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Mon, Apr 12, 2010

NBAA Issues 'Call To Action' Over Continuing FL Sales/Use Tax Hazards

Lakeland Bound Flyers May Want To Take Note

That "ol' debbil" (the tax man), is at it again... even after we thought we might see the last of him on this one particular issue. NBAA has issued a Call To Action expressing concern over the on-going pocketbook peril that might be incurred by pilots operating recently acquired aircraft in the so-called Sunshine State.

NBAA notes that, "The Florida House of Representatives recently passed House Bill 173 to remove the onerous use tax often applied to visiting out-of-state aircraft. Unfortunately, the accompanying Senate Bill that would provide similar tax relief has stalled. In order for this important tax reform measure to become law, Senate Bill 220 (SB 220) must move out of Committee and be passed by the entire Senate.

Under current Florida law, operators of aircraft landing in the state that were purchased within the six months prior to their visit can be forced to pay up to a 6% tax on the aircraft's sales price. This tax policy forces aircraft operators out of Florida and drives aviation related services such as maintenance, repair, and overhaul to other states.

With the legislative session coming to an end in a few days, NBAA Members are encouraged to contact members of the Florida Senate Finance & Tax Committee. Members should respectfully and politely urge the State Senators to make every effort to move SB 220 out of Committee and on to a vote in the full Senate.

While NBAA is actively engaged in advocating for this important legislation, it is critical for Members based in Florida to contact their elected officials and explain how Florida's current sales and use tax structure is having a negative impact on aviation business in the State. Aviation is an economic driver in Florida, contributing over $7.5 billion to the State's economy and accounting for 8.7 million jobs."

ANN E-I-C Note: ANN is gratified to see the NBAA maintain their expert vigilance on this issue (which is one of the reasons that NBAA is one of the few organizations that we have actually joined). Readers may recall our investigations and associated stories on this issue from years past, including the tales told by some unwary OUT-OF-STATE pilots who got fleeced for tens or thousands of dollars for the inexcusable crime of thinking that Florida might be a nice place to visit. Readers might also remember that the Sun 'n Fun Fly-In once called our reports and warnings on this issue false and even resorted to the bizarre tactic of distributing a press release that actually said so. In one case, EAA republished the press release for a short period of time, and upon being alerted to the errors within, thereafter retracted the release and apologized for its publication. ANN wonders whether we can expect a similar attack on NBAA after this recent Call To Action or whether they're simply going to have to sit quietly by and admit that our reports were correct all along... (yeah, we're not holding our breath).

FMI: www.nbaa.org, hhouckes@nbaa.org SnF President Attacks ANN FL Use Tax Reports, Labels Them 'Inaccurate'

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