California Sales / Use tax

[Alan Weinel]

I used Search, but could not find this topic anywhere...

Have any other Calif residents bought new, and used the 90 day rule to NOT have to pay the Calif. Sales / Use tax?

How did you accomplish that? How easy did the process go?



For others in the comunity, as a Calif resident, when I register my new Scamp this fall, I will have to pay Calif sales / use tax on the purch price (7.75% - nearly $1,700). BUT - there is a provision in the law that IF the trailer is initially used outside the state, and does not enter Calif for 90 days after purchase, then the tax is not assessed.

[Gina D.]

and where would you register it for those 90 days?

[Darwin Maring]

Does Minnesota have a sales tax on campers?

I think you will need to get a title and tags somewhere B4 you take it to California. If you do not title the camper you will still have the certificate of origin and expired 30 day cardboard plates and have a major problem explaining things when you get it home.

Someone else went through Title Hell with the state of CA on this forum.

[Linda of San Diego]

My mom did something like that with her mh, she purchased it in Az, took posession in NV, registered it Ca, and keep it in Az for 4 months or so, saved a bundle on taxes. The rv dealer in Yuma took care of everything. She did have to keep her receipts showing she was living in AZ for those months.


Linda

[Alan Weinel]

MN does not charge tax if the sale is for use outside of the state. Actually, calif has the same rules... if you buy it and LEAVE, no tax - but you have to LEAVE. If you camp in the state before leaving.. gotcha. Incidental fuel stops are allowed.


as far as the travel and documentation - i dont think it is s problem - you DO get temp tags and Calif recognizes the issue... i mean it is in the law.

I read the saga from the lady with the Washington trailer. I think there are differences...
Didnt she buy used. (not sure that that does/should make a diff, but it IS a diff... this will be from a recognized dealer)
And did she have "interests" in both states? Lived part time Calif and WA (we are calif only)
And i am not sure why she wanted to get it taken care of b-4 dragging it to calif. I was not looking at the ins and outs of her situation, did more of a scan than an indepth read...


I believe we can drag it from backus to new england for a vacation and back to nevada all on the travel permit from MN.
And once we hit Calif we have 20 days to register. I **DO** think we have some, small exposure when we drag it from its temporary 90-100 day nevade parking spot until we hit calif. I dont THINK nevada will give us a bother - it is less than 10 miles. but there **IS** a small exposure.

I have a buddy who did it with a MH (saved on the order of $10k in calif tax). But they spent WAY more time out of state Visiting their unit than i particularly want to.

We will park it in western nevada... in a small town just over the border. The REASON is not to save taxes, (well not JUST) but we would like to use it over the winter months and dont want to drag it up over the sierra every time, and when we DO go, we can just take our car instead of the truck. SAVES GAS. And we are planning an early 2009 trip to death valley, and it will already be on the back side of that Sierra for that one too. We pick up in Sept 08...

So, there are actually valid PURPOSES for the plan. The tax issue just sweetens the pot.

Does Minnesota have a sales tax on campers?

I think you will need to get a title and tags somewhere B4 you take it to California. If you do not title the camper you will still have the certificate of origin and expired 30 day cardboard plates and have a major problem explaining things when you get it home.

Someone else went through Title Hell with the state of CA on this forum.

[Alan Weinel]

receipts showing she was living in AZ for those months

Right. THAT is the issue. The actual REGULATIONS state that you have to take delivery out of state (no prob), have its first functional use out of state (no prolem) and keep it out of state for 90 days - and the 90 days is "exclusive of any time of shipment to California or time of storage for shipment to California".

My argument is that "or time of storage for shipment to California" would apply... for example... say we didnt HAVE our TV yet. Flew to MN, took delivery. Then had Scamp sit on it for 120 days then flat-bed it to us. THAT 120 days IS "time of storage for shipment to California". Sitting in nevada is not "storage for SHIPMENT to California".

BUT then the Calif agency that does this adds another statement in their discussion - something that is NOT in the law or the regulations - about having "substantial use" during the 90 day period. And there is NO guidance about what constitues "substantial use".

My mom did something like that with her mh, she purchased it in Az, took posession in NV, registered it Ca, and keep it in Az for 4 months or so, saved a bundle on taxes. The rv dealer in Yuma took care of everything. She did have to keep her receipts showing she was living in AZ for those months.


Linda