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So if you buy an aircraft in a state that imposes a sales tax--and the vast majority do--you will be subject to the tax unless you qualify for an exemption. If you take the aircraft to another state, you may be faced with a use tax.
In short, sales tax is a tax imposed when the sale occurs in the state. A use tax occurs when sales tax is not paid in the state or when the aircraft is imported into a state. As the states become hyper-aggressive with relentlessly pursuing the tax from new aircraft owners, purchasers must be cognizant of potential sales and use tax considerations.
1 lis 2019 · The very first step is to identify which state tax authorities (usually called a “Department of Revenue”) may have a claim to sales and/or use tax on the purchase of your airplane. Determine the following: What state is the seller in? What state is the buyer in? Where will aircraft delivery be taken?
Because aircraft are easily transportable, sales tax can be eliminated by transacting the transfer in a state such as Oregon or Massachusetts, which have no sales tax. Other states have little or no sales tax and use tax on aircraft purchases, including North and South Carolina.
Whether you use your plane for business or just for personal pleasure, there are state taxes that may apply to your plane in one or more forms. Forty-four states impose sales and use tax on planes. In addition, 42 states impose annual personal property tax and/or registration tax on planes.
Introduction. Sales tax is imposed in the state where physical delivery of the aircraft occurs. Use tax is imposed by the state(s) where the aircraft is “used and consumed” or stored (i.e. hangared) Sales tax can easily be avoided, but use tax is more difficult to avoid.
States typically impose sales and use tax for the sale, purchase, and use of aircraft. However, the amount of imposed sales and use taxes vary from state to state. Each state enforces specific tax laws that aircraft owners must adhere to.
