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<< Lancair Builders' Mail List >>
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All,
I think that we are straying away from the original thread, "Sales Tax", but
here is my 2 cents worth.
I picked up my kit at the factory and drove it home, and even though I had
registered it with the FAA, I have never received a "Use Tax" (California
for sales tax on something purchased outside the state) bill as I had when I
purchased my Mooney out of state in 1986. I hope this doesn't cook my goose!
However, I have been through the "Personal Property Tax" wars concerning
homebuilt aircraft in California (El Dorado County). I had to register my
LIV-P as a condition of the financing contract, so I did. Low and behold the
following tax year I received the questionnaire (most of the questions are
NOT REQUIRED, used to boost the value, hence raising the tax amount) for my
kit as well as my Mooney. I went into the assessors office and since they
did not know the answer as to when a kit became an aircraft subject to this
tax, they made something up. I was not satisfied, so I called a fellow EAA
Chapter member who worked for the State of California in assessing property.
He pointed me to the California Code covering this tax on aircraft. I don't
have the word for word description, but it essentially said that a pile of
airplane parts became an aircraft upon it's first flight. So, no Personal
Property Tax is due until you make your first flight.
Bill George, N49BG
530-642-8063
Placerville, CA
www.gwfly-in.org
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LML website: http://www.olsusa.com/Users/Mkaye/maillist.html
LML Builders' Bookstore: http://www.buildersbooks.com/lancair
Please send your photos and drawings to marvkaye@olsusa.com.
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