Registration transfer

[mikey757]

I am thinking of trading my aircraft for a 1/3 partnership in one that is 3 times the value. In other words, the person that has the 1/3 ownership of the newer aircraft would take mine in an equal value trade.  Can anyone explain how this would be done legally, changing names on registrations, and without generating a tax event. Thanks to those with the Knowledge!

[Rwsavory]

You shouldn’t rely on a random person on the Internet for advice on such a transaction. Find an attorney with knowledge of your state tax laws to assist you.

[Yetti]

You are selling your plane to him.    Fill out the FAA form and a bill of sale. 

He is selling his shares in the organization that owns the other plane.   Follow the rules of the Organization that owns the plane.

 

[midlifeflyer]

The paperwork isn't that difficult, although the FAA returns many applications for user errors when they don't use an escrow service or other professional for the paperwork. But you should definitely consult with a tax specialist who knows the rules in your state for the other answer. For example, it might be a taxable event in some states and not in others.