I turn into a vampire lord, someone sees me transform, I get a 1000 gold bounty on me. I kill everyone, bounty isn't removed. What gives?

Next up. In a desolated house, I assault someone and kill them still get 1000 bounty, guards alerted and come in. How?
If I straight up kill someone and they are the only one in the house never a bounty should be made.

This destroys immersion.Not to mention when I wear a mask or something or a hood, how can they tell how I am? WTF?!

This game is very much like Oblivion, all the guards are psychic somehow, and how in the world do they know what item is exactly stolen?

The next Elder Scrolls better address these issues correctly.

1. Bounty is only created when the NPC alerts the nearest guard. The guard can then post a bounty if he returns to the guards tower.
2. There is not to be a stolen tag. It appears red when stealing, but the tag should be disappeared all together. I find it ridiculous for guards to confiscate things like a stolen apple, really? Out of all the many items how do they tell which apple is stolen?

on the other hand, they just collect a bounty when caught instead of hang you from a tree. I think it evens out somehow.

Or the good old, steal once we chop your left arm. Steal twice you loose your right arm. Imagine playing Skyrim without hands.

I agree that it's sort of flawed. It seems almost impossible to committ any crimes without getting bountied. I got a bounty for murdering Thalmor along a path in the middle of nowhere.

My first TES build ever was a Khajit theif in Morrowind and I seem to remember that being much more fun. Now it seems just a chore to steal anything.

yea, the "witness" system is flawed. Sometimes, i've killed everyone in the area, but my bounty still remains. I think the chickens count as witnesses. At least the guards are less psychic than in oblivion.

I honestly cant really remember having any psychic gaurd moments like the insane ones in oblivion. I do wish they got rid of the stolen loot system though ... how the heck can they know that the item is stolen? Hello mr shopkeeper I would like to sell you these 3 identical looking iron daggers - sorry bro that one is stolen I cant buy that.