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    Dave Rahardja (temporarily spooky) (drahardja@sfba.social)'s status on Sunday, 08-Mar-2026 14:06:39 JST Dave Rahardja (temporarily spooky) Dave Rahardja (temporarily spooky)

    Looks like the Montana License Plate party is coming to an end in #California. CA AG Rob Bonta is cracking down on people who register their cars under Montana LLCs to avoid paying sales taxes.

    California’s use tax/sales tax on cars are one of the highest in the nation—it’s around 9% where I live. Montana, on the other hand, charges a one-time low fee to register your car, and you pay nothing more for the next five years.

    It’s no wonder that a lot of wealthy people register their cars in Montana and drive them in California: you save $45k of taxes on a $500k car, after all. But of course, this robs California of tax revenue, and the benefits mostly accrue to the people with the most expensive cars.

    Look, a lot of people (myself included) resent the extremely high tax rates on #cars, especially *used* cars, on which you have to pay the same tax rate *again* on resale, but those are the rules, and that’s the price you pay to enjoy living in this state.

    https://www.yahoo.com/news/articles/montana-loophole-helped-alleged-tax-062839747.html

    In conversation about 7 months ago from sfba.social permalink

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    • Rich Felker repeated this.
    • Embed this notice
      Dave Rahardja (temporarily spooky) (drahardja@sfba.social)'s status on Sunday, 08-Mar-2026 14:06:39 JST Dave Rahardja (temporarily spooky) Dave Rahardja (temporarily spooky)
      in reply to

      People think Montana registration is a flex, but I have the opposite view: if you want to use a car to flex, then it’s a bigger flex to have California plates on your expensive car. Not only does it show that you can afford the car, but you don’t even give a shit about that extra 9% tax on your million-dollar toy. THAT’S THE FLEX. Montana plates on expensive cars makes you look like you’re stretching to buy the car.

      Besides, there is a way to reduce your sales tax on your expensive toy: lease it. You only pay sales tax on the depreciated value. There really is no need to go to Montana to register new cars.

      #California #cars

      In conversation about 7 months ago permalink
    • Embed this notice
      Rich Felker (dalias@hachyderm.io)'s status on Sunday, 08-Mar-2026 14:08:34 JST Rich Felker Rich Felker
      in reply to

      @drahardja People who buy status symbols aren't the smartest when it comes to thinking about how it makes them look...

      In conversation about 7 months ago permalink

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