State Taxes in USA

[Jdege]

I can't speak to anything on this topic, but since I'm a Minnesota resident (and will very much want to get out from under Minnesota taxes when I leave), I went looking, and found this:

To Leave or Not to Leave: Determining Minnesota Residency for Tax Purposes - Lommen Abdo

I'm sure that there's some information, somewhere on the 'net, for whatever state it is that you're trying to leave.

For Minnesota, at least, it sounds as if you'd likely have problems if you're leaving property behind. If you have a summer cabin, vehicles you're keeping registered in the state, etc., you may well have problems claiming residence elsewhere.

[SouthernPride]

If the boat has a bedroom and head it is considered a residence therefore the mailbox/marina you use as your home base would be the state for taxes.

[Training Wheels]

Originally Posted by Hud3

Yes, you do need a Florida address, but you don't have to physically live there. You simply rent a Personal Mailbox (PMB) at St Brendan's Isle. I'd suggest you ask to talk with the manager there to confirm this, because I did this about 10 years ago. I don't think the state has changed it's requirements, based on the current information on the SBI website, but it wouldn't hurt to check.

This was our experience: SBI sent me the forms to apply for residency (the state uses the term "domicile"), we filled them out and sent them back, and they walked them over the the Clay County courthouse. A couple of weeks later, we received our Certificates of Domicile in the mail signed by the Clerk of the Court, and forwarded from SBI. We were living outside the US full-time, and owned no real estate nor any other property in Florida or any other state. SBI handled our voter registration, also.

We had to show up in person to apply for our driver licenses, which require an eye exam and a photo. It was simple; we filled out forms, provided our passports, social security cards, and copies of a financial statement and a credit card bill sent to us at SBI as proof of our address, and that was that.

Here are the requirements, which I just copied from the SBI website...

SBI told me the Feds (Homeland Security) changed the law a couple of years ago, that you can no longer use a mail forwarder as an address to establish residency. If you don't want to believe me, call them yourself.

[Jdege]

I'd not expect Homeland Security would care about where you're paying state income taxes, but ...

I've been googling around and I've found a number of states' drivers license bureaus indicating that the REAL ID act imposed higher standards on proof of residency when issuing state drivers licenses and IDs.

[SV Bacchus]

Dang, I struggled for 2 years to sell a parcel of land just north of Tarpon Springs. I finally sold it about 6 months ago..

If I had known all this before I sold I could have deeded out 20 or 30 (depending on how many of you needed "land") small parcels and each of you would have had your land and physical address!

Wonder if "they" would catch something like that?

[SV Bacchus]

Originally Posted by Jdege

I've found a number of states' drivers license bureaus indicating that the REAL ID act imposed higher standards on proof of residency when issuing state drivers licenses and IDs.

Just renewed in Florida and Yup, ya gotta bring 2 pieces of proof with you..

[Flyingriki]

Funny, some states you don't need anything to get a drivers license, food stamps, welfare, medical care....the restdof us need to pay for it with our real, accurate documentation. Love the way things are going........

[mr336]

I live in Florida. I've been discussing doing the RTW gig on a boat. I also have been chattin with people in the marine industry for Palm Beach and Broward counties. Their advice was to register your boat off shore. Their reason is that as an American, and traveling around the world I could potentially be looked at as a more likely target for the bad element.

This was really an eye opener. Prolly 10 out of 10 people in the thick of the industry telling me this. It's not always for tax reasons people go off shore.

[buzzstar]

Originally Posted by SV Bacchus

Dang, I struggled for 2 years to sell a parcel of land just north of Tarpon Springs. I finally sold it about 6 months ago..

If I had known all this before I sold I could have deeded out 20 or 30 (depending on how many of you needed "land") small parcels and each of you would have had your land and physical address!

Wonder if "they" would catch something like that?

Don't laugh. Many many years ago, I "owned" several square inches of land in Alaska. These were acquired before it was a state, and received as a "prize" in breakfast cereal boxes. I am sure I still had the certificates after Alaska became a state. They are now long gone (probably thrown out by my Mom with all those Mickey Mantle baseball card that were still pristine after being clothes pinned so they flapped in the spokes of my bicycle to sound like an engine), but why not do the same thing for cruisers? Go for it. Just do not forget to pay the property taxes.

[SV Bacchus]

Originally Posted by buzzstar

Many many years ago, I "owned" several square inches of land in Alaska.

I had, many years ago, heard of a similar scheme in Montana I believe. It was advertised in a hunting magazine. Someone was selling 1 sq yard of forest or pasture land to out-of-state hunters so they could buy a Montana hunting license as a resident.

The things we do to save a $.

[CaptTom]

Originally Posted by SV Bacchus

I had, many years ago, heard of a similar scheme in Montana I believe. It was advertised in a hunting magazine. Someone was selling 1 sq yard of forest or pasture land to out-of-state hunters so they could buy a Montana hunting license as a resident.

The things we do to save a $.

One guy managed to purchase a postage-stamp-size parcel of land on a popular offshore island, and used that to get a highly-coveted mooring based on riparian rights. (Landowners get first dibs on good moorings near their property.)

Unfortunately, that was a bit of a fluke, and nobody else on the island is selling tiny parcels.

[CaptsWife]

I just received this response from SBI in regards to a couple of questions I had. I suggested they update their website.

"The Federal Real ID act that was passed in 2005 is now taking affect as States are implementing this change. This act changes on how you can gain residency using Mail Forwarding Services throughout the state for Residency and Driver’s License purposes. This change will not allow you to get a Drivers License here or any other mail forwarding service in the state unless you register an RV or Boat at this address. This does not mean you cannot use us for mail and mail forwarding.

However, If you have a friend or a family member in the state of Florida the state will allow you to use their address by filling out an application for their particular address (we can provide this form to you). This in turn will still allow you to gain Florida residency and all your mail would still come to us."

[svlamorocha]

Originally Posted by Flyingriki

Funny, some states you don't need anything to get a drivers license, food stamps, welfare, medical care....the restdof us need to pay for it with our real, accurate documentation.

That is not the experience of my family and I (combination of US, UK and Argentine citizens that have lived legally in California, Colorado and Florida). Had to prove visa status and expiration of DL would match visa expiration, etc.

[Captain Bill]

Originally Posted by CaptsWife

I just received this response from SBI in regards to a couple of questions I had. I suggested they update their website.

"The Federal Real ID act that was passed in 2005 is now taking affect as States are implementing this change. This act changes on how you can gain residency using Mail Forwarding Services throughout the state for Residency and Driver’s License purposes. This change will not allow you to get a Drivers License here or any other mail forwarding service in the state unless you register an RV or Boat at this address. This does not mean you cannot use us for mail and mail forwarding.

However, If you have a friend or a family member in the state of Florida the state will allow you to use their address by filling out an application for their particular address (we can provide this form to you). This in turn will still allow you to gain Florida residency and all your mail would still come to us."

So register the boat at that address. It pretty much has to be registered somewhere even if it's federally documented. I think we are down to two states that don't require documented boats to have a state registration sticker and Fl is one of the cheapest. They don't have state income tax and there is no personal property tax on boats or cars. I use SBI and my boat and cars are registered at that address, thus no issues. The boat has never been to Green Cove Springs and you don't actually have to physically go there to register the boat or the cars.

[Flyingriki]

Finally found this chart that comes in handy:


State Boating Information Home - Government Affairs - BoatUS


How to avoid paying taxes on your boat...legally! - Answers in Boat Tax Law


and a note on Florida changes several years ago:
Florida Boat Tax - Major July 1, 2010 Change - Answers in Boat Tax Law