A Montana LLC is no different than any regular business or corporation. Since Montana LLCs are viewed as residents of Montana, they’re taxed as such. You control the LLC, but you personally do not own the vehicle. If you’re going to buy a Ferrari, Lamborghini, or some other exotic vehicle, you can buy the car or truck of your dreams with a Montana LLC and not pay sales tax. The owners of some of the most expensive cars in the world began titling and registering their rides in Montana when they thought they discovered a legal loophole. Even if you don’t get caught by your home state and avoid paying sales or use tax, forming a Montana LLC to own a motorhome can present special problems. At the first link, they advertise a … McLaren 570, 14 vehicles valued at $190,000 apiece, with total fees of $23,940. Montana LLCs don’t have to buy their vehicles in Montana to not pay the sales tax. Here’s the step by step process to purchase a Maserati, Lamborghini, Bentley, Porsche, Bugatti, McLaren, Aston Martin, Mercedes Benz, BMW, Mangusta, or any expensive vehicle  without paying sales tax to Montana: ** An $825 luxury tax is charged by the state on vehicles with an original MSRP at or above $150,000. Ferrari F60, two vehicles valued at $2.5 million apiece, with total fees of $45,000. The investigation focuses on Ryan Hardwick and Dustin Farthing, who … The title of your Bentley, Ferrari, or vehicle will be under the name of your Montana LLC. Bugatti Grand Sport Vitesse, one vehicle valued at $2.2 million, with total fees of $19,800. You are renewing registration for a commercial vehicle with a taxable gross weight of 55,000 or more (e.g., trucks, truck tractors, and buses) used on public highways. Ferrari 458 Speciale, 49 vehicles valued at $270,000 apiece, with total fees of $119,070. They create an LLC in Montana and then buy and register the vehicle in the LLC's name. This can save you quite a bit on sales taxes and property taxes. It costs $20 a year and you can file online. Aston Vanquish, five vehicles valued at $290,000 apiece, with total fees of $13,500. Eighty-Three Huracans? All residents must provide the vehicle title, proof of auto insurance, and payment for various fees and taxes; temporary residents must also provide their current out-of-state vehicle registration. After doing a bit of research, he found a loophole that permitted him to register his vehicle in Clay County while living in Mexico. Your Montana LLC will be registered at our address, and your vehicle will be registered to our address. Another quote from the Massachusetts article where Mr. Roberts (the Montana official) once again denounces his own state's practice: But the process has earned the ire of some Montana officials, including Dean Roberts, administrator for Montana's motor vehicle division. Also, if you have an expensive vehicle, it will be owned in the Montana LLC. That’s just some petty shit. A Montana vehicle registration is required for all vehicle owners living in the state, except for owners of pickup campers. The Missoula County Clerk and Treasurer acts as an agent for the Montana Department of Justice to process vehicle registrations and registration renewals. A motor vehicle cannot be titled in Montana without also being registered—the two processes occur simultaneously. Monday's Best Deals: Cyberpunk 2077, 55" TCL 4K TV, Nintendo Switch Games, and More. McLaren 650, 31 vehicles worth $350,000 apiece, with total fees of $97,650. Now, as a part of House Bill 650, owners of exotic cars valued at over $150,000 may soon have to pay a one percent annual tax. They even handle the periodic inspections and renewals. Lamborghini Aventador, 55 vehicles valued at $400,000 apiece, with total fees of $198,000. Montana registration crack-down. The process works because, unlike Massachusetts and other states, Montana will register vehicles not garaged within its borders. Always interested in hearing from engineers—email me. The title will come about 2-4 weeks later and we’ll scan a copy of it and mail it to you. If you would like to start a Montana LLC to hold your valuable car or truck, you can sign up below for immediate service: © All Day $49 Montana Registered Agent, LLC 2000 – 2021. Then you’ll pay yearly about $90-$220 to the Flathead DMV, $20 to the State of Montana for the LLC, and $49 a year for us to be your registered agent and for you to use our address. Good god, I know Montana has some rich natural resources, but damn: people are clearly milking this tax loophole. There is no specific loophole in MT other than our lack of sales tax, use or property tax in combination with very low registration fees as compared to … Except, this brings us to reason No. Montana also has very low registration fees, another reason many people register there. Also, many insurers won't insure such a vehicle. MT car registration documents are processed by the Vehicle Services Bureau (VSB), which is overseen by the state Department of Justice (DOJ). Once purchased, the customer will submit all previously submitted documents, a completed Application for Motor Vehicle and Boat Title & Registration, and any applicable fees to their local county treasurer's office. Plates and registration will take about 1-3 days. How the Montana LLC Exotic Vehicle Registration Works: What we do is help you form a Montana LLC and maintain it, making the Montana LLC a resident of Montana, not you personally. The car dealer or you will mail us the vehicle title work. If you establish an LLC in Montana, owners can register their vehicle as a business vehicle in the state, thus avoiding paying sales tax. With our service, we provide you the office address, registered agent, and act as a liaison with the state to register your car or truck and LLC. In Montana, you need to renew your vehicle registration with the MT Motor Vehicle Division (MVD). We are tasked with processing these transactions and insuring the genuineness and regularity of each transaction. Typically, they register in a Montana county that doesn't have a local-option tax. Additional fees and taxes will be due upon registration. Aston DB11, three vehicles valued at $215,000 apiece, with total fees of $5,805. That’s important because Flathead County does not have an excise tax on titled property. ... suppose I go down to the DMV with all my montana stuff to title and register my car. Pickup campers are an exception—they must be titled, but are not registered. my super nice 360 challenge that i purchased in 2004 for $225k ... Motor Vehicle : MVD Use Only; Fees: $12; for light vehicles, trucks and buses weighing less than one ton; $10; for all other vehicles. You can always use your Montana LLC to buy a trailer, tow vehicle, airplane, or any kind of asset that can be titled. We’ll overnight you your vehicle registration. You display a license plate type that requires recertification. A Montana LLC vehicle registration is an option some out-of-state residents choose in order to purchase a vehicle without having to pay sales tax on it. Schedule an appointment, renew a license or vehicle registration, & search driver or vehicle information. MP: For examples of some of the Montana companies that provide car registration services for exotic cars see here, here and here. Title and Registration Bureau . We will walk into the Montana Flathead County DMV and register your vehicle the same day. For more on vehicle licensing please see: Montana vehicle registrations. Mercedes S600, four vehicles worth $190,000 apiece, with total fees of $6,840. Montana MVD's online services and applications. The real beauty of the Montana LLC for holding exotic or specialty vehicles is if your car or truck is over 11 years old, you can get a permanent plate. Vehicle Registration Renewal in Montana . Rolls Royce Dawn, 18 vehicles valued at $340,000 apiece, with total fees of $55,080. The news site posted this full list (which they received from from the Division of Motor Vehicles via the Office of Budget and Program Planning) of luxury Montana-registered cars worth over $150,000, along with associated proposed annual fees: Forty Porsche 918s? Montana doesn’t know exactly how many of the cars on this list have been registered by Montana residents, but they suspect the percentage is quite low. Montana makes it easy to set up a limited liability corporation or LLC. You are a non-resident working in Montana. Purchase the vehicle as the Montana LLC, and you’ll have the authority to act for the Montana LLC as the member(s). Bentley Mulsanne, five vehicles valued at $300,000 apiece with total fees of $13.500. A Montana official estimates the same car would cost $213.95 to register in Montana. We will walk into the Montana Flathead County DMV and register your vehicle the same day. Aston Rapide, one vehicle valued at $210,000, with a total fee of $1,890. That means, if you buy an $800,000 Maserati, Lamborghini, Bentley, Porsche, Bugatti, McLaren, Aston Martin, Mercedes Benz, BMW, Mangusta, or any expensive vehicle, you’ll only be looking at $300 for a Montana LLC and $500 for us to get the plates, registration and title, and $825 for the Luxury Tax. It costs you about $1,000 to have one of the Montana law firms set up your LLC and do the registration and titling paperwork and send you back the Montana license plates. I get asked from time to time about the so-called Montana License Plate Scam: Can you safely…. Lamborghini Huracan, 83 vehicles valued at $200,000 apiece, with total fees of $149,400. Processing times may be longer than usual while our staff learn the new system. This “Ferrari Tax,” Bozeman Daily Chronicle says, could raise up to $2.5 million in 2018, and even more in subsequent years. Four Pagani Huayras? Always Fight Your Tickets! We establish Montana LLCs for you to own your vehicles for only $300, and we do it in a couple days. The car dealer or you will mail us the vehicle title work. For years, many exotic car buyers have been registering their cars in Montana thanks to a loophole in the law that allows them to avoid paying sales tax. Ferrari California, 34 vehicles valued at $200,000 apiece, with total fees of $61,200. McLaren P1, 23 vehicles worth $1.15 million apiece, with total fees of $238,000. Up until now, many exotic car owners have gotten around sales tax by simply registering their vehicles with law firms that create special Limited Liability Companies. Rolls Royce Ghost, nine vehicles valued at $300,000 apiece, with total fees of $24,300. And if this bill goes through, Montana is set to make out like a bandit. What if you could avoid that, and avoid annual car … It seems unlikely that nearly fifty Ferrari 458 Speciale owners live there, right? Twenty-Three McLaren P1s? Ferrari 458, 27 vehicles valued at $240,000 apiece, with total fees of $58,320. Forming a Montana LLC to own vehicles or any kind of personal property is nothing different than the local handyman pulling up to your home in a work vehicle owned by “Handyman’s Service LLC” and pulling a trailer with tools in it that are all owned by the Handyman’s LLC. Mercedes S550, 84 vehicles worth $190,000 apiece, with total fees of $143,640. We will provide you the filed LLC papers, operating agreement, and resolutions documenting you, the members, sole authority to make decisions for the LLC. Bentley, 40 vehicles valued at $220,000 apiece, with total fees of $79,200. Montana vehicle registrations are yearly. Pagani Huayra, four vehicles valued at $2.5 million apiece, with total fees of $90,000. The program was created in 2004, and it had helped recover $11.5 million in unpaid registration fees by 2015, according to a report by the California Highway Patrol. 2 why so many exotic cars have Montana license plates: You don’t actually have to go to Montana. For years, many exotic car buyers have been registering their cars in Montana thanks to a loophole in the law that allows them to avoid paying sales tax. Ferrari 488, 79 vehicles valued at $250,000 apiece, with total fees of $177,750. Rolls Royce Phantom, 16 vehicles valued at $430,000 apiece, with total fees of $61,920. Koenigsegg Agera One 1, one vehicle valued at $2 million, with total fees of $18,000. It didn't take long … Ferrari F12, 49 vehicles valued at $300,000 apiece, with total fees of $132,300. Now, according to local news site Bozeman Daily Chronicle, that may all come to an end with the “Ferrari Tax.” Here’s a look at the cars that will be affected, as well as the tax they’d have to pay if this bill goes through. Porsche 918, 40 vehicles valued at $850,000 apiece, with total fees of $306,000. That is a loophole, folks. We’ll overnight you your vehicle registration. We can file it each year for you if you’d like. It costs you about $1,000 to have one of the Montana law firms set up your LLC and do the registration and titling paperwork and send you back the Montana license plates. For example, many financial institutions won't finance an RV or motorhome titled in an LLC’s name, especially a Montana LLC. You can use that company to buy and hold the RV. Montana has no sales or use tax and no vehicle inspections. You can then transfer the ownership of the LLC with the Montana Secretary of State for $20 if you ever want to sell the vehicle, and the people you sell the vehicle to have a pre-licensed vehicle. Montana has no vehicle inspection, in which your car is looked over by a safety inspector to make sure it has, you know, seat belts. Rolls Royce Wraith, 21 vehicles valued at $300,000 apiece, with total fees of $56,700. Montana, however, has a loophole when it comes to no sales tax on RVs. Our county is Flathead County and does not have a county option tax because our county has more money and less people than most. What is The Montana LLC Car Registration Loophole? McLaren 675, 49 vehicles worth $350,000 apiece, with total fees of $154,350. Aston DB9, one vehicle valued at $200,000, with a total fee of $1,800. I was working a garage for a car collector here on the east coast and noticed that several of his cars had Montana license plates. So, an industry has sprung up to assist people from other states who want to take advantage of Montana’s laws while living elsewhere. The fuck is wrong with people that can afford a $250,000 car but won’t pay the taxes on it. Sr. Tech Editor, Jalopnik. Massachusetts Motorists Skipping Sales Tax Through Montana Loophole. Online Services ***Attention customers*** We recently completed a major system upgrade. The loophole remains open, but in this way, Montana can at least profit from the practice. Then SOS Linda McCulloch stops by our office to say “Hi” in 2016. Audi R8, 14 vehicles valued at $160,000 apiece, with total fees of $20,160. Acura NSX, 10 vehicles valued at $180,000 apiece, with total fees of $16,200 charged to all 10 vehicle owners. The Vehicle Services Bureau (VSB) regulates the titling and registration of motor vehicles. Helpful stuff we didn’t want to put in our main menu, Get a Montana LLC and Vehicle Registration Today, Form a Montana Limited Liability Company (A Montana LLC). But that’s not even the best part. If you Google “Montana LLC”, you’ll see a booming business with Montana attorney’s is setting up LLC’s for out of state residents and handling the registration of their expensive vehicles. Chances are THEY are using a tax loophole....like writing off the interest on their mortgage. This includes the Articles of Organization, operating agreement, state filing fees, and our $49 a year Montana registered agent service. Maintain a Montana registered agent (we charge $49 a year) to provide you a physical address in MT at all times. Maintain your Montana LLC with the Secretary of State. Vehicle registration requirements differ in Montana based on whether you're a permanent or temporary resident. Ferrari FF, nine vehicles valued at $300,000 apiece, with total fees of $24,300. Your total cost to have us form the MT LLC in one day and register your auto initially is $800 (not including Luxury Tax). Ferrari Laferrari, 14 vehicles valued at $1.5 million apiece, with total fees of $189,000. The practice is not unique to MT. LLCs or Limited Liability companies can be formed and purchase vehicles in any state. You are renewing registration of special mobile equipment. Montana LLC. How? Additionally, Montana vehicles are not subject to personal property tax, because in Montana the licensing fees are in lieu of personal property tax. According to MCA 61-3-311, all Montana vehicles avoid sales tax. 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