OK what if it has nothing to do with taxes but the stupid laws in a state where inspection is required and an older exotic car will NEVER pass the inspection?
And even if it is about taxes who among us does not practice legal tax avoidance? When did that become a dirty word or in any way, un-American?
Well I agree with you, But I shed a tear every time I read a thread about a person in California with a 1983 Ferrari or other cool car and can not even register the damn thing because of the stupid California laws. I would just register my cars in Montana and forget California altogether. Here in Colorado, if I just lived three miles north, my cars would not be able to be registered. But here in El Paso county we have no inspection for the time being.
We were preparing to register our cars in Montana because the California fees were thousands per year. But then we just got smart and moved to Texas. Problem solved. Here I don't think any of the cars is over $100 and none of the Italian cars is subject to a smog check. Registration fees have become one of Sacramento's ways of covering their profligate spending and we were getting really tired of it.
"Moving to Montana soon, going to be a dental floss tycoon..." One of my Ferraris actually CAME from Montana, but the owner did live there, legit. He's still around here....but moved.
Stated a bit harshly perhaps, but yes. That's the impression it tends to give. I see tons of Montana plated cars, but they all seem to be McLaren 12c's, 458's, Huracan's, Murcielago's and the like. All the older exotics are either on regular or historic / antique plates. And this in a state that doesn't even have inspections. Yeah. Must be because of that inspection thing.
Its all about money and ethics. Having both is the definition of peace of mind. One without the other - not so much.
Saving 7% sales tax is worth the paper work hassle if the vehicle is expensive enough. I don't think it's unethical. Half the things we all get taxed for are more unethical. If they didn't try and tax the hell out of us ppl wouldn't need to exploit these loopholes.
People have turned the word loophole into a pejorative. It is either legal or it isn't and if it is we didn't write the laws, we just follow them.
If you could register your home in Montana, would you do that too - just to avoid the property taxes - and screw everyone else who pays into the system? Got a beef with how they spend the money in Sac-town? Fine, use your vote and vote the bums out or for a change in policy. Or spend orders of magnitude more $ to move out of state - there's cutting off your nose to spite your face! lol. It might be legal (barely) but if you lived in my neighborhood, I'd be on the Sheriff's anonymous website reporting your f**kery in 10 seconds flat. You can explain to the Sheriff why you think you deserve a free-ride for your exotic toy. You have the money for a nice car. Pull up your big-boy pants and pay the freight to have it taxed and registered where you actually live and use the car.
If provided for by law you bet I would. If its a problem, change the law. Report someone for not breaking the law? The Sheriff has better things to do with his time. Like you said, don't like it? Change the law.
Can't fault someone for playing the system to save some money, but yes, it does have a whiff of "the 1% screwing the rest of us" about it. I've always just registered my cars here and paid the taxes. They will pass if they're US-spec and haven't been tampered with. My 308 QV and 328 were fine here in San Diego County and actually passed very comfortably. Grey market and tampered cars... probably not.
why stop with a car, a car is small potatoes... Montana is a major league tax heaven... many of the biggest hitters in this country have set up all sorts tax shelters in Montana as part of their estate planning... tax shelters have become one of the larger revenue producers for the state... it has become a major industry... Montana offers huge benefits to those who move their estates to Montana
I know someone who has a law firm there and regs cars there. The ones who just have a PO box or something else could be in for an issue if they actually need to file a claim or if they cause an accident. I don't know many insurance companies not looking to find a way out of paying. You may be able to register a car there, but what are the consequences if there is an issue. Fraud is never an acceptible defense.
I looked into this, and it ain't a "loop hole". Read the fine print, talk to the legal shops that specialize in this. I did. For the states I live in, it was clear that I would ignoring the law, not working within it. From what I saw, there is no moral or legal high ground for those that think they are standing on it with Montana registration for cars based in other states (for the vast majority of people doing this). So...my advice, don't crow about it. *Hope* you never have a very large insurance claim, *hope* your own states' tax and LEO's don't decide to make you prove you have some sort of viable legal position. Fwiw - I didn't look into it to avoid sales tax (I already didn't have to pay sales tax in AZ on my Ferrari). Rather it was when I moved it to CA a couple of years later and I got hassled about an out of state registration right away and no front plate so I had to change registration anyways to CA but that also meant I had to add a front plate. So, I looked into options (found about Montana right here on F-chat). Also, CA car reg is LESS THAN AZ for all three of my cars that have been in both. So, greener grass and all that is not always obvious...(WY is higher than both and ID was practically free...so whatever). Wonderful truism. I can't believe I haven't seen this before. Brilliant.
In Massachusetts its not just the sales tax on the initial purchase, but we also have an excise tax. It is basically a property tax that is paid yearly to the town that you reside in. So if you register your car out of state you are cheating all of your neighbors. I live in an affluent town, and I can tell you if people spotted you with Montana plates, they would be reporting you to town hall faster than you could say tax evasion.
One of the interesting situations has to be in DC area. Virginia has a property tax, but MD (and DC) do not. Due to the close proximity, people would often register their cars in MD, whilst living in Northern VA. They used to have people literally watching apartment buildings and homes to see if anyone had plates other than VA. If they did, they were reported and VA would always prosecute aggressively.
I see so many exotics running around with "dealer" placards, no license plates....and in talking to some owners, they have for years........ Apparently to not pay the taxes/registration. Now, if you get pulled over, you have some explaining to do, however, one told me they just carry copies of the signed off title and tell the cop they just got it running...... On one note, in CA. If you buy your car out of state, dealer or private, and keep the car out of the State for one year, you pay no tax, just registration when you register the car. This may be what some of these cars with just placards are doing, driving in the State, and then registering them a year later stating they were out of the State......
your why California sucks! Sheeple helping the crooks in the government. again I don't mind paying my fair share, but you cant register many cars in California even if you want to pay. I was born and raised in that state and left at 22 and never looked back.
Wow, I never knew about this. What is the limit on how many cars you can register in CA? Can you register them in the name of family members or friends who don't exceed the limit? And what does Jay Leno do, rotate registrations among all his cars?
He is talking about California's increasingly irrational and repressive smog laws. Performance vehicles that are legal in most states may not be legal to register in California. I know of many cars and motorcycles here that are registered in other states for this reason.