Story ID: 
Proposed Massachusetts Bill Would Repeal Tax Exemption
By: Gordon Gilbert
Caption: Business aviation leaders appear before state Senate hearing in Boston to fight measure.
Word Count: 178
Business and general aviation interests last week urged Massachusetts state senators to shelve a bill (Senate Bill 1453) to repeal the state’s decade-old tax exemption on the sale of aircraft, maintenance and parts. Although repeal action has been contained in tax reform bills for years, it has been struck down before reaching revenue hearings.

Speaking during a state Senate hearing in Boston were representatives from the Massachusetts Business Aviation Association, Massachusetts Airport Management Association, NBAA and fractional operator PlaneSense. The speakers noted that there is scant data on what the tax revenue would be if the exemption were repealed, but there is extensive data on the adverse economic impact repeal would have on Massachusetts-based aviation companies in terms of lost revenue and jobs, as customers transfer sales and service transactions to tax-exempt New Hampshire, Connecticut and (come October) New York.

In Westfield, Mass., Gulfstream operates one of its largest service centers. The facility serves the U.S. northeast, “the busiest corridor for Gulfstream business jets in the world,” according to the manufacturer.