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Aircraft tax · United States

Vermont aircraft sales and use tax

Vermont charges 6 percent sales or use tax on aircraft, except aircraft bought by air carriers for hire. Parts and equipment installed in any aircraft are exempt, and Vermont has no state aircraft registration fee that we could find.

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 Vermont?

Taxed. Six percent sales tax applies when an aircraft is sold and possession is taken in Vermont, including when it is bought out of state and possession is taken here. Towns that vote a 1% local option tax add it to transactions subject to Vermont sales tax.

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

Depends. Use tax at six percent is due on an aircraft bought out of state and brought into Vermont. Sales or use tax legally paid to another state is credited if that state gives Vermont the same treatment; if Vermont's rate is higher, the difference is owed.

  • Aircraft is purchased out of state and brought into Vermont. Use tax is due.

    Vermont Department of Taxes, Compliance Corner, Aircraft Sales and Purchases · document dated September 16, 2022 · checked October 18, 2026

  • the rate of six percent for the use within this State, except as otherwise exempted

    Vermont Statutes, 32 V.S.A. 9773 · checked October 18, 2026

  • property or services to the extent that a retail sales or use tax was legally due and paid thereon, without any right to a refund or credit thereof, to any other state or jurisdiction within any other state but only when it is shown that the other state or jurisdiction allows a corresponding exemption with respect to the sale or use of tangible personal property or services upon which such a sales tax or compensating use tax was paid to this State

    Vermont Statutes, 32 V.S.A. 9744(a)(3) · checked October 18, 2026

What aircraft sales tax exemptions does Vermont have?

Depends. Aircraft sold to a business that holds itself out to the public as engaged in air commerce, for use mainly carrying people or property for hire, are exempt. Parts, machinery and equipment installed in any aircraft are exempt. Drones get neither exemption.

Are aircraft rentals taxed in Vermont?

Not clearly published. Vermont's sales tax reaches rentals of tangible personal property generally, but the Department of Taxes publishes no guidance on aircraft rentals.

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

Is flight instruction taxed in Vermont?

Not clearly published. The Department of Taxes publishes no guidance on whether flight instruction, or the aircraft time inside a lesson, is taxed.

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

Are aircraft parts and maintenance labor taxed in Vermont?

Exempt. Parts, machinery and equipment to be installed in any aircraft, including personal aircraft, are exempt from sales and use tax. Drones are excluded.

  • Aircraft, but not drones, sold to a person that holds itself out to the general public as engaging in air commerce, for use primarily in the carriage of persons or property for compensation or hire; and parts, machinery, and equipment to be installed in any aircraft, other than drones.

    Vermont Statutes, 32 V.S.A. 9741(29) · checked October 18, 2026

  • Parts, machinery, and equipment purchased to be installed on all aircraft, including those for personal use, excluding drones, are not subject to Vermont's sales and use tax.

    Vermont Department of Taxes, Compliance Corner, Aircraft Sales and Purchases · document dated September 16, 2022 · checked October 18, 2026

Does Vermont register or tax aircraft every year?

Not clearly published. We found no Vermont aircraft registration or yearly state aircraft fee in the statutes on aeronautics or in Department of Taxes guidance, but no primary source states that none exists.

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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