Quote:
Originally Posted by BK911
Buddy of mine is thinking about buying a UTV in TN.
Dealership told him if he could find somebody out of state to buy it, he would avoid paying state taxes.
All they need is a picture of an out of state license and cash/check for the vehicle.
My buddy is thinking about having his Dad purchase it from OH.
I told him this was a bad idea, that the gubmint will get their money somehow, but I dont know how?
Dad will never have to register it because it is an off road vehicle.
And cant Dad gift it to his son?
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It sounds like the dealer is just trying to help avoid sales taxes, in which case his scheme would work. If TN requires registration of UTVs, that is a different issue and can likely be overcome with the "gifting" action.
However...
check out the TN laws. California doesn't require yearly registration, but does require initial registration for plates. That requires an application fee and documents like title or bill of sale, and if the vehicle is from out of state,
payment of a use tax. That use tax can be overcome if the vehicle is a gift, but in California, if the vehicle is new and brought in from out of state, they will be suspicious as that is a tactic used to avoid taxes as well.
Have your buddy do his homework for TN before moving ahead.