Montana LLC for registration? Thoughts? Experiences?

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1newbie

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Some of my friends (who are in an entirely different universe for tax reasons) register their cars in a Montana LLC.  I know people do it with diesel pushers also.  Any experiences doing it with a sandrail/SxS/regular car?  Interesting because no smog, SxS/Sandrail legal for street, etc.  Also for anyone who has done it; did you use a company to set it all up or did you do it yourself?  Does the car need to go to MT for a VIN/Brake/Light inspection?.........

 
I have the toter and stacker in a MT LLC, no inspection or anything like that. Stacker has a permanent tag and when the toter hit 10 years old I got a permanent tag for that as well. Don't know if there is a regular advantage to registering a daily driver up there. The initial set up cost was about $1k, the fee to keep the LLC active has been about $175 per year.

I used Bennett Law Offices https://www.bennettlawofficepc.com/

They were referred to me by a board member here, they have been very easy to work with.

You sign over your current titles to the Montana LLC, send it to them and they take care of the rest. Insurance wasn't an issue, my agent added my LLC as an additional insured on my auto policy, didn't have to get a separate policy for the MT LLC. The fee to the law office covers the first 2 vehicles, they have a fee if you add additional vehicles.

 
I have numerus friends with MT LLC's for registering vehicles and they've all said it's super simple.  I'm not at that level, yet.  I should probably do it before Newsom figures out a way to close that loop hole.

 
I wouldn’t slap a Montana plate on a buggy and think you are all of a sudden street legal, if you are in California. For Californians I think the idea is to register this way and keep your head down so no one notices what you are doing. I know a few people that have done it and it has worked out well for them. No sales tax on purchase and no yearly Reg fees for trailers.

 
Its for tax and fee reasons only, it wont make your ride legal for street use in CA. You really need to talk to lawyers and accountants about just what the rewards and the risks are when doing this, and the exact legal way to do it.  One thing you dont want to get wrong is taxes... Oh, and youll need to get the out of state OHV permit now too, thanks Cali!

 
FWIW, I'm a NV resident now that splits time between there and Cabo so there are multiple reasons to register things in MT LLC (taxes and reg is just one small part)

 
1newbie said:
FWIW, I'm a NV resident now that splits time between there and Cabo so there are multiple reasons to register things in MT LLC (taxes and reg is just one small part)
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Ok, I’ll bite. What are the other reasons?

 
22 minutes ago, Dockmaster said:

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I can attest to his statement as to insurance, as it applies to NFA trusts. I have all my weapons in an NFA trust, and when attempting to get them insured, ran into that issue. I cant add them as a rider on my homeowners because the trust owns them, even though I'm the sole current trustee and beneficiary of the trust. I had to get a separate policy, in the name of the trust, and it was not cheap at all. 

Also the use tax is an issue, but its an odds game. Except for that bounty issue. DMV has done that a few times in the past, and I wouldn't put it past them to do it again. 

 
In many states they are really cracking down on this. Even offering rewards for neighbors to turn in your neighbors. I’m in Oregon and we have no sales tax. I’m near the border  of Washington State where they do have sales tax. Lots of people would use a friend’s address in Oregon to register their cars and avoid sales tax. Then the State of WA decided to crack down on this. They went to schools and watched people drop off their kids at WA schools with Oregon plates. They passed laws with stiff fines for WA residents driving OR plated cars. Most states now have laws and fines if you violate this. So I guess you just have to ask yourself if the reward is worth the risk. Yes, I’m sure there are lots of people doing it and getting away with it. I’m not suggesting you should or shouldn’t do,it, just make sure you are informed of the risk you are taking and the repercussions if the worst should occur. 

 
AlpineFunco said:
Ok, I’ll bite. What are the other reasons?
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Well - no biennial smog so my Jeep JLU can stay in cabo 'on vacation' indefinitely and not need to return for smog/reg.  My RzR (stays in cabo) can be street plated (can't get that in NV or CA) which mexico honors so I can drive on local streets there. U can buy a rzr at the dealer in cabo with a MX plate but the federales are more likely to hassle you if they catch you on the highway.  My monster manx can get street plated and I don't think NV will hassle that for the rare time I drive on the street. And to the sales/use tax issue - buying/registering a cabo boat in a MT LLC saves enough in taxes to buy a new Funco..... 

 
Dockmaster said:
In many states they are really cracking down on this. Even offering rewards for neighbors to turn in your neighbors. I’m in Oregon and we have no sales tax. I’m near the border  of Washington State where they do have sales tax. Lots of people would use a friend’s address in Oregon to register their cars and avoid sales tax. Then the State of WA decided to crack down on this. They went to schools and watched people drop off their kids at WA schools with Oregon plates. They passed laws with stiff fines for WA residents driving OR plated cars. Most states now have laws and fines if you violate this. So I guess you just have to ask yourself if the reward is worth the risk. Yes, I’m sure there are lots of people doing it and getting away with it. I’m not suggesting you should or shouldn’t do,it, just make sure you are informed of the risk you are taking and the repercussions if the worst should occur. 
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Similar in CA. Years ago my sis in law from Kansas was going to college in So CA. I was driving her Kansas plated car and got pulled over by CHP. Told him the story and he said any vehicle residing in CA more than 30 days has to be CA plated. He was cool, no ticket or written warning. She lived here for another 2 years before going back to KS with no issues.

 
I just saw on Yellowstone Gov. Dutton is gonna tax outa state car registration.... :cheff:

 
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