KenHorse

I stand to pay around $360 for my new GS. I can live with that......

JerryU

In SC we just increased our maximum sales tax on car purchases by 66%. I paid $300 for my 2017 Grand Sport and now it would be $500! Before you get excited, we have a Personal Property Tax on Cars. The Vette is > $1000/year but does reduce as the car value decreases. They use Black Book value. When past 25 years old it's zero-even for a vintage $100,000 split window '63!

As someone mentioned, all states are different. TN has no income Tax- can't have everything! For SC that low Tax on car sales works. It allows many folks to buy a new car or $50,000 diesel 4 door truck (lots of those around here.) I'll guarantee those folks are paying more property tax on that new car/truck than their home!

Skid Row Joe

Yes.

Register it in Oregon for 0.5% sales tax. Montana, is pretty darn cheap too. A flat rate. No more than a few hundred bucks, if that.

The Montana LLCs, are fully legal. The problem comes up at times when you and your vehicle are scrutinized in your home State, by either law enforcement agencies, or your local various Government agencies. You may need to be knowledgeable about how to tap dance around any number of enquiries if you're ever put on the spot by those Government entities.

I've always done the initial registering of my RVs I've bought over the years, out-of-State. You'll just have to do your research and decided for yourself.

owc6

Your situation sounds somewhat convoluted (but not unusual for a museum P.U.), but a new car purchase should only have the sales tax applied for the state in which it will be registered. The dealer that you purchased it from should also have your registration (temp tags...) already sorted out so you can drive your car home w/o any confusion, and await your permanent tags in your home state.

KenHorse

0.05%, not 0.5%

(1/2 of 1%)

orca1946

The tax in your state is what is charged. Maybe if you were a church --- no tax??

Taevon lee

FZ1

It looks like it's pretty easy to set up an LLC in Montana. My question is how do you register the car out there and how do you get it insured? Every website I have tried looks at the personal driver rather than the LLC company.
Anybody know how to register and insure in Montana as an LLC?

mschuyler

I did the same as you are about to do last year. You get a "Certificate of Origin" from GM that serves as a title. Give that certificate to the licensing authority in your state, pay the tax, and get a license. It's that simple. Because New Hampshire (in my case) would not grant me a temporary license longer than 15 days, I wound up getting my license plates before I picked up the car in Bowling Green. Now, if you want to avoid tax, that's a whole nother issue.

Skid Row Joe

I'm certain that the law firms in Montana can give you some tips on that. You'll never have to actually travel to Montana either. All can be done through the U.S. Mail and Internet.

Skid Row Joe

In America, thank goodness we can pick and choose the State we want to initially register our newly acquired purchase in. My older brother was a doctor practicing and residing in a far away State from mine when I acquired and registered my last pricey coach. I saved a bundle on sales tax. He let me use his address as far as registering went. When the title arrived at his home, he dropped it in the mail to me. I was traveling about a third of the Country at the time, in and out of various States, border to border. I never had any trouble or was challenged by Gov't authorities - but it can and does happen. The 2nd year of ownership, I've always just transferred to my domicile State.

ByRiver

I was going to purchase a new Vette, but decided to buy slightly used and let the original owner take the depreciation hit. In Illinois, or at least my county, St Clair, if you buy a used vehicle from a private party, the sales tax is on a tiered table based on the vehicle price, but maxes out at $1500. If you buy from a dealer, you pay the full sales tax of 8.6%.

Had I wanted too, I could flip it and trade my Vette for a new one and only pay sales tax on the difference between my trade and the new vehicle.

Kevin A Jones

If you struggle so to pay sales tax on a $50k>$100K C7 to the point of going through the trouble of setting up a LLC out of state, then perhaps you shouldn't purchase one. Just saying.

rrsperry

Yeah no, that's tax fraud. (and probably insurance fraud too... unless you told the insurance company where the vehicle was kept and registered.) Oh and possible bank fraud... Did you happen to work for a guy named Manafort?

Kevin A Jones

Good way to end up with a bundle of legal troubles. It's unfortunate you are allowed to constantly spew your non-sense here.

FZ1

I guess it all depends upon how much of a struggle setting up an out of state (OOS) LLC really is

In my case, it would be a savings of $5K just in sales tax. My interest was spurred by this thread as I remembered a case (years ago) of company (paid for) cars bearing out of state license plates, and I always wondered why a company would do that. Extrapolating from there, if one can legally own a vehicle out of state and insure it there as well, that would amount to an even greater savings. My question is, would it be legal to set up a shell company to do it? For me, it's too late. I ordered the car in my name, am having it delivered to my state subject to its state sales tax and insurance premiums. But, there's always next time!
By the way, I love this forum. everyone contributes so much invaluable information. So glad I joined.

GTRSOLO

Yes.

Jax21

ByRiver

Can you get a personal insurance policy on a corporate vehicle? If you form an LLC, then a corporation owns the vehicle. You would be driving the vehicle as an officer or employee of the corporation. Seems like a lot of hassle, but maybe it isn't. Corporate car insurance doesn't sound cheap to me. And wouldn't you have to keep a log of the mileage because it is corporate owned? I had a company car, and I had to keep mileage logs. My company took care of the insurance, and they said I wasn't allowed to use it for personal use. I could stop past a store on the way home, but I couldn't drive it to go to the store or run errands.

mschuyler

WA considers it tax fraud. A few years ago WA annual licensing was through the roof. A vette's annual license would be $2000 at least under the old system. People would license their cars in Oregon for $30 in an attempt to circumvent the system, especially expensive motor homes. But they were often turned in by neighbors who resented their tax avoidance schemes and the revenue authorities would prosecute. This was overhauled by a tax initiative so today licenses are more like Oregon's, though they are again creeping up. So if you can get away with it great, but the point is that there is some risk involved.