Taxes & Registration ??s


Art and Sherry

New Member
Hello All,

We are going to purchase a truck and 5th wheel and take off! Our quesions are these:

1. Can we purchase a truck and trailer in a "no sales tax" state and register them in a "no personal property tax" state and save all around? Thanks in advance for any and all response to our beginning and newbie questions.

Art and Sherry
 

s.harrington

Senior Member
Taxes & Registration ??s

If you register your rig in a state with sales tax and you haven't owned it long most states will make you pay the sales tax. Get a po box in Nevada and register it there. In fact start a corperation in Nevada sell the truck and trailer to it. Then right it off your federal income tax.
 

TexasClodhopper

Senior Member
Taxes & Registration ??s

I keep hearing this "Nevada Corporation" gimmick thing. Please, if you know something about running a business, especially a corporate structure, and you WANT to run a business (in Nevada or anywhere else), then start a business. All of the valid "deductions" available to a business will be available to you. The IRS doesn't hassle businesses making valid business decisions (please, no IRS rants!) especially when you have your books validated through a CPA whose license is always on the line. Those valid "deductions" will be items used to produce a certain income stream.

Now, when you start doing gimmicky things and you know little about the business world, you WILL do something that will haunt you 3 to 5 years later. Keep in mind that a corporation is an entity on its own. It has its own tax reporting requirements. So, at the very least you will file an additional tax return.

If your goal is just to cheat some local entity out of tax revenue, then just lie about it up front. That way you will KNOW why that "knock on the door" is happening from the gitgo, and you won't mind paying all of those penalties, interest, and legal bills. :evil:
 

Guest
Taxes & Registration ??s

I think we should pay the taxes we owe for the things we buy. There are a lot of scams out there that are going to bite you in the butt later! Unfortunately, the people that make the most are the ones that spend the most time trying to get out of paying their fair share.
 

Kirk

Senior Member
Taxes & Registration ??s

Art and Sherry,

I suggest that before you take advice from these forums you would be very smart to talk with a tax attorney. This idea of a business owning the RV to allow you to deduct the cost from your federal income tax could get you into serious trouble. The fact is that IRS rules state that a tax payer can deduct expenses of a business only up to the amount of income generated by that business. They are very restrictive on deducting travel expenses.

Also, realize that there are also laws about where you must register your vehicles. Basically, most states require that the vehicle be registered in the state where it is "garaged." That is defined as the place where it is kept when not traveling on the roads or being used. You are not legal to just buy one place, register it another and then take it home to your residence in yet a third state. Each state also has laws about when your are required to be a resident there and generally they are on the order of six months of residing there or very often as little as one month when employed there in a permanent job position. States are becoming much more aggressive in prosecuting those who they catch cheating and they are spending more effort to catch them. The Montana LLC works for most fulltime RVers because they do not stay in one location long enough to be required to move the registration, even in their state of residence. So a great deal of the best answer is dependant upon if you are a fulltimer and what state you reside in.
 
Top