New Equipment Sales Tax???

Discussion in 'Landstar' started by JLT, Oct 27, 2020.

  1. chasedog

    chasedog Light Load Member

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    177
    Mar 9, 2015
    0
    I leased my brand new truck through Lone Mountain. Paid it off early at about the 4 year mark. Lone Mountain told me i would be responsible for the entire sales tax on the full retail of $147,000, which was the price for a brand new Cascadia 4 years earlier. They were wrong. I'm a legal resident of Texas but i plated and titled my truck in Ohio. All i needed was an address and my Landstar BCO lease package. I got myself a mailbox at a UPS Store in Columbus and then took my LS lease to the DMV. She initially asked for my bill of sale. I asked why she wanted that. She said to calculate the sales tax. I said there is no sales tax on equipment used in interstate commerce. She said can you prove the truck is being used in interstate commerce. I said yes and handed her my Landstar contract. She photocopied all 50+ pages and gave it back to me with a bill for $22 which covered the plate. No sales tax. That was 2 years ago. I didn't need the plate, just the title in my name because the first 4 years it was titled under Lone Mountain in Minnesota. That's where they title their trucks out of. I never even put the plate on my truck because i ran under Landstar's plates. Make sure you figure out a cheap way to get your truck titled in your name or you will never be able to sell it. And LS will ask for the title once you are off your Lone Mountain lease. The two companies have some sort of arrangement together that LM must inform LS when a driver has paid off his lease. I was told that more than half of Lone Mountain's truck leases are with Landstar drivers.
     
    Last edited: Jul 4, 2021
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  3. oicu812

    oicu812 Medium Load Member

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    713
    Sep 24, 2010
    Wisconsin
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    I wonder if some people are confusing sales tax with excise tax?
     
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  4. Evilrock

    Evilrock Bobtail Member

    3
    2
    Mar 16, 2009
    Florida
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    I know this post is old, I am buying a used tractor and wanted to know what ended happening? I am also leased with Landstar but I live in Florida. Any information would be appreciated.
     
  5. Knightcrawler

    Knightcrawler Heavy Load Member

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    1,561
    Apr 10, 2017
    Mpls, Mn oops Ocala, Fl.
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    I bought a new 2020 Western Star 3 years back. I have landstar plates (but I live in Minnesota). My sales tax on a $160k truck was less than $5. Its based on how many miles by percentage your company drives in the state I was told by the folks there at the licensing bureau. Landstar has 10,000+ trucks and very few miles in Mn. I have no clue how many miles they drive in Fla, but I wouldnt think its too many considering the rates coming out of there.
     
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