Michigan Drops Sales Taxes on Nonresident Service

Michigan Gov. Jennifer Granholm recently signed legislation that exempts the sales tax on aircraft parts installations performed in the state for customers who do not reside or base their aircraft in Michigan. The new law also provides a waiver from taxes associated with purchasing an aircraft in Michigan by buyers who do not live or keep their aircraft in the state. Executive v-p and general manager Bill Prochazka of Duncan Aviation in Battle Creek, Mich., welcomed the imminent Michigan tax law change. “We are very pleased to see Michigan take a proactive approach to leveling the playing field for aviation facilities throughout the state,” he said. “This bill will allow us and other aviation firms to compete on a truly global basis.”