TAXATION OF LIMITED FLIGHT HOUR AIRCRAFT (Section 137.115)

This act increases, from 50 to 200, the maximum amount of flight hours a noncommercial aircraft may be operated and still subject to a personal property tax rate of 5 percent of their true value in money rather than the standard rate.

These provisions are identical provisions in HCS/SB 782 (2020) and provisions in HCS/SB 686 (2020), and similar to HB 1284 (2020) and HB 1209 (2019).

QUALIFIED AIR FREIGHT FORWARDERS (Section 143.441)

This act adds "qualified air freight forwarders", as defined in the act, to the definition of "corporation" as a transportation corporation for the purposes of corporate income allocation.

These provisions are identical to HB 2213 (2020), identical to provisions in the truly agreed to and finally passed SS#3/SCS/HB 1963 (2020), provisions in HCS/SB 686 (2020), (2020), provisions in HCS/SCS/SB 867 (2020), provisions in HCS/SB 782 (2020), and provisions HCS/HB 2303 (2020), and substantially similar to SB 801 (2020), provisions in SB 659 (2020), provisions in SCS/SB 648 (2020), provisions in HB 2238 (2020), and provisions in SS/SCS/SBs 46 & 50 (2019).

TAXATION OF AVIATION JET FUEL (Section 144.805)

Current law provides a sales tax exemption for aviation jet fuel used by common carriers engaged in the interstate air transportation of passengers and cargo, with such exemption set to expire on December 31, 2023. This act extends such expiration date until December 31, 2033.

These provisions are identical to SB 1003 (2020), provisions in the truly agreed to and finally passed SS#3/SCS/HB 1963 (2020), provisions in HCS/SB 782 (2020), provisions in HCS/HB 2303 (2020), provisions in HCS/SB 686 (2020), and provisions in HCS/SCS/SB 867 (2020).

ABANDONED OR DERELICT AIRCRAFT (Sections 305.800, 305.802, 305.804, 305.806, 305.808, and 305.810)

This act specifies that if a derelict or abandoned aircraft is discovered on an airport's property, the airport superintendent shall make a record of the date it was discovered, and inquire with the Federal Aviation Administration or an aircraft title search company as to the owner and any lienholders. The superintendent shall, within 10 days of receiving this information, notify the owner and any interested parties by certified mail of the aircraft's location, what fees and charges have accrued, that the aircraft is subject to an enforceable lien, that the airport may dispose of the aircraft if the owner or interested party does not move the aircraft and pay any accrued costs within 30 days, and that the airport may remove the aircraft in less than 30 days if it poses a danger to health or safety. If the owner of the aircraft can not be determined, the superintendent may post the required notice on the aircraft as specified in the provisions. (Section 305.802)

If the owner or other interested party does not remove the aircraft within 30 days and pay all accrued costs, or shows reasonable cause for a failure to do so, the superintendent may retain, trade, sell at auction, or dispose of the aircraft as specified in the act. If the proceeds from sale of the aircraft is less than the fees and charges against it, the owner of the aircraft shall remain liable for the balance due. All expenses for the removal, storage, and sale of the aircraft shall be recoverable against the owner of the aircraft. (Section 305.804)

This act specifies a process for airport superintendents to file liens on derelict or abandoned aircraft (Section 305.806), and for release of the liens upon sale of the aircraft (Sections 305.808 and 305.810).

These provisions are identical to provisions in the truly agreed to and finally passed SS#3/SCS/HB 1963 (2020), provisions in HCS/SB 782 (2020), provisions in HCS/SB 686 (2020), and provisions in HCS/SCS/SB 867 (2020), and substantially similar to SB 1027 (2020), HB 1855 (2020), and HB 1905 (2018).

ERIC VANDER WEERD