Do I owe sales tax when I buy an aircraft?

Usually, but it depends on where the aircraft is purchased, where it is based, where it flies, and which exemptions each of those states offers. This is the most common and most expensive place first-time buyers get caught, and it is best planned before the purchase closes.

How is an aircraft depreciated for tax purposes?

An aircraft used in business can be depreciated, and the cost-recovery treatment depends on how it is used, how that use is documented, and how ownership is structured. The documentation matters as much as the structure, so both should be set up correctly from the start.

Can you help if my aviation taxes are audited?

Yes. Audit defense and tax dispute resolution are part of our aviation tax practice.

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Aviation Tax Services

Aviation tax rules are complicated, but you don't have to sort them out alone. We help aviation businesses and individuals work through the challenges that come with them.

In Brief

Brown Business Advisors advises aircraft owners and aviation businesses on acquisition and sales tax planning, depreciation and cost recovery, leasing and financing structures, state, local, and international compliance, and audit defense. The firm is a member of the National Business Aviation Association (NBAA).

Overview

Guidance Through Every Aviation Tax Question

From buying an aircraft to day-to-day operating costs, we make sure you stay on the right side of every aviation tax rule. We work closely with you to build a strategy that lowers your liabilities and keeps your finances efficient.

What's Included

Aircraft Acquisition and Sales Tax Planning

Depreciation and Cost Recovery

International Aviation Tax Compliance

State and Local Aviation Tax Compliance

Leasing and Financing Tax Structures

Audit Defense and Tax Dispute Resolution

In Short

Expert Guidance on Tax-Efficient Aircraft Ownership

Work with us and you'll get the specialized know-how to make smart decisions, lower your tax burden, and keep your aviation operations running smoothly. Ready to get your aviation taxes in order? Get in touch to learn more.

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Common Questions

Aviation Tax, Answered

Do I owe sales tax when I buy an aircraft?: Usually, but it depends on where the aircraft is purchased, where it is based, where it flies, and which exemptions each of those states offers. This is the most common and most expensive place first-time buyers get caught, and it is best planned before the purchase closes.
How is an aircraft depreciated for tax purposes?: An aircraft used in business can be depreciated, and the cost-recovery treatment depends on how it is used, how that use is documented, and how ownership is structured. The documentation matters as much as the structure, so both should be set up correctly from the start.
Can you help if my aviation taxes are audited?: Yes. Audit defense and tax dispute resolution are part of our aviation tax practice.

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Accounting & Bookkeeping Tax Services Valuations & Sales Strategic CFO Financial Audits Sell Your Business Business Valuation Exit Planning Business Broker M&A Advisory Prepare to Sell

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