If you’re planning to buy a recreational vehicle, you may be wondering how to avoid sales tax. The good news is that there are several options available. Among them are registering the RV under a legitimate LLC, a business structure that is similar to a Delaware corporation. Creating an LLC requires extensive records and careful management to avoid giving courts a reason to think that the LLC is a scam. With these options, you can purchase an RV without paying sales tax in many states like Arizona.
Sales taxes on RVs vary from state to state. The good news is that RV sales tax is generally not included in the sticker price. While this is good news for RV buyers, it also means a lot of additional fees for you. Some states charge sales taxes on trade-in values, which are different from the original purchase price. Depending on where you live, your tax liability will vary, ranging anywhere from six to eight and a half percent.
You can also use online sites that track RV sale prices. Many websites let you filter by make, model, and state. Prices for the same RV can vary considerably depending on the model, mileage, and year. However, it’s best to stay away from high sales tax states like California and buy from an RV Dealer like Pedata RV Center in Arizona instead. You may find a better deal in a larger city. However, you should always be firm when negotiating the price.