Montana LLCs

[Don Bradner]

Not meaningful. The SP corporate business was an actual business, doing business
in multiple states. The typical Montana LLC is setup simply for tax avoidance,
and does no real business; some states consider that tax evasion, and your
choice is to not live in one of those states, or never bring your
Montana-registered vehicle in, or be aware that there is some chance, small or
large, that you might eventually have to pay.

My only personal objection is to the marketing. Those selling the concept
broadcast far and wide that they are legal in Montana (which they are) and that
this makes them legal everywhere (which it does not). If there is a disclaimer
that it might not work out, it must be buried well in the fine print.

On 5/26/2008 at 1:50 PM Pete Masterson wrote:

>> <snip> If the buyer is a multi-state resident (or entity) then the
>> state where the product is delivered and/or placed into service
>> will benefit from the sales tax payment. <snip>
>
>I note that my long-ago former employer, Southern Pacific railroad
>was headquartered in California, was incorporated in Delaware. When
>they purchased new rail (freight) cars, they would always be
>delivered to Oregon (no sales tax) and would take on their first
>revenue load (put into service) in that state. That avoided (legally)
>paying the sales tax to California as the rules applied to common
>carrier equipment purchases.
>
>Pete Masterson
>'95 Blue Bird Wanderlodge WBDA 42
>El Sobrante CA
>aeonix1@...