On Oct 4, 11:15*pm, "Matt Herron Jr." wrote:
On Oct 4, 9:06*pm, Darryl Ramm wrote:





On Oct 4, 4:16*pm, glidergeek wrote:

On Oct 4, 8:07*am, "Matt Herron Jr." wrote:

On Oct 3, 9:01*am, hretting wrote:

I' forgot, I would get a separate bill of sale for the glider and
trailer to avoid having to chase it down later. Constello insures them
separately.
R

Costello doesn't care about the price of either. *it is strictly what
we mutually agree to. *I don't think you are required to report a
price to the FAA either. *The DMV might care about the trailer price
though. *And I don't know about my auto insurance for liability. *They
might care about trailer price too.

Matt

The feds don't care what price you put on the bill of sale, but it
will be reported to the state of California (by the feds) and if you
do not pay Use Tax (aka sales tax) on it within I think it's 90 days
you will get a bill from the State Board of Equalization. The bill
will have your tax calculated based on the $ amount you have reported
on the bill of sale times the use tax rate for your county +penalty
+interest, unless you intend to keep it out of state.

When you go to DMV (to register) you will have to pay Use Tax on the
trailer based on how much you payed for it. If you're an honest tax
payer like me you might consider having your seller give you 2
separate receipts, 1 for the trailer and 1 for the glider both adding
up to the total price of the purchase to make you trip to DMV more
enjoyable.

Then next year be prepared to get a property tax bill from your county
tax man. It will be assessed at proposition 13 rates of 1% of the
value, you will get that every year. One way around that one is if
your glider or airplane is 35 years or older you can apply for an
exemption based on a historical exemption.

There is absolutely no use tax on a sailplane in California, aircraft
not capable of "powered navigation" are exempt -- so motorglider
owners (like me) pay sales tax. The state can try billing you whatever
they want - if you've paid an invalid use tax bill on a glider I thank
you for you donation to the state of California.

You will get assessed a property tax, pretty insignificant in the
overall picture. And where i keep my glider the county puts that fee
towards local airport maintenance so I feel good about paying it.

Darryl

Darryl is correct. *No use tax in California for gliders. *There is
also a use tax exemption for buying an aircraft from a family member
(even with a motor, I believe). *I have been told that the tax man
swings by the airport around January each year to count up the planes
to assess property taxes. *How does he determine the value to tax if
no price is reported to the FAA? *And if the aircraft is not at the
airport in January, I guess he misses it that year?

Matt- Hide quoted text -

- Show quoted text -

The state pukes read the fed aircraft registry every year and send out
a 'feeler' letter to any ship that isn't in their system. They know
nothing more than type aircraft, N number and your address. They will
ask for purchase price, condition, aivionics, etc. Tell them what your
conscience directs, rembering it is not a sin to lie to the tax man!

Years back I got this letter and told them the ship was in
Nevada...............3 months later I got a letter from Nevada, so I
told them the ship was in California. Didn't work, the Counties talk
to each other! Nevada (Washo Co) sent me a tax bill and had no
interest in discussing the amount.

Bottom line....most County assessors know very little about sailplanes
and believed my LS-6 was worth 15K. That ship is now the proud
possession of Matt's daddy!
Cheers,
JJ
JJ