Use Tax on Vehicles Brought into California.
Many people have taken advantage of a long-existing rule that a vehicle purchased outside of California and kept outside the state for more than 90 days after purchase is not subject to California use tax when brought into California. That rule has now been changed.
Under the new rule, generally, there is a presumption that any vehicle, vessel or aircraft is purchased for use in California, and is therefore subject to California use tax, if (a) it is brought into California within twelve months of purchase and either the purchaser is a California resident, or the vehicle is required to be registered in California within the first twelve months, or (b) the vehicle is used or stored in California more than 50% of the time during the first twelve months. Although this is only a rebuttable presumption, it may be very difficult to overcome except in unusual circumstances.
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