Florida – Exemption for Labor and Equipment Used in the Repair and Maintenance of Aircraft

SALT Report 2601 – The Florida Department of Revenue issued an informational publication regarding the sales and use tax exemption for replacement engines, parts, equipment, and labor used in the maintenance or repair of rotary wing aircraft. The publication notes that the exemption was expanded to include aircraft over 2,000 pounds in maximum certified takeoff weight.

Previously, the exemption for labor charges only applied to rotary wing aircraft over 10,000 pounds in maximum certified takeoff weight. Likewise, the exemption for replacement engines, parts, and equipment was limited to rotary wing aircraft over 10,300 pounds in maximum certified takeoff weight.

All dealers who make these tax-exempt charges are required to record the FAA registration number and the maximum certified takeoff weight of the aircraft on the bill of sale, invoice, or other evidence that documents the sale.

The expanded exemption for rotary aircraft does not affect the exemptions for replacement engines, parts, equipment, and labor used in the maintenance or repair of fixed wing aircraft with a maximum certified takeoff weight of more than 2,000 pounds.

The expanded exemption was effective May 20, 2013.

For Further Information

Florida Department of Revenue – Tax Information Publication No. 13A01-07