General aviation aircraft and installed equipment will be exempt from New York’s sales and use tax starting Sept. 1, under reforms passed Wednesday by the state legislature. The measure was approved in the wee hours as part of New York’s state budget and is expected to be signed by Gov. Andrew Cuomo. The tax exemption drew applause from GA organizations. “We’ve fought hard for this aviation sales-and-use tax exemption because it will help boost aviation, create jobs and spur the economy,” said Mark Baker, AOPA president. “On behalf of the more than 12,300 AOPA members in New York, I want to thank state lawmakers for recognizing the value of aviation in New York and taking decisive action to help it grow. We look forward to seeing this measure signed into law.”
The state had passed a sales tax exemption for aviation maintenance in 2004. Since then, advocates pushed to expand the exemptions for aircraft sales. According to AOPA, New York lost nearly 700 aircraft to other states since 2002. “With surrounding states already offering similar exemptions for general aviation aircraft, New York was not competitive and the legislature recognized how enactment of this exemption will bring jobs and new business to the state,” said Michael Giardino, president of the New York Aviation Management Association. “New York is now in a position to attract additional business aircraft to the state which are proven to generate high paying jobs.”
