Ready to buy....I think

[DAVIDWH]

Concerning the above statement that " Florida revenuers" will eventually force the 6% sales tax, I sincerely doubt it.  For example approx. 60% of fortune 500 companies are incorporated in Delaware, ie Google and so on.

 

Many have a presence in Florida, but their legal corporate shield protects them from paying state sales tax. Much the same with Amazon, with the exception of internet sales to New York.

 

So how does the state know you have just purchased an aircraft?  Well, pretty easy, they have a snitch that informs them through paperwork to their state income tax office. This info. is fed via the FAA upon registration of the aircraft.

 

When the owner is not you, but an "Ether Based Delaware Cloud Corp." the FAA will not send copies of your registration to Florida.  Even if they did it would be to no avail as legally you are not the owner of the Aircraft, but the Corp. is the legally registered owner.

 

This Delaware Corp has permitted me the use of three different aircraft with no state sales tax whatsoever in the state. There is a $50.00 annual filing fee due upon anniversary of the corp. and a small fee to the state of Delaware.

 

I never said anything to do with aircraft ownership is completely free.

 

Best and good luck.

[thomas1142]

Thanks all for the sound advice. Seems liek more homework is in store for me so I can have a "real' picture of what I'm getting into.

 

I am based in NW Florid(Niceville Destin area).

[kmyfm20s]

With the Delaware corp. you just have to be cafeful with non private tiedown and hangar leasing. The county will get tail numbers from the airport managers for property tax purposes which in turn pass it on to the state then the whole ball of wax falls apart.  This most likely varies from state to state. 

[ArtVandelay]

From May 23, 2007 to Jan 29, 2013 

 

Five annuals = $6100

Maintenance = $55,303 includes $46,000 for FREM engine

Upgrades = $20,513 includes Aspen 2000, GNS 430W and GMA 340 install

Gas/OIl = $20,088 for 500 hrs. all LOP

Hanger = $9,060

Insurance = $9,060

Misc. = $4,012 includes tie downs, software/data subs, memberships, Oxy hardware, medical, registrations, 

 

So my estimates for 5 yr expenses are:

Annuals $10000

Maint     $20000

Upgrade$20000

Hangar  $39000 (Yikes....how many paint jobs does that buy?)

Insurnc  $12000 (low time pilot)

Misc        $4000

for a total of $105K or $21000/year

which falls in the range someone else posted of 16-24K

IF I don't buy the plane today, wait 5 years, I could buy a $100K in 2019 with cash.

I now know why some don't keep track of the expenses.

[Marauder]

So my estimates for 5 yr expenses are:

Annuals $10000

Maint $20000

Upgrade$20000

Hangar $39000 (Yikes....how many paint jobs does that buy?)

Insurnc $12000 (low time pilot)

Misc $4000

for a total of $105K or $21000/year

which falls in the range someone else posted of 16-24K

IF I don't buy the plane today, wait 5 years, I could buy a $100K in 2019 with cash.

I now know why some don't keep track of the expenses.

Will someone burn this thread before our wives, husbands or significant other finds out about it? I have been trying to hide this aviation addiction for years.

[fantom]

We should BAN any questions about 'how much does it cost to own.....'  

[thomas1142]

Has anyone use, or have any info on, Pristine Airplanes Plan A Plan program to purchase their aircraft?

[fantom]

Has anyone use, or have any info on, Pristine Airplanes Plan A Plan program to purchase their aircraft?

Nice write up on them in this month's Aviation Consumer. Refurbish to your specs; good work and as you might imagine, expensive.

[flyboy0681]

In Florida, aircraft maintenance and parts are exempt from sales tax. 

[smccray]

Concerning the above statement that " Florida revenuers" will eventually force the 6% sales tax, I sincerely doubt it.  For example approx. 60% of fortune 500 companies are incorporated in Delaware, ie Google and so on.

 

Many have a presence in Florida, but their legal corporate shield protects them from paying state sales tax. Much the same with Amazon, with the exception of internet sales to New York.

 

So how does the state know you have just purchased an aircraft?  Well, pretty easy, they have a snitch that informs them through paperwork to their state income tax office. This info. is fed via the FAA upon registration of the aircraft.

 

When the owner is not you, but an "Ether Based Delaware Cloud Corp." the FAA will not send copies of your registration to Florida.  Even if they did it would be to no avail as legally you are not the owner of the Aircraft, but the Corp. is the legally registered owner.

 

This Delaware Corp has permitted me the use of three different aircraft with no state sales tax whatsoever in the state. There is a $50.00 annual filing fee due upon anniversary of the corp. and a small fee to the state of Delaware.

 

I never said anything to do with aircraft ownership is completely free.

 

Best and good luck.

 

David-

 

I'm not saying anything about your specific situation, but in general any statement that asserts that owning an aircraft in a Delaware corp will avoid sales tax is completely false.  You owe the sales tax, but the state of Florida hasn't figured it out.  Delaware corp ownership makes it a lot harder to get caught not paying the tax, but it doesn't change the fact that the tax is owed.  Your specific situation/structure may be different, but the assertions I've seen on message boards using Delaware corps to own planes to avoid sales taxes aren't a correct application of sales tax regulations as I understand them.

 

Contact your own tax advisor and get an opinion.