Jack, I got my letter a couple of months ago. They wanted a copy of the bill of sale where I purchased the kit. I tried to explain that the airplane was not finished. They wanted me to pay the tax on the value of the plane finished. I made up a figure somewhere close to the amount that I had spent on parts and materials, which came to around $8K dollars and figured the tax and sent it to them with a copy of the bill of sale. They got me on my Lancair last year. Thank goodness you only have to pay it once. I should be flying the KR2 shortly. I have a few little things to finish and call the FAA. I have a friend at the FAA who is an inspector when you get ready. He says he enjoys checking out the experimentals. Some of the local RV boys use a DAR which is ok but, he charges $400.00 . The FAA does it for free. We pay their salaries so we might as well use them.
From: "kr2coo...@comcast.net" <kr2coo...@comcast.net> To: KRnet <kr...@mylist.net> Sent: Tuesday, June 28, 2011 9:39 AM Subject: Re: KR> Aircraft Tax Question I recently got a letter and tax form from the state of Tennessee wanting me to pay sales tax on my KR. It ask if I bought it in state or out of state and if out of state what sales tax I paid. It also ask if it was a Kit and where I got the kit. I wrote them a letter with some pictures explaining that this was a plans built airplane not a kit and that I bought all parts from suppliers and paid appropriate tax on each individual part that I bought. They must have bought it because I haven't heard anything more from them but then again it is a bureaucracy so it may take a year or so to make a decision. Jack Cooper Chuckey TN. ----- Original Message ----- From: laser...@juno.com To: kr...@mylist.net Sent: Tuesday, June 28, 2011 12:35:52 AM Subject: KR> Aircraft Tax Question In my negotiations with the County Tax people just south of you I took pictures of my airplane in a disassembled state and included some early articles from Kitplanes and other magazines which contained the info that the plane has a VW engine and can be built for $3000 in materials - you can find all of that online. Include the Popular Mechanix cover story with a picture of Ken Rand and his original KR-1. Put a nice package of this info together for them - educate them. They only know RV's and factory builts when it comes to planes so you have to inform them of just how inexpensive and special the KR is - made out of styrofoam and plywood. This is a better route than asking owners what they think their airplanes are worth. We all think our planes are worth at least $25K. Mike ____________________________________________________________ Groupon™ Official Site 1 ridiculously huge coupon a day. Get 50-90% off your city's best! http://thirdpartyoffers.juno.com/TGL3141/4e095a8912090d459ast03vuc _______________________________________ Search the KRnet Archives at http://www.maddyhome.com/krsrch/index.jsp to UNsubscribe from KRnet, send a message to krnet-le...@mylist.net please see other KRnet info at http://www.krnet.org/info.html _______________________________________ Search the KRnet Archives at http://www.maddyhome.com/krsrch/index.jsp to UNsubscribe from KRnet, send a message to krnet-le...@mylist.net please see other KRnet info at http://www.krnet.org/info.html
