Buying a plane based in North Carolina

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robin ardoin

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I have a 210 under contract in the Charlotte area. It does not appear that N.C. is a flyaway state but that tax on the sale may be exempt as a casual sale. If it is taxed it looks like the cap may be $2,500. Does anyone have the scoop on this?
 
have them fly it to your state or a fly away state and do the deal there?

If I bought a car (or other mobile asset) from a private party in another state with the intentions of driving said vehicle back home...and the original state tried to charge me tax I would tell them to kiss off. Especially if my state also charged a sales, use, property tax.
 
ChemGuy said:
have them fly it to your state or a fly away state and do the deal there?

If I bought a car (or other mobile asset) from a private party in another state with the intentions of driving said vehicle back home...and the original state tried to charge me tax I would tell them to kiss off. Especially if my state also charged a sales, use, property tax.
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Would you tell them to kiss off by calling or writing to them or would you just ignore them?
 
Your understanding of NC tax is accurate.

I will point out that SC caps sales tax at $500 and is probably 10 minutes away.
 
bflynn said:
Your understanding of NC tax is accurate.

I will point out that SC caps sales tax at $500 and is probably 10 minutes away.
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Thanks. The owner lives in S.C. but the plane is based at KUZA (S.C.). I thought Rock Hill was in N.C. But it is in S.C.. I would be taking possession at KUZA so I would be fine with only $500 in sales tax going to the state of S.C..
 
So less than 10 minutes away.
 
lemme know if you need a ferry pilot for that 10 minute flight. I have no 210 time, don't really like high wings, never ferried a plane before, and I'm really not even a good pilot. but I'm happy to do it.
 
eman1200 said:
lemme know if you need a ferry pilot for that 10 minute flight. I have no 210 time, don't really like high wings, never ferried a plane before, and I'm really not even a good pilot. but I'm happy to do it.
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Sounds like an offer I can’t refuse! I do, however, want a plane that I can reuse. :biggrin::biggrin::biggrin:
 
NC is a casual sale state. If your seller is a casual seller you're fine, assuming you're a LA resident (also a casual sale state).
 
I got lucky when I bought my Ercoupe last May. The airplane and the broker were in Ohio, but he delivered it to my home airport in Delaware - where we completed the deal - paid in full during lunch at the airport restaurant. No sales tax in Delaware. WooHoo!
 
eman1200 said:
lemme know if you need a ferry pilot for that 10 minute flight. I have no 210 time, don't really like high wings, never ferried a plane before, and I'm really not even a good pilot. but I'm happy to do it.
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I can vouch for him that he is not really a good pilot.
 
Bring cash and the State never has to know a thing.
 
eman1200 said:
lemme know if you need a ferry pilot for that 10 minute flight. I have no 210 time, don't really like high wings, never ferried a plane before, and I'm really not even a good pilot. but I'm happy to do it.
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…and he’ll sign you off for any insurance required dual, too.
 
do it in South Carolina. SC has some pretty favorable transaction / tax for aviation/aircraft. Even a non-casual (broker sale). So I would heavily lean toward doing it in SC.
 
You need to be looking at casual sales exemptions, if you are buying from an individual, not an LLC. Depending on Louisiana law, you may not owe any sales tax.
 
N747JB said:
You need to be looking at casual sales exemptions, if you are buying from an individual, not an LLC. Depending on Louisiana law, you may not owe any sales tax.
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Not sure but from what I recall the casual sale exemption in Louisiana (as in most states) is not restricted to sales by human beings. It’s about whether the seller is in the business of selling that type of property, not whether the seller is a certain type of entity.

(I suspect @robin ardoin already knows this.)
 
midlifeflyer said:
Not sure but from what I recall the casual sale exemption in Louisiana (as in most states) is not restricted to sales by human beings. It’s about whether the seller is in the business of selling that type of property, not whether the seller is a certain type of entity.

(I suspect @robin ardoin already knows this.)
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I get it, I’m in Georgia and almost any purchase from a company is taxable. I bought a 414A from an individual in Texas, no sales tax. My current 414 was owned by a Georgia LLC, I bought the LLC as the sole member and then transferred the plane into my name, no tax. The exemption is a single member company transferring to the sole member.
It pays to investigate your state laws, there are ways to legally minimize your taxes.
 
N747JB said:
I get it, I’m in Georgia and almost any purchase from a company is taxable. I bought a 414A from an individual in Texas, no sales tax. My current 414 was owned by a Georgia LLC, I bought the LLC as the sole member and then transferred the plane into my name, no tax. The exemption is a single member company transferring to the sole member.
It pays to investigate your state laws, there are ways to legally minimize your taxes.
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Absolutely. You need to know yours. And you need a professional opinion.

But while I know the Georgia casual sale exemption is limited to when the otherwise “casual” seller does not utilize an aircraft broker business, I have not heard that it is limited to natural persons. Interesting.
 
midlifeflyer said:
Absolutely. You need to know yours. And you need a professional opinion.

But while I know the Georgia casual sale exemption is limited to when the otherwise “casual” seller does not utilize an aircraft broker business, I have not heard that it is limited to natural persons. Interesting.
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Georgia has had this rule dating back many years, before the current title tax for cars, casual sales for cars were exempt, unless it was from a company. If you bought a car from your neighbor, no tax, unless it was in his company name. ‍♂️ The state will get their money!
 
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