Arizona Tax Question

[pmanton]

I am in the process of moving to the Indian Hills Airpark at Salome. I am trying to find out how Arizona will compute the use or sales tax on an aircraft purchased from an individual in another state and imported into Arizona.

As I understand it I will be exempt from use tax on my present plane since I paid tax on it in my previous state and have owned it for a number of years.

However I have located a nice 1946 Ercoupe in California and wish to bring it into the state as a second plane.

I can't find anything on line.

Thanks

Paul
N1431A
KDSM
2AZ1

 

[gprellwitz]

You won't like this, but I think the safest (and maybe best?) advice is to consult a local tax attorney; preferably one familiar with aviation issues. Though I'm sure others here can pipe up. Michael used to be based in AZ, though I don't recall hearing much from him lately.

 

[Areeda]

You sure as heck don't want to pay CA sales tax. So it's probably worth it do do as Grant suggests.

Joe

 

[ScottM]

Some answers here http://www.dot.state.az.us/aviation/aircraft/registration.asp

 

[wabower]

Tell Fred Allen hi for me. I bought his Cessna 180 several years ago.

I am in the process of moving to the Indian Hills Airpark at Salome. I am trying to find out how Arizona will compute the use or sales tax on an aircraft purchased from an individual in another state and imported into Arizona.

As I understand it I will be exempt from use tax on my present plane since I paid tax on it in my previous state and have owned it for a number of years.

However I have located a nice 1946 Ercoupe in California and wish to bring it into the state as a second plane.

I can't find anything on line.

Thanks

Paul
N1431A
KDSM
2AZ1

 

[kkoran]

Some answers here http://www.dot.state.az.us/aviation/aircraft/registration.asp

Some answers...but not to the OP's question about Use Tax.

 

[ScottM]

Some answers...but not to the OP's question about Use Tax.

Actually there is. Look at the exemption application. if cannot met those requirements it is likely he will have to pay use tax as well as the registration. But he did not give us all the details about his case. So this is probably the best we can do, well that and tell him to talk tot he state aeronautics division. That is unless you have a more detailed answer for him?

 

[kkoran]

Actually there is. Look at the exemption application. if cannot met those requirements it is likely he will have to pay use tax as well as the registration. But he did not give us all the details about his case. So this is probably the best we can do, well that and tell him to talk tot he state aeronautics division. That is unless you have a more detailed answer for him?

The rules for registration and use tax are quite unrelated.

I would suggest looking at the Arizona statutes (Chpt 5, Art 4) concerning use taxes or this use tax brochure; however, I don't see a definitive answer in either one. I think his best course of action is to call the Dept. of Revenue at the number on the brochure and asking them.

 

[TangoWhiskey]

If you're an AOPA member, try the Member Services desk...

 

[ScottM]

The rules for registration and use tax are quite unrelated.

I never said there was a correlation between the two. I was indicating a pattern of thinking in the establishment of tax and registration

I would suggest looking at the Arizona statutes (Chpt 5, Art 4) concerning use taxes or this use tax brochure; however, I don't see a definitive answer in either one. I think his best course of action is to call the Dept. of Revenue at the number on the brochure and asking them.

Hmm didn'I say that earlier?

oh yeah, I did.

So this is probably the best we can do, well that and tell him to talk tot he state aeronautics division. That is unless you have a more detailed answer for him?

 

[TangoWhiskey]

I am trying to find out how Arizona will compute the use or sales tax on an aircraft purchased from an individual in another state and imported into Arizona. I can't find anything on line.

Paul, a call to the Arizona Dept of Revenue will get you an answer for sure, but I'd want it in writing to protect myself when they come knocking later with an extended hand.

In any case, look at this private ruling/determination in another aircraft use tax question by the AZ DOR (bold is mine)... since your aircraft was bought from a private party, not a retailer, I don't think you're subject to use tax in Arizona.

http://www.revenue.state.az.us/ResearchStats/privaterules/lr02-023.htm

xxxx is not liable for Arizona use tax on the permanent relocation of the Aircraft to Arizona for one of two reasons. First, yyyyyy was not a retailer with respect to the liquidation transfer, and use tax only applies to the use of property purchased from a retailer. Alternately, if yyyyy was a retailer with respect to the liquidation transfer, the transfer constitutes a casual sale, and use in Arizona of property received in a casual sale is exempt from use tax.

I know that appears to sound different than most stated (including CA) for use tax DOES apply to private-party transactions. That doesn't seem to be the case in AZ... but again, I'd get verification!!

 

[wabower]

If you're hoping for the best chance of obtaining the answer you want, ask a practitioner in the appropriate jurisdiction--in this case AZ. Asking a state nitwit for an interpretation that is favorable to you, or even somewhat accurate is like asking the fox for his opinion on chicken feed.

Or do like all the other cheap-ass owners and try to figure it out from a combination of advice given here and your own research.

I never said there was a correlation between the two. I was indicating a pattern of thinking in the establishment of tax and registration

Hmm didn'I say that earlier?

oh yeah, I did.