Kevin Standlee (kevin_standlee) wrote,
Kevin Standlee

Tax-Free Stone

Oh, look, a non-Hugo/WSFS/Worldcon-related post.

We took possession of our small RV, the Rolling Stone, on April 3, 2014. We bought it from a California dealer and paid for them to tow it to Reno, where we took delivery and registered it in Nevada, where we live. However, one of the important reasons for having it is to give me a place to stay when I'm working in the Bay Area.

While preparing it for this week's trip to the Bay Area, we discovered that the gate valve on the holding tank was leaking. We bought a new valve from Big R and Lisa installed it over last weekend, saving us considerable labor charges. We tested the valve and found no more leaks, so we seem to be okay. At no time were we leaking on the ground because the outer drain cover was secure, but you really don't want the gate valves leaking; it makes dumping the holding tanks messier than it needs to be.

Under California regulations, if the RV is in California for more than 183 days during the first year of ownership (even if just stored somewhere, not occupied), it's subject to the California sales tax we avoided by taking delivery in Nevada. I have therefore been keeping careful track of how many days I've been in California with the Stone. I'm pleased (and relieved) to announce that as of April 3, 2015, I had spent only 100 days in California during the first year I owned the vehicle.

We are now free of the potential sales tax issue with the RV, and it's one less thing I have to track. I must, however, still keep track of how many days I am in California for any reason, business or personal, because I still earn income in California and am thus subject to California non-resident income tax. (Nevada has no personal income tax.) Indeed, because of differences between how California and the federal government tax healthcare savings accounts, I ended up owing $600 in California tax beyond my withholding. I mailed my return to Sacramento on Monday.
Tags: rolling stone, taxes

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