by Steve Newcomer
Today, I met with the Walton County Tax assessor and found that all Walton County residents can and will be taxed on our aircraft; airworthy or not. Concerned? So was I. Here is the rest of the story. Per our Walton County tax agents, we kit builders should be paying taxes on our kits if the value is more then $7,500.00. The County would like this info to be self disclosed. The County people are basing this tax on the registration of the N numbers.
I see a loophole here. If you are not interested in self disclosing the fact of building in the back yard, do not register for an N number from the FAA. You can reserve an N number, just keep paying the $10.00 a year to the FAA (this sounds like a tax to me!).
What if you already have registered your N number or If you buy an aircraft that has an N number assigned? If you receive a notice from the tax office (this information is retrieved from the FAA registration) you can contact the tax office. Simply explain that you are rebuilding / restoring an aircraft and they may give you an exemption for a couple of years (not a guarantee).
So summing things up, do not throw the tax information cards away! there is a way around paying the full tax on an aircraft in pieces. Just go visit the good folks in the County tax office and plead your case. You may be surprised!
Disclaimer: This is my opinion and in no way should be used to try to avoid your tax responsibly.