Re: Indiana Use Tax

[Ron Natalie]

"dutch" > wrote in message news:QI92b.7809
> Beware. Any hope of getting out of this without a big dent in the wallet?
>

You are not considered based there if you are there for less than 60 days.
You can escape if the time hasn't ru nout.

[Craig Prouse]

dutch wrote:

> I guess I was just dumb. I live in Illinois but found what I thought was
> great hangar space in Indiana. Now the Indiana Revenue folks are after me
> like a herd of buffalo to pay a 6% use tax on the value of the a/c just
> because I moved it across the line.

Usually sales/use tax applies on a change of ownership. How long have you
owned this airplane before you moved it into Indiana? California is
notorious for its collection of use tax, but if you've owned a piece of
property for at least 3-6 months before it comes into the state, there is no
taxable transaction.

Indiana charges an excise tax in lieu of a personal property tax, and you
can't get out of that if the aircraft is based there, but they shouldn't be
charging you use tax for bringing your own property into the state. If you
were to move your household to Indiana, would they charge you use tax on
your car and all of your home appliances too?

A common provision is that any sales/use tax that you might have paid in
another state when you bought the airplane might be credited against what
Indiana is now demanding.

California has a specialized legal industry for assisting people in the
avoidance of taxes on the purchases of aircraft, boats, RVs, and other big
ticket toys. Depending on how much tax Indiana wants, you might do better
to avail yourself of the services of a competent tax attorney.

[Ron Natalie]

"Craig Prouse" > wrote in message ...
> dutch wrote:
>
> > I guess I was just dumb. I live in Illinois but found what I thought was
> > great hangar space in Indiana. Now the Indiana Revenue folks are after me
> > like a herd of buffalo to pay a 6% use tax on the value of the a/c just
> > because I moved it across the line.
>
> Usually sales/use tax applies on a change of ownership. How long have you
> owned this airplane before you moved it into Indiana? California is
> notorious for its collection of use tax, but if you've owned a piece of
> property for at least 3-6 months before it comes into the state, there is no
> taxable transaction.

There is no time limit, there is however a credit for any sales/use tax you
paid to another jurisdition.

[BTIZ]

a lot of states, counties and municipalities are doing this.. and in NV.. an
aircraft is "personal property".. and gets taxed at the same rate as house
or boat (depreciated value of course).. when gov't is desperate for funds..
they will go to all sources to find the owners..

BT

"John Smith" > wrote in message
...
> I got shafted in MD. I had owned my 172 for two years before my work
forced
> me to move there. They used the FAA aircraft database to find me and nail
me
> for $1,200.
>
> "Ron Natalie" > wrote in message
> m...
> >
> > "Craig Prouse" > wrote in message
> ...
> > > dutch wrote:
> > >
> > > > I guess I was just dumb. I live in Illinois but found what I
thought
> was
> > > > great hangar space in Indiana. Now the Indiana Revenue folks are
> after me
> > > > like a herd of buffalo to pay a 6% use tax on the value of the a/c
> just
> > > > because I moved it across the line.
> > >
> > > Usually sales/use tax applies on a change of ownership. How long have
> you
> > > owned this airplane before you moved it into Indiana? California is
> > > notorious for its collection of use tax, but if you've owned a piece
of
> > > property for at least 3-6 months before it comes into the state, there
> is no
> > > taxable transaction.
> >
> > There is no time limit, there is however a credit for any sales/use tax
> you
> > paid to another jurisdition.
> >
> >
>
>

[John Smith]

I got shafted in MD. I had owned my 172 for two years before my work forced
me to move there. They used the FAA aircraft database to find me and nail me
for $1,200.

"Ron Natalie" > wrote in message
m...
>
> "Craig Prouse" > wrote in message
...
> > dutch wrote:
> >
> > > I guess I was just dumb. I live in Illinois but found what I thought
was
> > > great hangar space in Indiana. Now the Indiana Revenue folks are
after me
> > > like a herd of buffalo to pay a 6% use tax on the value of the a/c
just
> > > because I moved it across the line.
> >
> > Usually sales/use tax applies on a change of ownership. How long have
you
> > owned this airplane before you moved it into Indiana? California is
> > notorious for its collection of use tax, but if you've owned a piece of
> > property for at least 3-6 months before it comes into the state, there
is no
> > taxable transaction.
>
> There is no time limit, there is however a credit for any sales/use tax
you
> paid to another jurisdition.
>
>