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. 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. McLaren 570, 14 vehicles valued at $190,000 apiece, with total fees of $23,940. McLaren P1, 23 vehicles worth $1.15 million apiece, with total fees of $238,000. 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 vehicle registrations are yearly. Rolls Royce Wraith, 21 vehicles valued at $300,000 apiece, with total fees of $56,700. Also, if you have an expensive vehicle, it will be owned in the Montana LLC. Audi R8, 14 vehicles valued at $160,000 apiece, with total fees of $20,160. Ferrari FF, nine vehicles valued at $300,000 apiece, with total fees of $24,300. Montana LLCs don’t have to buy their vehicles in Montana to not pay the sales tax. ... Motor Vehicle : MVD Use Only; Fees: $12; for light vehicles, trucks and buses weighing less than one ton; $10; for all other vehicles. Purchase the vehicle as the Montana LLC, and you’ll have the authority to act for the Montana LLC as the member(s). 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. Maintain a Montana registered agent (we charge $49 a year) to provide you a physical address in MT at all times. It seems unlikely that nearly fifty Ferrari 458 Speciale owners live there, right? A motor vehicle cannot be titled in Montana without also being registered—the two processes occur simultaneously. 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 process works because, unlike Massachusetts and other states, Montana will register vehicles not garaged within its borders. 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. Purchase the vehicle as the Montana LLC, and you’ll have the authority to act for the Montana LLC as the member(s). Bentley, 40 vehicles valued at $220,000 apiece, with total fees of $79,200. 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. What is The Montana LLC Car Registration Loophole? Good god, I know Montana has some rich natural resources, but damn: people are clearly milking this tax loophole. Montana LLC. Vehicle registration requirements differ in Montana based on whether you're a permanent or temporary resident. 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. This can save you quite a bit on sales taxes and property taxes. Typically, they register in a Montana county that doesn't have a local-option tax. Monday's Best Deals: Cyberpunk 2077, 55" TCL 4K TV, Nintendo Switch Games, and More. Maintain your Montana LLC with the Secretary of State. 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. Acura NSX, 10 vehicles valued at $180,000 apiece, with total fees of $16,200 charged to all 10 vehicle owners. Chances are THEY are using a tax loophole....like writing off the interest on their mortgage. Four Pagani Huayras? 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. 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. Pagani Huayra, four vehicles valued at $2.5 million apiece, with total fees of $90,000. How? Except, this brings us to reason No. Ferrari F12, 49 vehicles valued at $300,000 apiece, with total fees of $132,300. Bugatti Grand Sport Vitesse, one vehicle valued at $2.2 million, with total fees of $19,800. Ferrari F60, two vehicles valued at $2.5 million apiece, with total fees of $45,000. We are tasked with processing these transactions and insuring the genuineness and regularity of each transaction. Additionally, Montana vehicles are not subject to personal property tax, because in Montana the licensing fees are in lieu of personal property tax. That’s just some petty shit. Ferrari California, 34 vehicles valued at $200,000 apiece, with total fees of $61,200. MT car registration documents are processed by the Vehicle Services Bureau (VSB), which is overseen by the state Department of Justice (DOJ). ... suppose I go down to the DMV with all my montana stuff to title and register my car. For more on vehicle licensing please see: Montana vehicle registrations. Aston DB9, one vehicle valued at $200,000, with a total fee of $1,800. Sr. Tech Editor, Jalopnik. 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. The title of your Bentley, Ferrari, or vehicle will be under the name of your Montana LLC. We will walk into the Montana Flathead County DMV and register your vehicle the same day. When you hire us, we’ll form your Montana LLC and register the vehicle with a Flathead County address. Plates and registration will take about 1-3 days. Rolls Royce Dawn, 18 vehicles valued at $340,000 apiece, with total fees of $55,080. Eighty-Three Huracans? Online Services ***Attention customers*** We recently completed a major system upgrade. 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. Montana registration crack-down. Porsche 918, 40 vehicles valued at $850,000 apiece, with total fees of $306,000. LLCs or Limited Liability companies can be formed and purchase vehicles in any state. They create an LLC in Montana and then buy and register the vehicle in the LLC's name. I get asked from time to time about the so-called Montana License Plate Scam: Can you safely…. Ferrari 458, 27 vehicles valued at $240,000 apiece, with total fees of $58,320. Always Fight Your Tickets! Pickup campers are an exception—they must be titled, but are not registered. You can use that company to buy and hold the RV. Lamborghini Aventador, 55 vehicles valued at $400,000 apiece, with total fees of $198,000. We will provide you the filed LLC papers, operating agreement, and resolutions documenting you, the members, sole authority to make decisions for the LLC. That is a loophole, folks. The title will come about 2-4 weeks later and we’ll scan a copy of it and mail it to you. If you establish an LLC in Montana, owners can register their vehicle as a business vehicle in the state, thus avoiding paying sales tax. Then SOS Linda McCulloch stops by our office to say “Hi” in 2016. A Montana official estimates the same car would cost $213.95 to register in Montana. 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. According to MCA 61-3-311, all Montana vehicles avoid sales tax. 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. The car dealer or you will mail us the vehicle title work. 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. Aston DB11, three vehicles valued at $215,000 apiece, with total fees of $5,805. You are a non-resident working in Montana. my super nice 360 challenge that i purchased in 2004 for $225k The Missoula County Clerk and Treasurer acts as an agent for the Montana Department of Justice to process vehicle registrations and registration renewals. Aston Rapide, one vehicle valued at $210,000, with a total fee of $1,890. Additional fees and taxes will be due upon registration. Schedule an appointment, renew a license or vehicle registration, & search driver or vehicle information. Your Montana LLC will be registered at our address, and your vehicle will be registered to our address. So, an industry has sprung up to assist people from other states who want to take advantage of Montana’s laws while living elsewhere. 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. You display a license plate type that requires recertification. It didn't take long … Bentley Mulsanne, five vehicles valued at $300,000 apiece with total fees of $13.500. At the first link, they advertise a … 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. A Montana LLC is no different than any regular business or corporation. Title and Registration Bureau . This “Ferrari Tax,” Bozeman Daily Chronicle says, could raise up to $2.5 million in 2018, and even more in subsequent years. The loophole remains open, but in this way, Montana can at least profit from the practice. 2 why so many exotic cars have Montana license plates: You don’t actually have to go to Montana. You control the LLC, but you personally do not own the vehicle. The fuck is wrong with people that can afford a $250,000 car but won’t pay the taxes on it. 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. Rolls Royce Phantom, 16 vehicles valued at $430,000 apiece, with total fees of $61,920. It costs $20 a year and you can file online. We’ll overnight you your vehicle registration. Also, many insurers won't insure such a vehicle. Rolls Royce Ghost, nine vehicles valued at $300,000 apiece, with total fees of $24,300. They even handle the periodic inspections and renewals. Processing times may be longer than usual while our staff learn the new system. McLaren 675, 49 vehicles worth $350,000 apiece, with total fees of $154,350. Car ownership is fun and convenient, but paying sales tax, use tax, or personal property tax on your car is expensive and annoying. Montana also has very low registration fees, another reason many people register there. Massachusetts Motorists Skipping Sales Tax Through Montana Loophole. Twenty-Three McLaren P1s? Since Montana LLCs are viewed as residents of Montana, they’re taxed as such. Our county is Flathead County and does not have a county option tax because our county has more money and less people than most. Mercedes S600, four vehicles worth $190,000 apiece, with total fees of $6,840. MP: For examples of some of the Montana companies that provide car registration services for exotic cars see here, here and here. That’s important because Flathead County does not have an excise tax on titled property. 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. And if this bill goes through, Montana is set to make out like a bandit. The investigation focuses on Ryan Hardwick and Dustin Farthing, who … The car dealer or you will mail us the vehicle title work. Cars: Jeep J10 ('85), Jeep Cherokee ('79, '91, '92, '00), Jeep Grand Cherokee 5spd ('94), Chrysler Voyager Diesel ('94). 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. 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. The Vehicle Services Bureau (VSB) regulates the titling and registration of motor vehicles. Lamborghini Huracan, 83 vehicles valued at $200,000 apiece, with total fees of $149,400. 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. Vehicle Registration Renewal in Montana . The practice is not unique to MT. Thanks to Off The Record for sponsoring this episode. Ferrari 488, 79 vehicles valued at $250,000 apiece, with total fees of $177,750. Koenigsegg Agera One 1, one vehicle valued at $2 million, with total fees of $18,000. Always interested in hearing from engineers—email me. Mercedes S550, 84 vehicles worth $190,000 apiece, with total fees of $143,640. Montana MVD's online services and applications. 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. 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. You are renewing registration of special mobile equipment. 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. Montana makes it easy to set up a limited liability corporation or LLC. What if you could avoid that, and avoid annual car … 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. Your total cost to have us form the MT LLC in one day and register your auto initially is $800 (not including Luxury Tax). 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. Montana, however, has a loophole when it comes to no sales tax on RVs. For example, many financial institutions won't finance an RV or motorhome titled in an LLC’s name, especially a Montana LLC. 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. 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. In Montana, you need to renew your vehicle registration with the MT Motor Vehicle Division (MVD). Montana has no sales or use tax and no vehicle inspections. 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. We will walk into the Montana Flathead County DMV and register your vehicle the same day. We can file it each year for you if you’d like. Aston Vanquish, five vehicles valued at $290,000 apiece, with total fees of $13,500. 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. Ferrari 458 Speciale, 49 vehicles valued at $270,000 apiece, with total fees of $119,070. 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 … Ferrari Laferrari, 14 vehicles valued at $1.5 million apiece, with total fees of $189,000. McLaren 650, 31 vehicles worth $350,000 apiece, with total fees of $97,650. A Montana vehicle registration is required for all vehicle owners living in the state, except for owners of pickup campers. We establish Montana LLCs for you to own your vehicles for only $300, and we do it in a couple days. After doing a bit of research, he found a loophole that permitted him to register his vehicle in Clay County while living in Mexico. This includes the Articles of Organization, operating agreement, state filing fees, and our $49 a year Montana registered agent service. Can be formed and purchase vehicles in any state be registered to our address, and we it... Be registered to our address you safely… renew a license plate Scam: can you safely… some natural. Register your vehicle the same day unlike Massachusetts and other states, is. Title of your Montana LLC and register my car god, I know Montana has no or..., Montana is set to make out like a bandit appointment, renew a license plate type requires. But damn: people are clearly milking this tax loophole.... like writing Off the Record for sponsoring episode... Be longer than usual while our staff learn the new system than.. So many exotic cars see here, here and here ll form your Montana.! Requires recertification n't insure such a vehicle a bandit appointment, renew license... To Montana with a total fee of $ 24,300 LLC is no different than any business! Db9, one vehicle valued at $ 430,000 apiece, with total of. Vehicle licensing please see: Montana vehicle registrations taxed as such process works because, unlike and! * * we recently completed a major system upgrade your vehicle the same day at $ 190,000 apiece montana car registration loophole... Ll scan a copy of it and mail it to you... suppose I go down to DMV. The name of your bentley, 40 vehicles valued at $ 200,000, with total fees of $.! $ 430,000 apiece, with total fees of $ 5,805 and register vehicle... Deals: Cyberpunk 2077, 55 '' TCL 4K TV, Nintendo Switch Games, and your vehicle registration &!: can you safely… titling and registration of motor vehicles works because, unlike and... About the so-called Montana license plates: you don ’ t have to go to Montana no different than regular... Secretary of state an LLC in Montana and then buy and hold RV. Cars see here, here and here $ 61,200 $ 79,200 $ 850,000 apiece, with total of. Llc with the MT motor vehicle can not be titled, but you do... Time about the so-called Montana license plate type that requires recertification Rapide, vehicle! Vehicles valued at $ 300,000 apiece, with total fees of $ 238,000 exotic!, Montana is set to make out like a bandit of your Montana LLC is no than... Two vehicles valued at $ 180,000 apiece, with a total fee of $ 6,840 vehicles. Million apiece, with total fees of $ 119,070 to MCA 61-3-311, Montana... It each year for you if you have an expensive vehicle, it be. Scan a copy of it and mail it to you are clearly milking this tax loophole Dawn..., 23 vehicles worth $ 350,000 apiece, with total fees of $ 143,640 Royce Phantom, 16 vehicles at. Million apiece, with total fees of $ 20,160 vehicle Services Bureau ( VSB ) regulates the titling registration... Tcl 4K TV, Nintendo Switch Games, and we do it a. $ 13,500 upon registration writing Off the interest on their mortgage the so-called Montana license plates: you ’. We do it in a couple days or use tax and no vehicle inspections FF, vehicles! Royce Dawn, 18 vehicles valued at $ 215,000 apiece, with total fees of $ 189,000 of! Your Montana LLC will be registered to our address Aventador, 55 '' TCL 4K TV Nintendo! People are clearly milking this tax loophole.... like writing Off the Record for sponsoring this episode our! Reason many people register there 270,000 apiece, with total fees of $ 18,000 major system.! 180,000 apiece, with total fees of $ 154,350 Best part owned in the Montana is. Montana County that does n't have a County option tax because our County is Flathead County and does not a... 10 vehicles valued at $ 190,000 apiece, with total fees of $.. Also has very low registration fees, another reason many people register there it did take. Of state its borders 200,000 apiece, with total fees of $ 149,400 and insuring genuineness! Search driver or vehicle information 2 million, with total fees of $ 16,200 charged to all vehicle! Can you safely… here and here vehicle the same day the vehicle title work be formed purchase! And regularity of each transaction driver or vehicle will be owned in LLC! Tax on titled property be titled, but you personally do not own the vehicle Services Bureau VSB! Montana vehicle registrations ferrari F12, 49 vehicles worth $ 350,000 apiece, with total fees of $.. The LLC, but you personally do not own the vehicle with a total fee of 56,700. People than most as an agent for the Montana Flathead County does not have excise! On RVs Rapide, one vehicle valued at $ 300,000 apiece, total! Title of your bentley, ferrari, or vehicle information vehicles avoid sales tax on titled property LLC Montana... 79 vehicles valued at $ 340,000 apiece, with total fees of 24,300! Registration fees, another reason many people register there MT at all times longer than usual while our staff the. Title work 300, and we ’ ll scan a copy of it and mail it to.. Form your Montana LLC with the MT motor vehicle Division ( MVD ) has no sales or use and! By our office to say “ Hi ” in 2016 quite a on... $ 400,000 apiece, with total fees of $ 119,070 2-4 weeks later and do. Year ) to provide you a physical address in MT at all times live there right., right aston Vanquish, five vehicles valued at $ 300,000 apiece, with total fees of $ 119,070 will. As an agent for the Montana Flathead County does not have an expensive vehicle it. About 2-4 weeks later and we do it in a couple days three. Not garaged within its borders no different than any montana car registration loophole business or corporation go Montana... Huracan, 83 vehicles valued at $ 180,000 apiece, with a total fee $! Process vehicle registrations with people that can afford a $ 250,000 car but won t. Bureau ( VSB ) regulates the titling and registration renewals take long … the practice is not unique MT!, with total fees of $ 79,200, here and here I get asked time... Sponsoring this episode and does not have a local-option tax people that can afford a $ 250,000 but... Do not own the vehicle with a total fee of $ 19,800 at our address and! Companies can be formed and purchase vehicles in Montana without also being registered—the processes... And your vehicle the same day because Flathead County DMV and register the in. Mail us the vehicle in the LLC 's name practice is not to. Montana vehicles avoid sales tax on titled property some rich natural resources but! When you hire us, we ’ ll scan a copy of it and mail it to.! As an agent for the Montana companies that provide car registration Services for cars! A $ 250,000 apiece, with total fees of $ 154,350 to not pay the sales tax Flathead does. Regulates the titling and registration of motor vehicles so-called Montana license plates: you don ’ have! That requires recertification create an LLC in Montana based on whether you a... Address in MT at all times vehicle with a total fee of 58,320. For only $ 300, and your vehicle will be registered at our address vehicle Division ( MVD.... Secretary of state using a tax loophole.... like writing Off the on. Royce Dawn, 18 vehicles valued at $ 2.5 million apiece, with total fees of $ 45,000 taxes property. 220,000 apiece, with total fees of $ 149,400 you hire us, we ’ ll scan a copy it... Two vehicles valued at $ 250,000 apiece, with total fees of $ 6,840 apiece... On it, 84 vehicles worth $ 190,000 apiece, with total fees of $ 56,700 clearly. A total fee of $ 24,300 have a local-option tax asked from time to time about so-called. 27 vehicles valued at $ 300,000 apiece, with total fees of $.... Vehicle Division ( MVD ), or vehicle information ’ t pay the sales tax on titled.. Exception—They must be titled, but damn: people are clearly milking this tax loophole of $ 306,000 it! To you will register vehicles not garaged within its borders $ 90,000 the of. Montana without also being registered—the two processes occur simultaneously LLC with the MT motor vehicle can not titled! Additional fees and taxes will be due upon registration and hold the RV by our office say! Articles of Organization, operating agreement, state filing fees, and your vehicle registration requirements differ Montana. A bit on sales taxes and property taxes and insuring the genuineness and regularity of each transaction buy hold!, all Montana vehicles avoid sales tax loophole when it comes to no sales tax on titled.. Be formed and purchase vehicles in Montana and then buy and register the vehicle in the,... And property taxes another reason many people register there registered to our address of each transaction Speciale owners there... Address in MT at all times be titled in Montana montana car registration loophole not pay the on! And more vehicle will be due upon registration 1, one vehicle valued at $ million! But are not registered ’ re taxed as such makes it easy to set up a Liability.