Skip to main content
Topic: California Use Tax (Sales Tax) (Read 651 times) previous topic - next topic
0 Members and 1 Guest are viewing this topic.

California Use Tax (Sales Tax)

Yahoo Message Number: 22615
The law may be changing again... Check the timing of your next RV purchase if you are a California resident, or not a resident but planning to use your new purchase in CA for more than six months of the 12 months of initial ownership....

The approval of the 2004-05 California Budget included Senate Bill 1100 which replaced the "90-day" test with a "12-month" test to determine whether an out-of-state purchase of a vehicle or vessel was a purchase for use in California and subject to California use tax. Beginning October 2, 2004, a vehicle purchased by a CA resident and brought back into CA within 12 months, is subject to the tax. Plus some other conditions also subject the vehicle to the tax.

BUT, the above rules are only in effect through June 30, 2006, unless they are extended. Reports from the CA Board of Equalization and CA Senator Dave Cox office is that there are no efforts in place to extend the law, and that it would revert back to the old rules of 90 days (or alternatively out of CA for more than half of six months). The rules will "Sunset" as originally planned.
See BOE Pub 52 (page 5) at http://www.boe.ca.gov/pdf/pub52.pdf (How to request USE TAX clearance for DMV Registration) for more information.

We have sold our home, vacating 6/9/2006, heading to the Eugene rally, buying a new coach, and trying to decide if we need to change our domicile quickly (which also affects our IBM medical benefits, etc), or wait until July 1st to take delivery.

Herb

2002 Allure #30690

 

Re: California Use Tax (Sales Tax)

Reply #1
Yahoo Message Number: 22616
Re: [Country-Coach-Owners] California Use Tax (Sales Tax) Congrats on selling the house and getting a new coach. Which one are you looking at? Never an easy decision. We were going to do the Montana LLC (since our previous coach was purchased in Montana), but it didn't work out so we had to make some fast decisions. We were still living in Ca., but retired, and knew we didn't want to pay their outrageous fees and we weren't in the position to keep the coach out of state for the 90 days. So we called Alternative Resources in SD. It is advisable to do this before you do your registrations. Then Ca. has no record of your new purchase to hassle you about. Bob worked for Riverside County and he'd set up the med. ins. so we didn't have to stay in Ca.
See Ya at the rally.
--
Sue

'05-42' Allure #31254