General aviation-friendly budget would repeal notorious Maine use taxJune 13, 2011 at 8:49 am | Posted in Aviation Law Current Event | Leave a comment
by Sara M. Langston with the blog faculty
Flying into Maine could go from a costly tax gamble to an enticing proposition under a bipartisan budget up for vote in the state legislature.
The Maine Legislature’s Appropriations and Financial Affairs Committee agreed on a budget in the early hours of June 10 that would repeal a use tax that can slap out-of-state owners of new aircraft with bills for up to 5 percent of the aircraft’s value. The budget also would add a complete sales tax exemption on aircraft sales and parts for all aircraft owners. The agreement is a dramatic shift for Maine, which notoriously hit one out-of-state aircraft owner with a nearly $26,000 bill for visiting the state in his Cirrus SR22. [Full story]