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The Drivecast

The Drivecast

Inside the shady world of the Montana license plate loophole

Mar 18, 2026 · 40m

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Ah, Montana. Big Sky Country, the Last Best Place, and... Land of Tax Evasion? This week, we're diving into the controversy around the Montana license plate loophole. A quirk of Montana law allows non-residents to buy and register cars there without ever setting foot in the state, and it's been heavily used by wealthy people around the country to avoid paying their own state's sales taxes and registration fees on expensive cars—saving tens of thousands of dollars in the process. As a result, Montana has twice as many registered cars as actual people living in the state. And those other states are getting sick of losing millions of dollars in revenue to Montana. This month, California…