I have been searching and researching my complicated issue/situation, but finally i need to post it up and try to get some feed back from you all. So help me out if you can. I've narrowed down my questions and will try to keep it short and simple:

- Currently live with parents in MD.
- Will buy a G37 within a week or so.
- Moving out on my own to VA in December... to a townhome that is being built right now.

From this the issue of taxes, fees, diff state laws all complicate the matter as I will be moving to VA soon. My goal.. is to somehow keep the car "in" MD.

That is, registered, titled, etc in MD. There are many negatives of havin the car in VA and my license be in VA.

Do you guys think I can keep my car on my parents address in MD even after i move? Can i keep my MD drivers license? Would it help if my dad was a co-buyer of my car?

I think that is all possible... but the issue of my drivers license troubles me. I want to be able to take advantage of the tax benefits of paying a home loan. Not sure how all this can work out.
If i have to change my license, i'll have to update my insurance.. which i guess would affect registration.

Any advice or help would reeally be appreciated guys. Right now, I'm

 

there is a simple way of doing that.

Keep your permanent address as your parents address... dont change the license ... u can buy the car in your name but have it registered in MD ... at your parents address... and have it insuranced at the MD address as well.

but I am still not entirely understanding your issues with taxes and what not with MD vs. VA. what negative impacts are you talking about?

 

^^ well what you said about keeping everything in MD would take care of the "negative impacts"

Longer story short... VA has an annual 3% property tax on ur car, MD does not. MD allows darker tint than VA. VA has new moving violation laws which impact VA residents, etc etc..

The question now is, with my drivers license being in MD and what not... to which state should I file income tax with?

I will really be living and working in VA, but with MD license.
Also, come tax time... i will want to take a big deduction as I write off the interest paid on my new home loan in VA.
Do you think Unlce Sam will care that my drivers license is in MD, but yet I am writting off interest on my house in VA?

 

I think for my income tax purposes and filing end of year taxes, i should start paying VA state income tax. Having a home loan obligation is a great tax write off at the end of the year. I want to avail that.

Thanks for the response so far, man! =)

 

The only thing you have to be careful of is that your insurance company can refuse to pay out on a claim if they figure out that you are a VA resident and not in MD.
For a while when I moved back to NJ from NC, I changed my address to a friends house in NC so I could keep my insurance there. I also had tint on my front windows, which was ilegal in NJ, but legal in NC.
The only downside is that if you get pulled over, you should say you are visiting, b/c most states require changing your licenses within 60 days of establishing residency.

 

oh, yeah and tax wise I believe you can file a dual resident. You can file a MD for the amount of time you were working in MD and then a VA for the amount of time you were lviing in VA

 

File all your state and income taxes etc. in VA and take advantage of the tax write off there... you can legally do that.

And because you have lived with your parents on MD... continue keeping that as your permanent address for license, insurance etc.
and eventually overtime (a yr or two) transition it all to VA.

When my wife was in college she kept her permanent address at her aunts house cause she would move every semester or so to a new location (she did have a car as well) ... however this example might not apply to you because her aunt was in the same state.... but the point i was making is that she kept one address as her permanent address for her car and insurance.

And because your whole issue is related 'Uncle Sam' give a quick call to your lawyer to re-confirm if this approach would be the right one... after all messing with the law will have a lot more negative impacts