Tax Free Montana Vehicle Registration: A step-by-step guide

Most know Montana for its breath-taking scenery and world-class outdoor recreating, but over the years a knowledgeable few have faithfully flocked to the state to take advantage of a different perk: its sales tax free status. In particular, nonresidents have successfully avoided the high sales tax and other licensing fees required by their home states by registering their vehicles through a Montana Limited Liability Company (LLC). While that may sound like jargon, at Heggen Law Office we work hard to ensure that naming your new LLC is the most difficult part of the process.  Let us help you take advantage of Tax Free Montana Vehicle Registration.

While most Montanans have the benefit of avoiding sales tax on a daily basis, out-of-staters can reap similar benefits by registering their vehicles, travel trailers, and other recreational vehicles through a Montana LLC. In doing so, nonresidents can take advantage of Montana’s sales tax exemption and avoid their own states high fees.

Here is a step-by-step guide to get you started:

  1. Call Heggen Law Office for a consultation with our knowledgeable associates. At Heggen Law Office, we have a combined forty years of experience to help you decide whether a Montana vehicle registration is right for you. Contact us today for a free consultation. Rather than trusting fast-acting “agent” website claims, you can rest assured that our process remains within the legal bounds of Montana LLC law and that your information is always handled with confidentiality and professionalism. What’s more, our staff is equipped with an immense knowledge of state-by-state regulations, ensuring that you make the best decision for your particular situation.
  2. Double check your own state’s statutes. While our staff is always around to answer your questions, we also recommend that you do your own investigating. Each state is different and treats their laws in a unique way. We suggest that you speak with your own tax advisor to ensure that a Montana vehicle registration aligns with your state’s statutes.
  3. Check your email. After deciding to move forward with a Montana LLC and vehicle registration, the process moves quickly (especially with the staff at Heggen Law Office doing the heavy-lifting for you). Once you’ve provided us with a Company name and mailing address, we can begin sending you the necessary information, including an attorney- client contract that needs to be signed and a client letter and Acknowledgment that will need to be notarized.
  4. Establish your LLC. As soon as we receive all necessary documents, we can move forward with establishing your LLC. Once we have your information and you have named your LLC, our staff will take care of filing for your new entity. While the total registration fees will ultimately depend on the vehicle(s) you choose to register, an LLC formation will only set you back around $1,000. Once an LLC has been established, any number of vehicles may be registered through the entity. Further, at Heggen Law Office we will ensure that you are never solicited for extra things besides the standard fees listed on our site. Once your LLC is established, Heggen Law Office will take care of future annual filings for a yearly registered agent fee of about $140 plus the Montana Secretary of State’s annual filing fee, usually only another $20.
  5. License your motor vehicle in Montana with your LLC as the registered owner. After assigning or transferring your chosen vehicle to your Montana LLC, the vehicle can then be licensed in Montana, using your LLC as the registered owner. As mentioned previously, the total cost of registration will depend on your chosen vehicle, but you can get a clear idea of the cost on our Vehicle Registration page. To give you a picture of the potential savings, consider the cost of a new, full-time, luxury recreational vehicle purchased for $200,000. While registering this RV in your home state may cost you as much as $20,000 after sales tax and licensing fees, with a Montana LLC, this same vehicle can be registered for approximately $1,500, plus the small annual fee to maintain your LLC in the future. Even vehicles that have previously been registered in other states may benefit from a Montana registration. For instance, all vehicles over 11 years old may be registered in Montana permanently for a one-time flat fee, saving you from the annual licensing fees and vehicle inspections required by most states.
  6. Enjoy your new purchase. Once your LLC has been formed and your vehicle is registered, the staff at Heggen Law Office will take care of the rest. We value our clients’ privacy above all and always do our best to ensure that your assets are properly protected. While anyone with a Montana address can claim the status of “registered agent,” Heggen Law Office operates through a commercial Montana LLC address and we work hard to uphold Montana state law. By trusting Heggen Law Office, you can trust that we will treat your business with the same integrity and always ensure that your assets and privacy remain protected.

By following these simples steps, you too can take advantage of Montana’s tax free vehicle registration. While a Montana vehicle registration may not be the best option for everyone, our staff is always on hand to answer your questions with sound and trusted advice. Call our staff today to find out if Montana’s tax free vehicle registration is the right option for you.

Check our Vehicle Registration and FAQ’s page for more information.