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Aircraft tax · United States

Georgia aircraft sales and use tax

Georgia charges 4 percent state sales or use tax on aircraft plus local tax. Flight schools that charge separately for flight time can treat it as a taxable aircraft rental, repair labor is not taxed, and aircraft are returned for county property tax each year.

Every answer below quotes the state's own source. Last checked October 18, 2026. Estimate the tax on your aircraft

Do you pay sales tax on an aircraft bought in Georgia?

Taxed. 4 percent state sales tax on the price, plus any local sales taxes, collected by the dealer.

Do you owe use tax on an aircraft bought outside Georgia?

Depends. Use tax of 4 percent of the cost applies on the first use or storage in Georgia of an aircraft bought outside the state. Like taxes paid to another state are credited.

What aircraft sales tax exemptions does Georgia have?

Not clearly published. Dealers buy aircraft for resale or rental tax-free, but no Department rule or ruling found describes an exemption for aircraft sold to nonresidents and flown out, or for aircraft bought by air carriers. Whether Georgia has a fly-away exemption is not confirmed.

Are aircraft rentals taxed in Georgia?

Taxed. Aircraft rentals are taxable, and the owner registers as a dealer and collects tax on the rental charge. A "charter" where the customer hires and pays the pilot is treated as a lease; one where the owner employs the pilot is presumed to be a transportation service, which Georgia does not tax.

  • A "charter" transaction where the aircraft operator is employed and paid by the customer of the aircraft owner will be considered a lease transaction, unless the terms of the agreement or the surrounding circumstances indicate a service transaction.

    Georgia Administrative Code, Rule 560-12-2-.04(1)(d) · checked October 18, 2026

  • For purposes of ascertaining tax liability, a "charter" transaction where the aircraft operator is employed and paid directly by the aircraft owner will be presumed to be a transportation service transaction unless the terms of the agreement or the surrounding circumstances indicate a lease.

    Georgia Administrative Code, Rule 560-12-2-.04(1)(d) · checked October 18, 2026

  • Those schools operating under paragraph (a) which go beyond the rendition of services and lease or rent aircraft to licensed pilots and all schools operating under paragraph (b) shall register as a dealer, collect and remit the tax on the gross lease or rental charge.

    Georgia Administrative Code, Rule 560-12-2-.97(1)(c) · checked October 18, 2026

Is flight instruction taxed in Georgia?

Depends. A school that bundles flight time into its instruction price is providing a service and pays tax on the aircraft when it buys them. A school that always charges flight time separately, for every aircraft and student, may treat that flight time as a taxable rental, collect tax on it, and then buy the aircraft and parts tax-free. The election is open to FAA-certificated schools and Part 61 schools with an established base.

  • Such persons are deemed to be consumers of all tangible personal property (including aircraft) purchased and used in providing such services and shall pay the tax thereon at the time of purchase.

    Georgia Administrative Code, Rule 560-12-2-.97(1)(a) · checked October 18, 2026

  • Considering the record keeping requirements imposed by various governmental and regulatory agencies, such persons may elect to treat all such aircraft flight time which is a part of the training program as a rental of aircraft to the student.

    Georgia Administrative Code, Rule 560-12-2-.97(1)(b) · checked October 18, 2026

  • Aircraft (as well as accessories, tires, and repair parts therefor) employed exclusively in these type operations may be purchased for resale, free of sales or use tax.

    Georgia Administrative Code, Rule 560-12-2-.97(1)(b) · checked October 18, 2026

  • This election will only be available to those schools which are either appropriately certificated by the FAA as pilot training schools, or operating under FAR Part 61 with an established base of operations.

    Georgia Administrative Code, Rule 560-12-2-.97(1)(b)1. · checked October 18, 2026

Are aircraft parts and maintenance labor taxed in Georgia?

Depends. Georgia does not tax services it has not listed, so repair labor is not taxed; the shop pays tax on materials it uses. Engines, parts and equipment installed while repairing in Georgia an aircraft not registered in Georgia are exempt.

Does Georgia register or tax aircraft every year?

Taxed. Aircraft are personal property for Georgia's county property tax. They are returned in the county of the owner's domicile, or where the aircraft is principally hangared or tied down if its home base is in another county.

  • Examples of personal property are tangible items such as aircraft; boats and motors; inventories of retail stock, finished manufactured or processed goods, goods in process, raw materials and supplies; furniture, personal fixtures, trade fixtures, machinery and equipment.

    Georgia Administrative Code, Rule 560-11-10-.08(1) · checked October 18, 2026

  • When the aircraft's primary home base is in a county other than where the owner is domiciled, the appraisal staff shall consider the tax situs of the aircraft to be where it is principally hangered or tied down and out of which its flights normally originate.

    Georgia Administrative Code, Rule 560-11-10-.08(3) · checked October 18, 2026

  • The return form PT-50A, entitled "Aircraft Personal Property Tax Return," may be used for the return of aircraft.

    Georgia Administrative Code, Rule 560-11-10-.08 · checked October 18, 2026

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