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Mine is on the tailgate as well, stainless screws and sealant on the screws before inserting.
 

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Only thing I can see about putting it on the tailgate is that around here (Alberta, Canada) they'll still haul you over at the very least, if not ticket you if they can't see the plate.

So with the gate up, you'd be fine, with it down and the bed extender deployed, you'd be ticketed.
 

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I put my on the Muffler guard. Since my Honda is street legal, I did want to put it on the tailgate in the event I wanted to ride with the tailgate down. I also have a bed extender, so I do intend to ride with the tailgate down. Also, it make it easier to add lights to the license plate, which was required for making it street legal.
 

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