Indiana DOR Updates Sales Tax Exemption Rules for Nonresident RV Purchasers

The Indiana Department of Revenue (DOR) issued a sales tax bulletin, providing updated guidance on sales tax exemptions for nonresident purchasers of recreational vehicles and cargo trailers. The bulletin replaces the April 2023 version and incorporates legislative changes from Senate Enrolled Act 243 that restrict exemptions for closely held businesses with Indiana resident members, effective July 1, 2023. Under the updated rules, nonresidents can purchase recreational vehicles and cargo trailers exempt from Indiana sales tax if their state of registration provides reciprocal treatment to Indiana residents, with 42 jurisdictions currently qualifying for reciprocity or having no sales tax. However, LLCs, ...