Buying a plane from America's hat?

Fiveslide

Fiveslide

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Fiveslide
Morning, folks,

This isn't likely to happen, but I've got an eye on a plane 2,400 miles from my home, in Canada.

I'm wondering how a plane purchase from Canada and importing it to the US would go down. What taxes would be due from me, how to get a new N number for it? Stuff like that. Where do I look?

It's a Cessna so, I imagine, importing shouldn't be a huge cost, not like it was built in a foreign country and never been in the states.

In the marine world, this is what you pay yacht brokers for, pushing the paperwork.

Thanks for any help, jokes, criticisms and such.
 
Found this helpful post from @Tom-D from a few years ago.



Tom-D said:
I do this, and am involved in importing one now.
Things to know
insure you are buying the aircraft from the registered owner in Canada. Get the bill of sale signed in ink by them.
place the note "Foreign seller" below that block.
Sent the application for registration along with the Bill of sale plus the required fee. To the FAA at the address given at FAA.GOV
Place the words " IMPORT PRIORITY " in Red ink on the lower left corner of the envelop
If you have a N number reserved add a letter authorizing the use of it in the envelop too.
It is best to have a Canadian Ferry Pilot deliver the aircraft to your mechanics shop. (I've never done it your way)
Your mechanic must complete an annual and place the new US N number on the aircraft. and insure all ADs are complied with.
any modifications must be on a STC or have field approvals by the local FSDO.
the nice part is that Canada requires Service bulletins to be complied with. so most ADs will be done.

Your Canadian seller is required to notify Transport Canada to de-register the aircraft in Canada the FAA will not process the application for registration until they get that notification from Transport Canada. The seller must send Transport Canada their registration, a signed bill of sale (make two) have them sign both. one goes to Canada the other goes to the FAA.


And remember when the aircraft was manufactured in the US there is no duty coming back.
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Tom-D said:
The CAA Must deregister the aircraft prior to the FAA registering it.
easiest steps are:
1 arrange for the aircraft to be flown to your home base (the facility that will do the maintenance)
2 send one copy of the bill of sale to the Canadian CAA and a request to deregister.
3 AFTER the A/C has been deregistered, send the bill of sale and a request to register to the FAA.
be certain to note on the request to register that this is an import.
If you have a N number note that also.
Click to expand...
Not CAA. Transport Canada. https://www.tc.gc.ca/en/services/aviation.html?utm_source=MR&utm_medium=textlink&utm_campaign=IP-EN
 
Tom-D said:
I'd bet everyone here understood.
Click to expand...

Yup, and everybody north of the border understands ya'll live in the U.S. of eh. ;)
 
Tom-D said:
I'd bet everyone here understood.
Click to expand...
But Google might not when the OP went looking for it. Typing in "CAA" brings up the Canadian Automobile Association.
 
What Tom wrote is fairly close. You don’t need an annual sign off but it certainly helps. The A&P just needs to perform a conformity inspection using the criteria for a 100 hour inspection and verify all ADs are complied with and all alterations are properly documented. Basically it will qualify as an annual if done by an IA so he can certainly sign it off as one but it isn’t required.

You will need to have it registered and the N# on it. Then you need to fill out Form 8130-6 and submit to the FSDO. Your FSDO will assign an airworthiness inspector to you.

The ASI will perform his own document review and inspection and if all is well will issue a new airworthiness certificate and make a log entry attesting to doing so.
 
How does the insurance work? Must it be written in Canada while registered there (for the ferry flight, then up to the point where the N number is applied)? Does the new owner's US insurance then take over?
 
catmandu said:
How does the insurance work? Must it be written in Canada while registered there (for the ferry flight, then up to the point where the N number is applied)? Does the new owner's US insurance then take over?
Click to expand...

You can do it either way. If the Canadian seller is willing you can have the plane flown into the USA on the seller's Canadian registration and insurance, and close the transaction once it lands at the buyer's destination airport. The pilot must have a Canadian licence to fly a 'C' registered airplane in Canadian airspace (the FAA reciprocates with N-registered airplanes in US airspace). Not all foreign sellers will agree to this process since the plane is leaving their country, but placing funds in escrow, etc. provides avenues for working around those issues.

The other alternative is to close the deal in Canada, de-register the plane with Transport Canada, and use a ferry permit to fly it home on the buyer's N-number and insurance. That's more common.

With the Canadian $ acting like a northern peso, there's a lot of planes coming south these days.
 
Last edited:
SkyDog58 said:
What Tom wrote is fairly close. You don’t need an annual sign off but it certainly helps. The A&P just needs to perform a conformity inspection using the criteria for a 100 hour inspection and verify all ADs are complied with and all alterations are properly documented. Basically it will qualify as an annual if done by an IA so he can certainly sign it off as one but it isn’t required.
.
Click to expand...
You must comply with 91.409 in some manor.
 
Tom-D said:
You must comply with 91.409 in some manor.
Click to expand...

You mean as in 91.409(a)(2)?

***
91.409 Inspections.
(a) Except as provided in paragraph (c) of this section, no person may operate an aircraft unless, within the preceding 12 calendar months, it has had—

(1) An annual inspection in accordance with part 43 of this chapter and has been approved for return to service by a person authorized by §43.7 of this chapter; or

(2) An inspection for the issuance of an airworthiness certificate in accordance with part 21 of this chapter.
***

That is what happens. It gets a conformity inspection and is then issued an AWC. It won’t need an annual until 12 months after the new airworthiness certificate is issued.
 
The one thing you never want to do is, trailer any aircraft thru Blane Wa. customs.
they will hold you in the lock down for over 6.5 hours.
While they figure out that there is no paper work needed.
The easiest method of bringing one down is to fly it down on the Canadian registration.
 
SkyDog58 said:
You mean as in 91.409(a)(2)?

***
91.409 Inspections.
(a) Except as provided in paragraph (c) of this section, no person may operate an aircraft unless, within the preceding 12 calendar months, it has had—

(1) An annual inspection in accordance with part 43 of this chapter and has been approved for return to service by a person authorized by §43.7 of this chapter; or

(2) An inspection for the issuance of an airworthiness certificate in accordance with part 21 of this chapter.
***

That is what happens. It gets a conformity inspection and is then issued an AWC. It won’t need an annual until 12 months after the new airworthiness certificate is issued.
Click to expand...

It can be done that way, annual is much easier.
 
Tom-D said:
The catch is,, the aircraft must be airworthy in Canada. Buying projects won't work this way.
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Yup, the ad, like most, says it's ready to fly. Seller better hope it is, cause would definitely stipulate that he fly it south. I don't want to pay for something and have to leave it in Canada until it gets it airworthiness papers. It doesn't look like a project, per se, it's basic and needs updating. If they're willing to negotiate, it could be a good value and be set up the way I want, in regards to the panel, later

Thanks to all for your help so far.
 
I thought we were Canada's shorts?
 
Tom-D said:
It can be done that way, annual is much easier.
Click to expand...

It is mostly done that way. An annual is worthless without an AWC. And the procedure for issuing an AWC is more involved than simply doing an annual.
 
How soon do you want to fly this new acquisition? I’m working on an import that we’ve been trying to get done for about two years now, and this isn’t my first rodeo.

Assume nothing is easy when going down this road.
 
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