The rich register Ferraris and Porsches in Montana to avoid taxes. California is cracking down

State Sen. Jerry McNerney, (D-Pleasanton) this year introduced a bill that aims to develop criteria to help label an LLC as a shell company involved in a potential tax evasion scheme. If the LLC lacks a specific business activity or purpose, fails to maintain a physical location outside California, fails to employ people, or fails to file federal tax returns in another state, it could be considered as evidence, according to the proposed law.

For the full report, click here.