very best to follow all the laws, and we are out of state the required period of time.

When in state with our RV, we are fortunate to have a place to park it 'off street' in San Diego, because they're just starting to roll out rules to require a permit to park on the street in front of your own home, and that is a max of 72 hours.

I have a PITA neighbor, that calls the police or even Water Enforcement, several times over the last few years. When we are parked off street, out front License plate with SD plates are visible - this is the kind of neighbor that will falsely report us as being in state with out of state plates. It will be on us to show our log of where we've been, and how long we've been out of state. Should not be that way, but it is what it is...

One other caution to those driving in CA with Out of State plates. Both total length and speed above 55 mph while towing (and toads are included) are more often enforced by CA Highway Patrol then with those that have CA plates. Simple logistics of Out of State people usually don't fight tickets in court, thus, easier revenue for the state. (I have friends and family in law enforcement, and this is a factual statement, not an opinion. Even a quick radar hit of say 57 mph, is enough to get you pulled over and sited...)

Be legal in what you do, and IMO - do not let states like CA push you around. Always be polite to a law officer, but always also stand up for your rights.

Should not be this way... but it is...

Best to all, be safe, be legal, have fun,
Smitty

California did many things well thru he years, but has also done many things very poorly. The 'Government's' of the State and many of the Cities - have become more then a 'Service' to the Citizens....

[rdrv831]

Originally Posted by smack2020

Vandieman23,
You are pretty fortunate to have such a low property tax. My houses in Ca were always 1% plus. I also believe that everyone should pay their fare share of taxes, but if you can find a legal loophole, go for it. Most Ca houses in Ca have gone up in value over the last 10 months. I wonder how many people have called the tax accessor to have their houses reappraised? Probably none. So would it be fair if one neighbors house was tax appraised for $150,000 5 years ago and now the house is worth $300,000 and he pays tax on the $150,000 while a newly purchased neighbors house was bought for $300,000 and that is what he is paying property tax on?


Scott

I am in CA and the property tax is automatically reassessed every year and adjusted up or down. Now due to Prop13 way back when the property tax can only go up a certain %2 per year. All bets are off if the house is bought and sold, they value at sale is the property tax value you would pay property tax on. So someone who bought a house 5 years ago for 150k would not be paying property tax on just 150k if it went up in value during that time. Would be more like close to 170k. Still less than 300K and what the prop13 was meant to do, keep the property tax from jumping too fast. Fair, depends on if you benefit I guess. Not sure but I think all California counties reassess yearly the value and adjust the property tax accordingly. i get a statement every year with adjustments. due to the 2008 debacle my taxes went down for the past 6 years and it's starting to head back up as my house get's back to the value that I bought it for in 2006.

my 2 cents

[falconman]

I'm sorry, if you have friends or family in law enforcement issuing citations for 2 mph over or targeting drivers solely on their state of vehicle registration I suggest they re examine what their idea of law enforcement is. There are plenty of other violations out there with better justifications. I cant speak for CHP, although I know several, but most officers could give a hoot about how much money thier citations bring in. In fact, many will cut some slack to out of state drivers do to the hassle. With a little effort you could write 25 moving cites a day, none involving registration issues and plenty of those involving speed/ following too close.