Tax-free transfer among/between related parties/entities

[wabower]

On one of the forums we recently discussed transferring ownership of an airplane to/from an individual or entity to/from another wholly owned entity controlled by the same owner. I opined as how such a transfer could be accomplished without incurring state income taxes in most states, but that competent local advice should be obtained. I think Levy seconded the motion.

Well, guess what? Last week I would have been right about New York, and as of today I would be wrong. According to a memo received today from one of the mega law-firms, the budget bill just passed by the legislature imposes sales tax based on cost or current market value (depending on timing) for any such transfers, effective immediately.

Being a somewhat skeptical observer of the political scene, I somehow think that NY may not be the last state to change their law in this regard.

PM if you want the text of the new law--or lawr as they say in NY.

 

[AdamZ]

I think your right Wayne were gonnna see a lot more of this with States, and local gov't trying to raise $$.

 

[EdFred]

So, don't wholly transfer. Two step process. Michigan is still a tax free transfer state between immediate family. (parent/child/sibling/maybe even grandparent/child)

 

[wabower]

I didn't dig that deep, and don't really care about much of anything that goes on in New York. I did my time at 42nd & 3rd.

So, don't wholly transfer. Two step process. Michigan is still a tax free transfer state between immediate family. (parent/child/sibling/maybe even grandparent/child)