The Herald Bulletin

Morning Update

Local News

July 8, 2013

Aviation tax changes making Ind. skies friendlier

INDIANAPOLIS — A change in state law could make Indiana a friendlier stop for corporate pilots who’ve long avoided stopping for fuel here because of high taxes.

Indiana began exempting aviation fuel and maintenance and service work on planes from its 7 percent state sales tax effective today. It has substituted a flat 10 cents-per-gallon excise tax for fuel purchases.

Tom McCord, sales manager at Tom Wood Aviation, which operates Metropolitan Airport in Fishers, said the changes could save pilots hundreds of dollars and bring in business for the 68 airplane maintenance shops around the state.

“I think we are going to see an increase in aviation activity across the board,” he said.

The tax cut, approved by the General Assembly this spring after intense lobbying by the aviation industry, comes as general aviation businesses continue to struggle since the recession crimped the budgets of many companies using planes for business and people flying for pleasure.

McCord said the tax change “is going to give us a competitive advantage” in fuel sales while cutting the costs of fixing and maintaining planes and operating planes for flight schools.

Bart Giesler, executive director of Aviation Association of Indiana, agreed, noting that Indiana airplane maintenance and service shops had been competing for work with some neighboring states that eliminated their sales tax on airplane work years ago.

Indiana repair shops “knew they were at a 7 percent disadvantage before they even started,” Giesler said. “Now the playing field is leveled.”

Mark Kimberling, national director of state government affairs for the Aircraft Owners and Pilots Association, said Indiana’s changes could bring it an aviation boom similar to one Maine experienced after it granted its aviation businesses sales and use-tax relief in 2011. Eleven of 12 aviation service providers surveyed by the state said business increased, and six said they added employees and expanded facilities.

Tagline (right aligned):—The Associated Press

1
Text Only
Local News
  • NWS - HB0425 - Block Party - JC 2 Learning block by block More than 45 toddlers and parents came to the Pendleton Public Library on Thursday to play with blocks. Although that seems like a fairly normal, everyday activity, the children were learning skills that will help them down the road.

    April 24, 2014 2 Photos

  • Homeless man to be buried in Maplewood A funeral will be held at East Maplewood Cemetery at 9:30 a.m. today for Christopher Cook, a homeless man who died on April 17.

    April 25, 2014

  • Property tax deadline May 12 Almost 200 property owners have taken advantage of a new program implemented by the Madison County treasurer’s office that allows for monthly tax payments.

    April 24, 2014

  • City to celebrate Earth Day After a one-year hiatus, the celebration of Earth Day in Anderson will take place at Shadyside Memorial Park this Saturday.

    April 24, 2014

  • NWS - HB0425 - Primary Clerk-Tim Nardoni Clerk candidates discuss service, vote centers A seasoned politician is facing a candidate who says he is prepared to tackle the “egotistical officials pursuing lawless agendas” in this year’s race for Madison County clerk.

    April 25, 2014 2 Photos

  • South Madison offers 'cyber safety' program for parents From Facebook and Twitter to Instagram and Tmbler, the list of social media websites is long and seems to grow almost daily.

    April 25, 2014

  • NWS - HB0424 - Mike Spyers City plans to extend 67th Street to Main Street The city of Anderson is moving forward with plans to extend 67th Street from Dr. Martin Luther King Jr. Boulevard east to Main Street over the next few years as funds become available.

    April 24, 2014 2 Photos

  • SPT - HB0121 - Luck photo Luck, Colts to open season against Manning's Broncos

    The Indianapolis Colts will open the 2014 regular season at AFC champion Denver in a Sunday night showdown pitting quarterback Peyton Manning against his former team.

    April 24, 2014 1 Photo

  • Arrest Log: April 24 Arrests made by Madison County law enforcement on Tuesday and Wednesday, based on Madison County Jail records.

    April 24, 2014

  • Ritz, Glenda Ritz to speak at APA's Senior Girls Luncheon Indiana Superintendent of Public Instruction Glenda Ritz will be the guest speaker at Anderson Preparatory Academy's Senior Girls Luncheon on April 29.

    April 24, 2014 1 Photo

March Staff Photos


Buy and browse more photos from The Herald Bulletin

More Resources from The Herald Bulletin
Auto Industry Book
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide
Facebook