Connect with us

Utah

California And Utah Are Finally Cracking Down On Their Rich Residents Who Register Supercars In Montana To Avoid Paying Taxes – Jalopnik

Published

on

California And Utah Are Finally Cracking Down On Their Rich Residents Who Register Supercars In Montana To Avoid Paying Taxes – Jalopnik


If you’re anything like us here at Jalopnik, then you’re tired of watching the ultra-wealthy exploiting loopholes to avoid paying their fair share of the taxes that you and I pay, whether it’s dodging income tax, or dodging sales tax on million-dollar supercar registrations. The U.S. Treasury estimates that the richest 1% of U.S. citizens underpay their taxes by $163 billion every year, and though the Montana car registration loophole might not equate to as much in skipped taxes, it’s yet another way that the rampant income inequality in our country is intensified. All that wealthy car owners have to do is spend around $1,000 to open an LLC in Montana, then use the LLC to purchase a car with no sales tax — and said car is not subject to vehicle inspections or emissions testing.

This tactic isn’t employed by one or two people; as of 2023, there were 2.3 million vehicles registered in the state of Montana, though there are only 879,000 licensed drivers in the state. That comes out to 2.68 vehicles per licensed Montanan, which is by far the highest vehicle-to-driver ratio in the United States, and more than double the national average according to Bloomberg. And it gets worse.

Advertisement

The numbers don’t add up

Looking at publicly available data from the Montana Motor Vehicle Division, Bloomberg Tax found that there were 10,757 registrations of vehicles made by Aston Martin, Bentley, Bugatti, Ferrari, Lamborghini, McLaren, Pagani, and Rolls Royce in 2024. When looking at Washington state’s 2024 registrations from the same automakers, a state that has seven times the population of Montana, just 2,479 were registered.

5,281 Ferraris were registered in Montana in 2024, compared to just 837 in Washington, a state that’s home to 10 Fortune 500 companies. Washington has 7.81 million residents, and Montana has just 1.13 million, yet we’re supposed to believe that Montana had over five times the number of Ferrari registrations? Okay, sure.

That’s not the only glaring statistic. Washington had 0 Bugatti registrations in 2024, while Montana had 131. Montana had 1,966 Lamborghini registrations in 2023 while Washington had 340. 920 Rolls-Royces were registered in Montana compared to 155 in Washington. According to Bloomberg, former Montana revenue director Dan Bucks said there are likely more than 600,000 vehicles registered in Montana but operated in other states.

Advertisement

California and Utah are finally fighting back

The state of California is home to more cars than any other state in The Union, and its DMV says 10,000 vehicles worth nearly $2 billion were sold by California dealers to Montana LLCs since 2022. As a native Angeleno, I often see million-dollar hypercars at shows and on the streets sporting Montana plates, so what’s the Golden State going to do about it? Apparently, the DMV is now using surveillance systems and plate readers along state roadways to search for vehicles with Montana plates and find registration violators and tax evaders.

Utah is taking even more drastic measures to put an end to this way that the rich are getting out of paying the same taxes as everyone else. Bloomberg reports,

“Utah Gov. Spencer Cox (R) signed a law on March 25 launching the most ambitious enforcement campaign in the country—a data-sharing arrangement to locate and assess tens of thousands of Utah tax evaders, with a particular focus on the owners of cars and boats registered in Montana. Supporters say the effort could yield up to $100 million in back taxes, penalties and registration fees.

This is really an abuse of our tax system,” said Utah tax commissioner John Valentine. “They pay nothing to support our state, just a small fee to Montana for the opportunity to evade taxes in Utah.”

Two wrongs don’t make a right

In Montana, several businesses have formed to aid the ultra wealthy with their tax evasion, including “tax jails” and consultants to help people through the necessary processes. Bloomberg cites a Florida business called Dirt Legal that publicly advertises that it has formed Montana LLCs for nearly 47,000 customers across every state. It appears these businesses have no shame about their immoral ways; Dirt Legal has customer testimonials on its site including one Bloomberg cited that reads,

“”Dirt Legal made registering my new 2024 Mercedes AMG GLE coupe seamless, saving me around $6k in taxes—an absolute no brainer!” read a February online posting from someone identified as Tyler F.”

If the tax evaders trying to take advantage of the Montana plate loophole happens to live in a state like California that requires vehicles to be delivered and kept out of state for a minimum of 12 months, that’s where “tax jails” come in handy. These tax jails are warehouses and storage facilities that store and care for these often exceedingly valuable vehicles in the state of Montana for the necessary amount of time to maintain legality when they’re eventually shipped to the state that their owners actually live.

Advertisement

In most states, this shady practice is not technically illegal

California has a law that says residents don’t owe sales tax on vehicles if they’re delivered to another state and kept there for at least 12 months before being brought into California. The California Department of Motor Vehicles is using its plate readers to find vehicles with Montana license plates and investigate whether the vehicle spent 12 months outside of California before it entered the state. If the DMV finds that the vehicle didn’t get delivered and spend the legally required 12 months outside of the state, the owner may be fined. Florida has a similar law that requires vehicles spend 6 months outside of the state, and Arizona has a similar 90-day rule. Since implementing the surveillance tactics, California DMV investigators say they have collected $1.6 million in taxes, registration fees, and penalties on 62 vehicles. As far as Utah goes, Bloomberg reports,

“Cox signed SB 52 last month, and the state launched plans for a comprehensive enforcement initiative that will cross-check data from the Tax Commission and the state’s Uninsured Motorist Identification Database to create a list of names and home addresses of potential tax scofflaws.

After a public awareness campaign this year, violators will have 60 days to remit unpaid sales taxes and registration fees for vehicles and vessels plated outside of Utah. Failure to voluntarily comply could mean enhanced enforcement and penalties.”

Here’s the problem

We live in a society that values money over everything else, and despite having more money than the other 99% of society, the wealthiest 1% can leverage their absurd wealth by paying someone to make sure that every move they make is as lucrative as possible. Capitalism dictates that those who “earn” their way into obscene wealth through “hard work,” and definitely not through nepotism, exploitation, or generational wealth, shouldn’t have to waste their “hard earned” money on the rest of the country that doesn’t make as much money as them.

The taxes that these folks are evading exist to fund public works projects like roadway management, upkeep, and projects to minimize the environmental impact of cars. These people then drive their cars on the very roads whose upkeep they opted out of funding, despite having such vast surpluses of money that they can afford to drop a couple million dollars on a Bugatti, pay to form an LLC in Montana, pay to have it stored for a year, then pay to have it shipped to their home in Malibu so they can pay to insure it, maintain it, and fuel it. All while citizens with average incomes who struggle to make ends meet end up paying their state taxes every year. Sure there are ways to do this that don’t technically break any laws, but they are immoral, unjust, and slimy. It actively makes life worse for everyone else in their state who breathes air, drives or ever uses roads, because multimillionaire John P. Moneybags decided that it’s more important for him to save a few grand on his million-dollar Ferrari than it is to pay his fair share to maintain the roads he drives said Ferrari on.

Let us know in the comments below, are you as enraged by this as me? Or do you, like the noble Jordan Belfort, choose rich every freaking time and think it’s a smart way to save money?

Advertisement



Source link

Utah

‘They’re trying to change the rules’: Republicans ramp up fight to stop new maps in Utah

Published

on

‘They’re trying to change the rules’: Republicans ramp up fight to stop new maps in Utah


Utah’s Republican-controlled legislature is escalating its fight against the state’s anti-gerrymandering law after a series of court rulings threatened the congressional map that has long favored the GOP.

In the latest move, lawmakers passed a new rule over the weekend that blocks many voters from withdrawing their signatures from a petition that sought to repeal Proposition 4 ahead of a Monday deadline, undermining efforts by grassroots groups to preserve the reform. That could affect the result of the petition after some voters said they were misled by Republicans who asked them to sign.

The move comes as redistricting battles intensify across the US ahead of the midterm elections. Courts in several states are weighing lawsuits over congressional maps, while Donald Trump has urged Republican governors to redraw districts in ways that could strengthen GOP control of House seats.

On 25 August 2025, third district judge Dianna Gibson ruled that Utah lawmakers had unconstitutionally overridden Proposition 4, the 2018 voter-approved initiative that created an independent redistricting commission, set neutral mapping criteria and required greater transparency in the process.

Advertisement

Gibson sided with the League of Women Voters of Utah and Mormon Women for Ethical Government, striking down the state’s 2021 congressional maps and reinstating Proposition 4 as a binding law, which allows independent bodies to redraw the districts. The ruling aligned with public opinion as well, according to the conservative Sutherland Policy Institute, which found that 85% of registered Utah voters support involving an independent commission in redistricting.

Gerrymandering’s impact has been most severe in Salt Lake county, Utah’s youngest and most populous county, which heavily leans Democratic. The 2021 Republican-drawn maps split the county across all four districts, diluting urban Democratic votes and entrenching GOP dominance.

“Salt Lake county was chopped into pieces,” said Katharine Biele, president of the League of Women Voters of Utah. “This new map reunifies the county, so people there have a fair chance to be heard.” By consolidating the county into a single district, the revised map restored genuine electoral competition; it could also give Democrats a fair chance to win one of Utah’s four congressional seats in the midterm elections.

But the sense of optimism many in Salt Lake City felt in August has steadily faded as Republicans have passed layers of legislation aimed at weakening or repealing Proposition 4. After the district court ruling last year, Utah’s Republican leadership quickly rejected the decision. Some lawmakers even threatened to impeach Judge Gibson.

As it became clear that Proposition 4 could deliver an additional seat to Democrats, the fight drew national attention. Trump and JD Vance both weighed in, framing the dispute as part of a broader struggle over election rules, with Trump immediately taking to social media, calling the proposition “unconstitutional” and the judges part of the “Radical Left”.

Advertisement

“What’s really frustrating is seeing that instead of listening to the people, and to the courts who are trying to keep them in line, they’re just trying to change the rules,” said Elizabeth Rasmussen, executive director of Better Boundaries, an advocacy group that had been running an awareness effort urging petition signers to withdraw their signatures before the Republican’s latest legislation.

In late January, Utah Republicans passed legislation adding two seats to the state’s supreme court. The state’s governor, Spencer Cox, quickly signed the bill into law, expanding the court from five to seven justices. Critics argue the move amounts to court expansion aimed at blunting the impact of rulings related to Proposition 4.

“Disagreement with judicial decisions is normal,” Rasmussen said, referencing criticism from the Trump administration and frustration expressed by the governor. “But impeaching a judge because you lost is not. Trying to rewrite the rules after the fact is not. Court-packing is not how this system works.”

(The Guardian reached out to the Utah governor’s office for comment multiple times but had not received a response at the time of publication.)

In early February, with the deadline to file for re-election just over a month away, two Utah Republican members of Congress, representatives Celeste Maloy and Burgess Owens, filed a federal lawsuit challenging the state court’s order to reinstate the district court-approved map. They argued that the ruling violated the US constitution and asked the US district court for Utah to restore the map passed by the Republican-controlled legislature in 2021.

Advertisement

Later that month, a three-judge federal panel rejected the GOP-led effort to block the new House map. The judges denied Republicans’ request for a preliminary injunction, allowing the revised map to be used in this year’s election and giving Democratic candidates a potential opportunity to win a US House seat. (The Guardian reached out to the Utah GOP for comment in December but had not received a response as of publication.)

Biele, of the League of Women Voters of Utah, sharply criticized Republican lawmakers, calling the move an abuse of power. “Every time they lose, or get a ruling they don’t agree with, they change the rules so it works for them,” she said.

But in a final push to overturn Proposition 4, Utah Republicans announced last Monday that they had submitted enough verified signatures to qualify a repeal measure for the November ballot, with a deadline to verify on 9 March. Once verified, county clerks were expected to publish the names of signers, triggering a 45-day window during which voters could withdraw their signatures – a process later threatened by the weekend legislation to make it harder to do so.

Rasmussen, executive director of Better Boundaries, said the bill was pushed through with little public scrutiny. “This bill was obviously planned to pass as the clock ran out with very little public input,” she said. “It was introduced at 11pm on a Friday, the last night of the legislative session, and was signed into law only 12 hours later.” She added that the move reflects a broader problem.

“This type of legislative behavior is what happens when there aren’t any checks on power.”

Advertisement



Source link

Continue Reading

Utah

Utah Extends Point Streak to Four Games in Overtime Loss in Chicago | Utah Mammoth

Published

on

Utah Extends Point Streak to Four Games in Overtime Loss in Chicago | Utah Mammoth


The Mammoth had strong pushes in the game, especially over the last five minutes of the third period; however, the team struggled to sustain that effort through a full 60 minutes. Following the game, Guenther and Tourigny reflected on what Utah needs to improve to find a higher level of their team game.

“We had a good start, but I think we could not sustain the pressure,” Tourigny said postgame. “The most important thing was our simplicity. I think we complicated too many things offensively that allowed them to cut plays and counterattack and that’s what I didn’t really like. I think we needed to establish our simplicity and that’s the way we scored our first goal, but we did not sustain that. A little bit disappointed. I think we finished the third period strong with a good forecheck. That’s the way we should have played for 60 (minutes).”

“Not our best game I don’t think,” Guenther said postgame. “Just feed into their hands for whatever reason. They’re really good transitionally and just a little bit stubborn. Not enough shots but got a point. Still important to get points. Put us in a good spot heading into the last game (of the road trip).”

A positive takeaway from tonight is Guenther hitting the 30-goal benchmark for the first time in his career. Guenther is one of 21 players to hit 30 goals in the NHL this season and the forward is on a four-game point streak (3G, 3A) on the road trip.

Advertisement

“Really good backcheck from (Schmaltz),” Guenther recalled on his first period goal. “Kind of a 2-on-1 with me and (Keller). Usually, we try to get it up, but I feel like the goalie was there, so I just tried to slide it through, and I got lucky and it went in. So nice play by those two guys.”

Not only does Guenther have three goals in the last four games, he has five goals since the Olympic break (7GP). He reflected on the confidence he has with his game and his development. 

“It’s nice,” Guenther shared. “That’s kind of what’s got me into the league is being able to score. I think that I’ve rounded out my game and become a more complete player, but that’s still what I’m good at. It’s nice to contribute that way, and there’s still a lot of games to go.”

“For me what I like about (Guenther) this year is he has more ways to (score),” Tourigny explained. “It’s not just his shot; he has more than that. He’s been playing good lately since the start of the trip, I like his game.”

It’s a quick turnaround for Utah as the Mammoth play the Minnesota Wild tomorrow night. However, tomorrow is an opportunity to adjust and make improvements from tonight’s game. The Mammoth have won the first two games in their season series with the Wild, and Utah expects a strong effort from Minnesota.

Advertisement

“We’ve played them well too and I feel like they haven’t played their best against us,” Guenther shared. “So, they’re going to come with a good push. We’re on a back-to-back so I think just how smart we are and how we handle the first five, 10 minutes will be important.”

Additional Notes from Tonight (per Mammoth PR)

  • Defensemen Nick DeSimone and Ian Cole each had assists on Hayton’s goal in the first. Both blueliners have assists in two-straight games.
  • Keller has extended his point streak to four games (1G, 5A). He has now registered 14 points in nine contests since the start of February (3G, 11A).
  • Guenther has now scored in three of four games on this road trip, with six points in those contests (3G, 3A). Guenther and Keller are tied for most goals by any Utah skater in a single season (30).

Upcoming Schedule



Source link

Advertisement
Continue Reading

Utah

Widow of protester killed files lawsuit against organizers of Utah ‘No Kings’ rally

Published

on

Widow of protester killed files lawsuit against organizers of Utah ‘No Kings’ rally


The widow of Afa Ah Loo, the man killed during a No Kings Rally in Salt Lake City, filed a lawsuit against protest organizers and the man accused of firing the fatal shot.

Laura Ah Loo filed the lawsuit Monday, claiming the armed “peacekeeper” and the protest organizers’ negligence caused the death of her husband.

The protest was part of the No Kings Rally, which was held in every state nationwide on June 14, 2025. The National 50501 organization led the movement, with local groups organizing protests in their respective states.

In Salt Lake City, an estimated 10,000 people showed up to protest.

Advertisement

During the event, Matthew Alder, a member of the security team, allegedly fired into the crowd after spotting a protester carrying a rifle. Prosecutors said he shot three times, striking the armed protester and killing a bystander.

The widow of the man killed is now suing Alder for negligence, with the lawsuit saying it “should have been obvious that any errant shot fired would pose a lethal danger to bystanders.”

MORE | ‘No Kings’ Protest Shooting:

The lawsuit claims that there was no imminent threat, but even if he believed there to be one, Alder could have moved several feet to the west and shot against a wall and not into the crowd.

“Defendant Alder, with little to no known training in crowd control or de-escalation, failed to clear an area behind Gamboa and instead simply started to fire his gun,” the lawsuit reads.

Laura Ah Loo is also suing organizers, claiming they didn’t properly train or vet all the members of the security team, nor did they inform law enforcement and the public of the armed peacekeepers.

Advertisement

“Defendants’ breaches of these duties resulted in a perfect storm of negligence that caused the only known fatality among a march of millions of Americans,” the lawsuit reads.

She is seeking damages for pain and suffering, lost wages and economic support, and funeral costs.

Comment with Bubbles

JOIN THE CONVERSATION (3)

___

Advertisement



Source link

Continue Reading

Trending