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Aircraft tax · United States

Texas aircraft sales and use tax

Texas charges state and local sales tax on aircraft, up to 8.25 percent combined. Aircraft bought or rented for FAA-approved flight instruction are exempt, other rentals are taxed, and separately stated repair labor is not.

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 Texas?

Taxed. State sales tax plus local tax of up to 2 percent, to a maximum combined 8.25 percent, usually at the rate where the seller does business.

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

Depends. Use tax applies to an aircraft bought elsewhere and used in Texas, with credit for sales tax paid to the out-of-state seller. It does not apply if the aircraft is predominantly used outside Texas, meaning more than half its departures, for at least one year.

  • is not subject to Texas sales and use tax if it is predominantly used outside of this state for at least one year.

    Texas Comptroller, Publication 94-168 · document dated Revised 01/2020 · checked October 18, 2026

  • more than 50 percent of its departures are made from locations outside Texas.

    Texas Comptroller, Publication 94-168 · document dated Revised 01/2020 · checked October 18, 2026

What aircraft sales tax exemptions does Texas have?

Depends. Fly-away: no tax if the aircraft is predominantly used outside Texas in its first year, documented on the Comptroller's fly-away form signed by buyer and seller. Aircraft bought for flight instruction are exempt, and so are aircraft bought by FAA-certificated carriers.

  • can be used in Texas within the first year, as long as it is predominantly used outside of Texas for that first year.

    Texas Comptroller, Publication 94-168 · document dated Revised 01/2020 · checked October 18, 2026

Are aircraft rentals taxed in Texas?

Taxed. Rentals and leases are taxable, except an aircraft rented for FAA-approved flight instruction.

Is flight instruction taxed in Texas?

Exempt. No tax on the sale, lease or rental of an aircraft bought for flight instruction. A student cannot buy an aircraft tax free, but can rent one by the hour tax free for FAA-approved instruction, including solo flights, with the Comptroller's exemption form. The school or instructor needs a sales tax permit.

Are aircraft parts and maintenance labor taxed in Texas?

Depends. Separately stated parts and materials are taxable; separately stated labor is not. On a lump-sum repair bill the shop pays tax on its materials and the customer pays none.

  • Sales tax is due on separately stated charges for materials and parts when you have your aircraft serviced.

    Texas Comptroller, Publication 94-168 · document dated Revised 01/2020 · checked October 18, 2026

Does Texas register or tax aircraft every year?

Not clearly published. The Comptroller's aircraft publication does not cover registration or property tax. Not clearly published there.

The state's published guidance does not clearly answer this.

AerScheduler can add sales tax, at the rates you set, to the invoices you raise for parts, labor and other charges, taxing only the lines your state taxes. How it works

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