Can I Avoid the DMV When I Buy a New Vehicle?
- LLCTLC
- May 31
- 4 min read
Updated: Jun 9
One of the most frustrating aspects of buying a new or new-to-you vehicle is the inevitable trip to the DMV to get it titled and registered. It isn’t just the tab you’ve got to pick up for it, either.
Can you avoid the DMV when you buy a new vehicle? If you own an LLC or Corporation in Montana, you can!
Yes—And Here's How It Is Done in Montana
DMVs often get a bad rap. While Montana isn’t much different, the real difference lies in the third-party system that LLC TLC brings you. When you opt for an out-of-state title and registration through Montana, we handle all the legwork. We understand that it is not practical for you to travel to Montana to handle all the paperwork, which is unfamiliar to you, so we take care of it on your behalf. So, there is a hands-off option for you: LLC TLC.
What Is a Montana LLC and How Does It Work?
What is a Montana LLC, and how does it work?
Well, it is a Limited Liability Company, which is not unique to Montana. However, it is unique because it allows non-residents to own vehicles legally through a Montana business. This type of business is an asset-holding LLC whose primary purpose is to hold assets in a secure financial vehicle. These are a different type of LLC than the operations-oriented varieties, which focus on the business entity.
As their name suggests, holding companies hold assets—one way a holding company can be utilized for tax benefits. Say you are registering a fleet of moving trucks that will be staged all across the country. It benefits you to title and register them in a state where sales taxes are minimized or eliminated.
Finally, privacy is another significant benefit of owning vehicles through an LLC, especially one located out of state. It is much harder for prying eyes to determine who owns a car if you register it through an LLC. Of course, you need to strike the right balance between anonymity and ambiguity in your holding company name. However, assuming you do this well, it will be a challenging task.
The Role of a Montana Registered Agent
One of the strict requirements of the Montana LLC registration process is that the LLC must be assigned a registered agent. The registered agent does a few different things, namely:
Handles all paperwork and registration with the state
Acts as the official representative for your LLC
Makes the entire process hands-off and stress-free
The actual purpose of the registered agent, as defined in Montana Business Code section 35-7-114, is to protect the business from the legal consequences of missing notifications, hearings, processes, or any other legal filings.
If your domicile is not in Montana, you are much more likely to miss these critical notices. The registered agent ensures you receive these legal documents and notices, but they do more than that.
They can help protect your privacy and the privacy of your investments and assets held in the Montana LLC. The registered agent is the legal face of your LLC in the State of Montana, handling all the critical communications and notices from the state.
They help protect your name from leaking, which is especially handy when you own vehicles through the LLC to help save on sales taxes. Some states might take offense to this and decide to pursue the rightful owner for compensation. The registered agent is where the buck might just stop. He or she handles the day-to-day communications for the designated LLC, which makes it more difficult for state governments to determine the vehicle's ownership. This also serves as a perfect segue into the next section.
Is It Legal to Register a Vehicle in Montana If I Live Elsewhere?
We’ll keep this brief, mainly because we'll discuss this topic in more detail later. Most people are satisfied with the condensed version, so here we go. Is registering in Montana under an LLC legal if you don’t live there?
Yes, but it depends on your state’s laws. Remember who owns the vehicle: the LLC does. It’s not you, so you do not own anything; the LLC owns it. It doesn’t matter if you also happen to own the LLC.
Overview of legal risks and how to mitigate them. Look, your state might not take kindly to this process. The only way to truly protect yourself is to explain what you do to your lawyer, coach them on the process, and be prepared to be sued.
When to Consult a Tax or Legal Professional: It All Depends! Is the legitimacy of your title or registration being brought under legal scrutiny? Then you should take action. If not, then you should not bring undue attention to yourself.
Final Thoughts: Avoid the DMV and Drive Smarter
Alright, now that you have some idea of the downsides of the conversation. Here are the ways it can help you out:
No sales tax or personal property tax.
Personal privacy options.
White glove service.
Here at LLC TLC, we are here to assist with your out-of-state registration process. Not only are we a mandatory part of the process, but our real-world experience is a significant asset for you. Whether you wish to form an LLC, INC., or corporation, we are here for you! Register your luxury vehicles in Montana and save.
