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View Full Version : California RV Law Revision, beware!!



JustMVG
12-14-2004, 03:32 PM
I have not seen this aspect of the new CA law mentioned, so I thought I should share.
The revisions made to the California Vehicles, Vessels and Aircraft Purchased Out of State could cost you BIG TIME even if you are not a resident. The changes made include the following verbiage:
“From October 2, 2004, through June 30.2006, any vehicle, vessel, or aircraft purchased outside of California and brought into the state within 12 months from the date of its purchase is presumed to be acquired for storage, use, or other consumption in California and subject to tax if any of the following occur: (some parts omitted)
• the vehicle, vessel, or aircraft is used or stored in this state for more than one-half of the time during the first 12 months of ownership.
The use tax was collected by DMV when you tryed to register an out of state bought RV. This would only apply to California residents. Non residents would have no reason to register there RV in California unless they were moving here. The law was 90 days now it is a year. So if you are a California resident and want to beat the use tax on a RV you and your RV will have to stay out of the Golden State for a year before bring it into California and trying to register it. Be prepared to bring documentation with you to DMV to prove you were out of state for that full year.
This could apply to boats purchased outside of Ca, and brought here.
Just wanted to share. MikeVG
This applies to residents and NON-RESIDENTS alike! You can see just the change pdf document or the full pdf document here.http://www.boe.ca.gov/pdf/pub52.pdf

Ziggy
12-14-2004, 03:48 PM
Mike,
I dealt with this alot for my customers who'd go to Europe and buy their cars from me that way, stay and/or leave the car overseas for the 90 day "test" period and get a waiver on the sales tax...the 90 day period DID NOT include the shipping time either so it would be more like 120+ days.
Its a loophole that has been there for years that just now got closed.....
Any purchases made prior to the October 1 date still could/can use the 90 day rule.

JustMVG
12-14-2004, 04:18 PM
Thanks Ziggy, i just wanted to let those who might be getting any "Toys" over the next few months that the loophole had been closed. MikeVG

voodoomedman
12-14-2004, 04:41 PM
easy. store it out of state. That's where we all play with toys anyway right.

JustMVG
12-14-2004, 04:46 PM
I think it will apply to those who purchase out of state, and then keep it at home for some time, and the neighbor who's jealous calls the CHP or a local agency to tattle on you then they tell the DMV and there ya go.

Ziggy
12-14-2004, 05:40 PM
Thanks Ziggy, i just wanted to let those who might be getting any "Toys" over the next few months that the loophole had been closed. MikeVG
Glad you did too :cool: :cool: . Its already having an effect on me. :frown:

wildbillg
12-14-2004, 06:07 PM
I sell boats in Arizona, if you use your boat mostly in arizona then you are supposed to regester the boat on the body of water (az side) you use the boat on mostly. I have about 100 boat that are stored at my house right now :idea: :D

Dr. Eagle
12-14-2004, 07:32 PM
Of course you all know this means those of us with boats and RVs are all.....
DOOOOOOOOMED (http://images.fedex.com/us/about/advertising/tvads/drama1.wmv)

bordsmnj
12-14-2004, 08:30 PM
my rv is really a second home. **** e'm. still a write off :)

Kilrtoy
12-14-2004, 08:32 PM
I sell boats in Arizona, if you use your boat mostly in arizona then you are supposed to regester the boat on the body of water (az side) you use the boat on mostly. I have about 100 boat that are stored at my house right now :idea: :D
Can you make it 101

BADASS38CHEVY
12-14-2004, 10:55 PM
im taking delivery of my new lavey around march 2005. my friend is going to let me use his address in oregon so i dont have to pay sales tax,save me about $9400.00 in taxes. are they requiring a oregon drivers lic to when doing this ?i live in so.cal and had heard i would need a oregon lic to show residence.is this true.what if i keep it in storage in parker because i will use it there and in havasu.never in oregon.will this work ?

JustMVG
12-14-2004, 11:18 PM
my rv is really a second home. **** e'm. still a write off :)
Didn't you buy your RV here in Calif?
If you did this wouldn't apply to you , Gumby!!! :p

Essex502
12-15-2004, 09:03 AM
im taking delivery of my new lavey around march 2005. my friend is going to let me use his address in oregon so i dont have to pay sales tax,save me about $9400.00 in taxes. are they requiring a oregon drivers lic to when doing this ?i live in so.cal and had heard i would need a oregon lic to show residence.is this true.what if i keep it in storage in parker because i will use it there and in havasu.never in oregon.will this work ?
I would think you will need to "complete the sale" in the state that has the lower taxes - i.e. Oregon in your example. Lavey would have to have an Oregon business license I would presume. As to registration and the California Property tax, if the vessel is not registered in the state of California, is not stored in the state of California and is not used for more than 49% of the time in California, you will NOT have to pay California property tax on it. If Lavey sells the boat to YOU in California I'd think they would need to charge you California sales tax. Lavey should be able to deliver the boat to you in Arizona and register it in AZ to prevent the the Property Tax.
Ask you friend in Oregon whether you have to be a Oregon resident to register a vessel in Oregon. The local DMV should be able to tell him/her. AZ doesn't require you to be a AZ resident to register a vessel in that state. Department of Game and Fish handles this in AZ.
Remember...if you EVER tow the boat and trailer THROUGH California at any time BEHIND a California registered vehicle you may be subject to getting stopped if the trailer is NOT registered in CA. We register and store our boat in AZ but the trailer is CA registered.

Ziggy
12-15-2004, 10:49 AM
I would think you will need to "complete the sale" in the state that has the lower taxes - i.e. Oregon in your example. Lavey would have to have an Oregon business license I would presume. As to registration and the California Property tax, if the vessel is not registered in the state of California, is not stored in the state of California and is not used for more than 49% of the time in California, you will NOT have to pay California property tax on it. If Lavey sells the boat to YOU in California I'd think they would need to charge you California sales tax. Lavey should be able to deliver the boat to you in Arizona and register it in AZ to prevent the the Property Tax.
Ask you friend in Oregon whether you have to be a Oregon resident to register a vessel in Oregon. The local DMV should be able to tell him/her. AZ doesn't require you to be a AZ resident to register a vessel in that state. Department of Game and Fish handles this in AZ.
Remember...if you EVER tow the boat and trailer THROUGH California at any time BEHIND a California registered vehicle you may be subject to getting stopped if the trailer is NOT registered in CA. We register and store our boat in AZ but the trailer is CA registered.
If its anything like selling cars, Lavey should be able to deliver out of state on their dlr licence or by way of "bill of lading' to prove delivery took place outside of Ca. thusly avoiding the Ca. taxes...but subjecting you to applicable taxes in the delivery state. Az charges taxes on new boats but not on privately sold used boats....