501261
Consigliere
- Joined
- May 27, 2002
- Posts
- 829
Shhhh, let you in on a little secret,
Oregon has no state sales tax, neither does Montana (though I don't know the specifics). If you buy a $10 million dollar airplane and register it in California you can pay $800,000 in sales tax. Now if you bought that $10 million dollar airplane and registered it in Oregon you don't pay the sales tax. Saving yourself $800,000! After 90 days in Oregon you can now transfer YOUR airplane to California. Another state that has a lot of airplanes based (and credit card companies) is Delaware, because there is no corporate tax.
Of course the California Frachise board knows all about this and will tax you, in order to even attempt this you need to have lawerys and accountants on retainer that are current in all the latest tax laws, you end up paying them about 25% of what you save on the aircraft sales tax. Plus you might lose and still have to pay sales tax, plus penalty and interest, and legal fees. So venture at your own risk.
Oregon has no state sales tax, neither does Montana (though I don't know the specifics). If you buy a $10 million dollar airplane and register it in California you can pay $800,000 in sales tax. Now if you bought that $10 million dollar airplane and registered it in Oregon you don't pay the sales tax. Saving yourself $800,000! After 90 days in Oregon you can now transfer YOUR airplane to California. Another state that has a lot of airplanes based (and credit card companies) is Delaware, because there is no corporate tax.
Of course the California Frachise board knows all about this and will tax you, in order to even attempt this you need to have lawerys and accountants on retainer that are current in all the latest tax laws, you end up paying them about 25% of what you save on the aircraft sales tax. Plus you might lose and still have to pay sales tax, plus penalty and interest, and legal fees. So venture at your own risk.