California Law Taxes Fractionally Owned Aircraft

Business Jet Traveler » February 2008
Friday, February 1, 2008 - 4:00am

The first stone of taxation has been dropped into the lake of fractional ownership and the ripples are likely to spread. Last August, Senate Bill (SB) 87 was signed into law in California, creating a system for assessing property tax on fractionally owned aircraft for the first time in the U.S.
California already assesses local property tax on aircraft based in the state and used in operations conducted under Parts 91, 121 and 135 of the Federal Aviation Regulations. However, until
now the state did not impose property tax on fractional aircraft.
The National Business Aviation Association believes SB 87 may lead other states to adopt similar legislation that could result in assessment of personal property tax on fractional interests. For more details, contact the Aerlex Law Group at (877) 237-5398 or www.aerlex.com; or the NBAA at
(202) 783-9000 or www.nbaa.org.

Share this...

Add your comment:

By submitting a comment, you are allowing AIN Publications to edit and use your comment in all media.

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
 

Quote/Unquote

“What we need to do is always lean into the future. When the world changes around you and when it changes against you—what used to be a tail wind is now a head wind—you have to lean into that and figure out what to do because complaining isn’t a strategy. ”

-Amazon CEO and Washington Post owner Jeff Bezos at a press conference for the third-generation Kindle Fire tablet.