South Dakota Residency (my experience)

[Lifemagician]

stude53, would you be able to tell me if residency is required to be able to register a motor vehicle in ND.&nbsp; This is the main hurdle to overcome for travellers to be able to buy their own vehicle when visiting the US.<br /><br />I know that residency is not a requirement in WA, but a physical address is.&nbsp;&nbsp; So if you do not have anyone whose address you can use, you're out of luck.&nbsp; <br /><br />I also know that in FL it is not required to have residency, and a physical address can be a hotel.&nbsp; In fact, FL have a facility to record a second address which is usually an out of State address.&nbsp; I am not sure if this can be an out of country address.<br /><br />It took a decade of research, but this year, for my fifth visit to the US, I finally bought a vehicle.&nbsp; There is a firm of attorneys in MT who facilitate this for non residents.&nbsp; The once off fee for the attorney was about $1K, the registation was $200 - permanent!&nbsp; No renewals.<br /><br />This was all done by setting up a (non trading) LLC of which I am the owner.&nbsp; The vehicle was bought in the name of the LLC, and registered in that name.&nbsp; (The vehicle was actually bought in PA.)&nbsp; Apparently in MT the attorney cannot be forced to disclose the owner of an LLC.<br /><br />For about $50 p.a. the attorney will forward all mail, once a year.&nbsp; But then, I request for all mail to be sent electronically.&nbsp;&nbsp; And as far as I can recall, those whom I asked, obliged.<br /><br />(At home I get 99% of my mail and bills sent to my email address.&nbsp; Rarely have any physical mail.)<br /><br />Lifey

 

[CarCampire]

This is some amazing information but say I want to work full time in another state and still claim residency in SD; can I do that? Will it look fishy on my taxes even if I do live in a vehicle and have no 'home base' other than my mobile home?

 

[akrvbob]

Lots of people work in multiple states who live in stix-n-brix. Working in multiple states is no problem with taxes, you just have to file a return in every state you work in unless it is a no-income-tax state. It's no big deal.<br>Bob

 

[CarCampire]

<P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN style="FONT-FAMILY: Arial; COLOR: #999999"><SPAN style="FONT-SIZE: medium">Ok – So let me get this strait…</SPAN></SPAN></P><P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN style="FONT-FAMILY: Arial; COLOR: #999999"><SPAN style="FONT-SIZE: medium">&nbsp;</SPAN></SPAN></P><P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN style="FONT-SIZE: medium"><SPAN style="FONT-FAMILY: Arial; COLOR: #999999">I can stay a night in South Dakota (to get the receipt for residency) and get my drivers license - sig</SPAN><SPAN style="FONT-FAMILY: Arial; COLOR: #999999; mso-bidi-font-size: 8.0pt">n up for a forwarding address and get WAY cheaper insurance for my vehicle (car OR RV) but have to pay income tax in income tax states?</SPAN></SPAN></P><P style="MARGIN: 0in 0in 0pt" class=MsoNormal><SPAN style="FONT-FAMILY: Arial; COLOR: #999999; mso-bidi-font-size: 8.0pt"><SPAN style="FONT-SIZE: medium">&nbsp;</SPAN></SPAN></P><SPAN style="FONT-FAMILY: Arial; COLOR: #999999; FONT-SIZE: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-bidi-font-size: 8.0pt; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA">If the benefits include ‘rockin’ Dakota license plates and insurance that is 50% less than New York – why don’t lots of people do this? Is it frowned upon? Or do people simply dislike traveling to middle of the country states all for lower car insurance? </SPAN>

 

[Kevin H]

<span style="line-height: 18.18181800842285px;">I've copied most of this from the context of another post:<br><br>I'll give seconds to Teri at '</span><span style="line-height: 18.18181800842285px; text-decoration: underline;"><span style="color: #ff0000;"><a style="color: #000000; text-decoration: initial;" href="http://www.mydakotaaddress.com/" rel="nofollow"><span style="color: #ff0000;">My Dakota Address</span></a></span></span><span style="line-height: 18.18181800842285px;">'. &nbsp;We have been with her for almost two years now. &nbsp;If all businesses ran as well and reliable as she does we consumers would be in heaven. &nbsp;Can't say &nbsp;enough about her.</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">Teri will help you get all your residency and vehicle registrations in order. &nbsp;Madison is a small enough community that her office is about a half block from the County Court House. &nbsp;We were passing through so we decided to do all our work in person. &nbsp;Very smooth and easy.</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">The only glitch was our driver's licenses. &nbsp;We did not have all the required paperwork.</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">The problem is the chain of names for my wife. &nbsp;She was adopted as a child and has been married before. &nbsp;We did not have all the papers with us showing her name chain. &nbsp;They require a complete chain of names and name changes from birth to present - birth name, adopted name, marriage certificate with name change - divorce papers with name change and any repeated iterations of name changes.</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">You MUST visit SD to get your license and you will have to provide proof of at least one night's stay in the state - hotel/ campground receipts.</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">We decided to go with SD because the vehicle fees and insurance were cheaper than Texas. &nbsp;Shop around for insurance. &nbsp;We chose Progressive.<br><br>As far as working in other states, we do that with no problem.<br><br>Good Luck with getting everything set up.</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">Happy Trails!!</span><br style="line-height: 18.18181800842285px;"><br style="line-height: 18.18181800842285px;"><span style="line-height: 18.18181800842285px;">-- &nbsp;Kevin</span>

 

[akrvbob]

Surdomi wrote:<br>

<span style="font-family: Arial; color: #999999; font-size: 12pt; mso-fareast-font-family: 'Times New Roman'; mso-bidi-font-size: 8.0pt; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;">If the benefits include ‘rockin’ Dakota license plates and insurance that is 50% less than New York – why don’t lots of people do this? Is it frowned upon? Or do people simply dislike traveling to middle of the country states all for lower car insurance? </span>

<br><br>It is my understanding that if you live fulltime in one state, it is almost always illegal to be a resident of another state to avoid taxes. If a cop becomes aware of it, I believe he can cite you. Although I think the odds of that are extremely low. The reason we do it is we are full-time travelers and don't spend our time in one state. Honestly, I am not a resident of any one state so I choose the state that works the best for me. <br><br>Oregon doesn't have a sales tax so some people falsly become residents to avoid sales tax on big-ticket items. For awhile they were actively searching those people out and charging them for the sales tax. <br><br>It also creates problem in many small ways so it just isn't worth the hassle for most people. <br>Bob

 

[Simran]

I do just what Bob is refering to here and I live in South Dakota where there is no state income tax. Here is what happens when you live in SD and work in Iowa, Wisconsin or Kansas and they find out you were working there. . . .They soak you for all they can get. I have actually worked in, paid taxes in Wisconsin &amp; Kansas and had to pay MORE than what I already have paid during the course of working there. These two states virtually rape out of state workers. I avoid them like the plague.<br>This is a subject I should probably avoid commenting on because it raises my blood pressure. Being born and raised in a state with no income tax it really gravels my gizzard when my tax guy says I have to cut a check to a state where I don't live and I've already had taxes withheld. It just smells of entitlement crap!!!!!<br>"We are entitled to some of your money because you were here in our lovely state and made some money; therefor you should pay us more than those of us that live here!" HUHHH!!! There is no way to get around this either; I've tried.<br><br>gus<br><br>

Lots of people work in multiple states who live in stix-n-brix. Working in multiple states is no problem with taxes, you just have to file a return in every state you work in unless it is a no-income-tax state. It's no big deal.<br>Bob

 

[ccbreder]

NJ charges income tax on the money you make in NJ if you are not a resident. They have some kind of&nbsp;reciprocation&nbsp;if you pay income tax in your "home" state. Also, if you live and work in NJ there is a time limit to register your vehicle in NJ, also your DL.<br>Other tax states may have same rules.<br>There are many "permanent" residents with out of state tags. Mostly Fla, Ga, SC and Maine.&nbsp;

 

[Seraphim]

No expert here, but just a thought:<br><br>If you own a home in a state which is not your state of residence, it is not your 'residence', therefore it is a vacation home or rental unit, and is taxed differently - or is not elible for certain&nbsp;tax breaks&nbsp;- so I believe. Something to check on. Should you do so take breaks and the IRS finds it is not your legal state of residence, you might have problems. Just off the top of my head.

 

[vantexan]

Thank you for the very good info. Looking at the Trailer Life forum over the years I knew some fulltimers prefer SD to TX, which seem to be the two main states RVers switch residency to. TX has the headquarters of Escapees, the biggest fulltime RVer club, which seems to be the primary motivation for TX residency. But looking at this info, and having lived in TX myself, I'd say SD is the way to go, even if I will spend time in TX. One thing I am considering is that in order to get non local network tv on a Dish satellite receiver you either have to live in a RV and get a RV exemption, or live in an area where you can't receive networks off air. There's a separate company that handles it, and you submit your zipcode to see if your area qualifies. Since I won't have a RV(and you have to prove you do), I'm considering using a UPS Store in Del Rio, TX. Del Rio happens to be the largest town in the U.S. that can't receive networks off air. And the only such place I know of that has a UPS Store. Have looked at other mailbox places online but can't find one in TX remote enough to not get networks. Since I plan to camp in some pretty remote areas I'd still like to have TV. Guess I'll look for a mail forwarder in SD that's remote enough.

 

[Kevin H]

vantexan - I'm a bit confused. &nbsp;We live full time in our motorhome. &nbsp;We are currently at Seminole Canyon State Park just 40 miles west of Del Rio. &nbsp;We chose SD as our residence two years ago and all is well.<br><br>While here, we recently got a Dish Tailgater for our TV. &nbsp;We registered everything in SD and all went fine. &nbsp;I don't understand your comments about the RV 'exemption'. &nbsp;What exactly do you want to do? Perhaps I can offer some advice; certainly and opinion!!<br><br>-- &nbsp;Kevin

 

[Ballenxj]

Well, It looks like SD could also be on my list of states for residency. Thanks for posting this information. <img src="/images/boards/smilies/smile.gif" class="emoticon bbc_img"> <br>-Bruce

 

[Westbound]

Hi folks -- I'm new to this site; I actually just found it while researching So.Dakota residency and I need some advise.&nbsp; Here's my situation/questions:&nbsp;<br><br> I live in a high tax east coast state.&nbsp; My parents passed away, I've no kids in school, and I'm dying to get out of here and will probably wind up in a Western state (Wyoming, Montana, maybe So.Dakota) within 2+ years. (I've got to clean up &amp; sell my parents' house, sell my house after that, etc.)&nbsp; <br><br>One more wrinkle:&nbsp; I haven't filed any tax returns in 3 years.&nbsp; Not an excuse but an explanation -- I was pretty consumed taking care of two sickly parents who died within 2 years of each other)&nbsp; I really didn't work much for most of that time but I've had a little earned income and&nbsp; investment income so I owe taxes.&nbsp; <br><br>So here's my questions.&nbsp; I'm going to file a return (probably an extension and a return) this year and get my past returns filed.&nbsp; I'll pay the IRS what it's due and try to negotiate the penalties. I have no desire to pay my greedy current state it's outrageous penalties. It's fleecing me enough on inheritance taxes.&nbsp; Can I establish So. Dakota residency then file this years taxes and prior years 'taxes as a So. Dakota resident?&nbsp; Honestly, I don't care if it's strictly proper I just want to know if it will fly.&nbsp; One last question?&nbsp; I own an SUV and two cars -- all 10-20 years old.&nbsp; Can I register and insure them in So.Dakota if I only drive one of the three out there?&nbsp; Thanks all for reading this.

 

[Zil]

Had same problems. The IRS took me to court. They will get you before the three years. Or for how ever long you did not file.<br>I didn't have inheritance problem as I was under the 2 mill limit. But&nbsp;because&nbsp;of no will I had to post a bond.<br>I&nbsp;recommend&nbsp;you get help and file the fed tax returns. I did it on my own and had to pay through the nose, all my retirement savings went to unkle $am.

 

[Westbound]

Thanks Zil, but I'm more concerned about the state than the IRS at this point.&nbsp; The IRS will get their piece of me in any state I live in.&nbsp; My question really is if I legally move to So Dakota next month, can I file the back taxes as a So. Dakota resident and not pay anything to the greedy prior state?&nbsp;

 

[psytechguy]

Moving away to a different state doesn't get you off the hook for prior years taxes owed.

Regardless of when you file, you are still taxed for the years you were officially a resident of that state.