Provides relative to the sales and use tax exemption for antique airplanes. (7/1/17) (EG SEE FISC NOTE GF RV See Note)
Impact
If enacted, SB 29 would not only retain the existing tax exemptions for personal property but also introduce stricter criteria for exempting antique airplanes from sales tax. This means that aircraft weighing less than six thousand pounds, not involved in commercial operations, could be exempt from taxes as long as they are utilized periodically for medical transport. This impacts both the revenue generated from these taxes and the incentives for private collectors to maintain such airplanes, potentially enhancing their operational use in humanitarian efforts.
Summary
Senate Bill 29, introduced by Senator Morrell, focuses on the sales and use tax exemptions specific to antique airplanes in Louisiana. The bill clarifies and expands upon existing exemptions for sales and use taxes and personal property taxes, stipulating that these exemptions apply to antique airplanes held by private collectors and used for non-commercial purposes. The qualifications for this tax exemption were revised to include a mandate that the aircraft assist with medical transportation, providing a unique angle to promote the use of these antique planes in a way that benefits public health and safety.
Sentiment
Overall, the sentiment surrounding SB 29 appears to be positive among proponents who see it as a way to encourage the preservation of antique aircraft while also promoting their functional use in medical emergencies. However, there may be concerns from critics regarding the implications of introducing new qualification restrictions that could limit the number of individuals eligible for tax exemptions. The bill has sparked discussions on the balance between collecting necessary tax revenue and offering incentives to preserve aviation history.
Contention
Despite the overall positive perception, notable points of contention arise regarding the additional requirements imposed on the use of antique aircraft. Critics might argue that tying tax exemptions to their utility for medical transport could dissuade hobbyists who collect these airplanes solely for their historical value rather than practical applications. Further, there could be debates about whether this exemption aligns with broader tax policy objectives or simply benefits a specific group of collectors at the potential expense of local tax revenues.
Provides relative to the sales and use tax exemption for antique airplanes held by private collectors and not used for commercial purposes. (Item #36)(gov sig) (EG INCREASE GF RV See Note)
Provides relative to sales and use tax exemption for rental or purchase of airplanes or airplane equipment and parts by Louisiana domiciled commuter airlines. (Item #36)(gov sig) (EG INCREASE GF RV See Note)