Okay. I realize this is a potentially contentious topic, which is why I’m posting here instead of chat.
DMIL (79) has 11 acres (I think) of land in a very rural area of FL, which will be passed to DH and DSILs. We live in another state, about 4 hours away. I was asking DH tonight if he would talk to DMIL about allowing us to figure out some way to establish FL residency to take advantage of the perks it provides (no state income tax, FL resident rates for tickets / AP to DW, etc.)
MILs family has significant presence in this area on adjacent property…most live in mobile homes. My thought is to put mobile home on property and rent out, preferably to DH extended family member. Utilities would be in our name as a means of showing residency. On a scale of 1 - 10, how skeezie would this be?
If you have legitimate Florida residency, I don’t see that as a scam. Just an expensive workaround.
Lots of people have residency in multiple states, but of course the definition varies by purpose. In this case they only ask for utility bill or proof of address in your name, which should be sufficient. If you’re paying Florida state or local taxes, you are subsidizing Disney and it’s vacation Mecca in one way or another.
Jeff - thank you so much for the validation! Of course there would be a significant initial investment in getting a property established. But I think in the long run, maybe it would be worth it. Even if we ended up only renting it out as a hunting base during season, I think it could pay off.
We will have to look into dual residency further. DH and I owned a Since sold townhouse in FL as a second home / vacation home (pre-Disney obsession) several years ago so that may make it easier.
Depending on what other state is involved, you may still be required to pay income taxes, especially if you or DH are employed in that state. Do some research on the factors that state uses to determine residency. They can track credit card charges to determine what amount of time you spend in the state, where your primary doctor/dentist are located, where you vote, etc.
ETA: On the skeezie factor as it relates to Disney, after skimming through their website, I don’t see any language suggesting it needs to be your primary residence (just proof of a Florida residential address) so it seems they’ve left the door wide open for those that have a second home in Florida. Which you would, just choosing not to use it. I’m not sure unimproved property would qualify if the mobile home idea falls through (not sure they check that but it would probably make it a bit more skeezie).
Just be careful about putting utilities in your name that are for someone else as you would be responsible for the account if they didn’t pay. (Not sure I’d put myself in that position with extended family members!)
I’d suggest that “skeezie” shouldn’t be your primary concern. Rather, staying on the right side of the law in both Florida and what I’m assuming is your current home state of either Georgia or Alabama should be your first priority. Most states have specific requirements for establishing residency, and most compel you to take certain steps (like getting a driver license and registering your car) within in a specific amount of time after establishing a permanent presence. (This will impact your auto insurance as well.) And even though Florida doesn’t have an income tax, Georgia and Alabama certainly do (as you are no doubt aware), so you’ll want to make sure you don’t end up on the wrong side of the GA or AL department of revenue if your legal status still compels you to pay taxes there. You’ll also want to be mindful of where you intend to register to vote (if applicable), since that is also evidence of residency.
The worst thing Disney can say is, “Nice try, but we ain’t buyin’ it.” The various state authorities can cause you some real headaches, especially with regard to taxes, so that’s where I’d worry about crossing my t’s and dotting my i’s.
Also I would add that I’m not familiar with the terms of getting an AP so you should read the fine print and make sure your plans would allow you to meet the criteria. For example, I don’t know if they ask for a driver’s license as well. The only thing I’ve heard is that they ask for a piece of official mail, like a utility bill, in your name. Sounds like you would at least have that.
Hi @Belleficent! What an interesting topic! Have you looked to see how much a mobile home costs? Would you have to pay taxes on rental income? No income tax, but that only applies if you are working there? Is there property tax and will you have to pay that?
What other benefits are you looking for? Are they mainly focused on Disney? I ask because have you considered the cost benefit to this and a 100 point Disney DVC contract?
I know many states also require you to live in that state for a specific percentage of the year to take advantage of the tax benefits. IMO, it’s not worth taking risks when it comes to the IRS and state taxation. You’ll have to determine the specifics for your states of residency and make sure you stay on the right side of the law as @gnrldsppntmnt pointed out. My family owns property in MD and DE, but to declare DE residency and get the income tax advantages, you need to physically live there 183 days of the year.
If you’re only worried about qualifying for the FL resident AP, I see no skeeziness there!
I think it is certainly worth looking into to see if makes sense. We have a family home at the beach here. My grandparents built it over 30 years ago and my dad, my brother, my sister and I are on the deed. The way the rules are here, we are all able to reap the benefits of owning property in the town. If it’s within the bounds created by rules and regulation, I see no reason not to take advantage of it.
Another idea if the benefits of buying a mobile home don’t outweigh the costs. Put the/a Utility of one of the existing family there in your name. That would get the Florida Disney rates.
As long as you go through all of the appropriate steps to establish a legal FL residency, I have no issues. But is seems like an awful lot of work just to get FL resident benefits at WDW…
