Whether you’re taking a luxurious vacation in the Bahamas or flying to an important business trip, you need to know your chosen mode of travel will get you to your destination and provide the high level of service you deserve. The question is, do you buy an online first-class ticket on a commercial airliner or charter a private flight for you and your traveling companions?

If you’re considering whether to book a private jet vs. a commercial airline, this guide will help you understand the reality of private travel.

7 Myths About Private Travel Debunked

No matter where they’re coming from, travelers who are booking a private jet for the first time often have similar reasons for feeling hesitant about the process. We understand the confusion — allow us to dispel some of the most common myths about private jets for you.

Myth 1: Scheduling a Private Flight Is Hard

There’s a strong misconception among travelers that chartering a private flight is a headache in itself. In fact, it’s one of the biggest reasons people choose first-class commercial seats over private flights.

Although the process takes a little longer than buying a ticket on a commercial flight, travelers often find that chartering a private jet is a much smoother experience. When you fly private, your charter operator’s dedicated team will help you through every step of the process, from aircraft selection to accommodating special requests for in-flight catering.

Myth 2: Commercial Aircraft Are Safer Than Private Jets

Private flights are just as safe as your average commercial airliner. Charter operators take numerous measures to ensure passenger safety in line with Federal Aviation Administration guidelines.

At Latitude 33, we’ve hand-picked the most experienced, well-trained professionals in the industry to be part of our flight crews. We’ve logged more than 75,000 hours of safe aircraft operation since our opening in 2006, and we’re an ARGUS Platinum-rated charter operator — which is the aviation industry’s highest safety rating.

Myth 3: Only the Rich and Famous Can Fly Private

One of the most common misconceptions about private travel is that only celebrities and the uber-wealthy are able to fly private. The reality is anyone can charter a private jet. In fact, business travelers make up the majority of private flyers.

There are also plenty of cost-saving tricks you can use to bring the cost of a private flight down, such as:

• Booking an empty leg flight
• Being flexible with your travel schedule
• Flying out of alternate airports
• Scheduling your flight early
• Choosing a smaller aircraft

Myth 4: Flying Private Is Slower

Many believe that flying commercial is the only way to get to your destination quickly. Unless you need to book a last-minute flight, this myth is patently false.

You board your charter flight from a private terminal called a fixed base operator (FBO), which is usually quieter and less crowded than a commercial airport. There are no long lines or excessive security checks to pass through, so you can arrive closer to your scheduled departure.

Because private jets can fly at higher altitudes than commercial aircraft, they can avoid crowded airspace, which means you can take a more direct route to your destination. If the pilot believes there is a faster way to get there, they’ll discuss alternate routes with you before you depart so you can get there on time.

Myth 5: Private Jets Can Only Fly to a Few Places

Many people believe private aircraft are limited by the number of airports they can use. On the contrary, private jets can access far more airports than your standard commercial aircraft. Out of the more than 5,000 public airports in the United States, only about 500 serve commercial flights. Private jets can land at more than 14,000 airports.

Several of these airports have FBOs and separate VIP lounges for charter jet passengers, so you can relax in your own comfortable space as you wait to board. That’s a significant upgrade from the usual packed, chaotic commercial airport terminal.

Myth 6: Private Flights Are More Likely to Get Canceled or Delayed

You might think that private flights are more likely to experience complications due to their small size. After all, commercial flight cancellations have been on the rise since 2020 — it only makes sense that bad weather would affect charter operators, too.

Actually, poor circumstances are less likely to affect private flights. Because small private jets can fly higher than commercial aircraft, they can usually fly above storms that would delay or cancel commercial flights. Additionally, your pilot and charter operator will work with you to find alternate routes or reschedule if needed.

Myth 7: Every Private Jet Is the Same

Unlike standardized commercial aircraft, private jets come in a wide range of sizes and specifications. Most charter operators have a fleet of aircraft available to accommodate different travel requirements.

If it’s just you and a business partner, for example, you’ll likely fly in the company’s smallest jet. When you’re going on vacation with your family, you can book a larger aircraft to accommodate your group. The call is yours to make.

That also goes for charter operators. If you’re considering booking a private jet, it’s important to make sure you choose a reliable charter company. Conduct research using reliable online sources to find operators that seem trustworthy, then make sure to contact each operator for more in-depth information. The staff at each company you reach out to can answer any questions and concerns you may have, which can help you narrow down which operator to fly with.

What to Expect When Flying Private

Flying private is a very different experience from flying commercial — one that many passengers find far more comfortable and enjoyable. Here are a few points you should know before your first charter flight:

• Privacy: You and your traveling companions are the only passengers on your charter jet, so you can spend your time as you please — napping, chatting with your group, getting work done, or whatever else you need to do.
• Convenience: Private travel gives you the utmost flexibility in your travel schedule. Without the long lines, you can arrive at the airport as soon as 30 minutes before your scheduled departure.
• Amenities: On a private flight, you have total control over the amenities at your disposal. You can make special requests for catering, entertainment, drinks, and other features and services.

Experience a Private Flight for Yourself With Latitude 33 Aviation

Are you looking for a faster, cleaner, and more convenient way to travel? Charter a private jet with us at Latitude 33. We offer safe, comfortable, and reliable private flights at excellent rates so you can enjoy a stress-free travel experience.

Contact our concierge department or request a quote today to get started.

Cleaning your private jet is an essential maintenance task, especially if your jet is on a charter. You need to provide your passengers with top-tier service, and your interior needs to be immaculate to do so.

Washing an aircraft is a delicate process, so it’s important to take extra care at every step if you plan to do it yourself. We’ve compiled this list of our best private jet cleaning tips to help you save valuable time and money.

4 Tips for Detailing the Inside of Your Private Jet

Having a clean interior is critical for providing an excellent client experience. Passengers may not notice exterior flaws, but they’re likely to notice stains on the seats or smudges on the windows.

While you should do a standard cleaning before every flight, you will also need to conduct a more thorough cleaning every few months. Use these private jet detailing tips to streamline the process.

1. Consult Your Maintenance Manual

If anyone knows how best to clean your aircraft, it’s the original equipment manufacturer (OEM). Before you begin interior cleaning for your aircraft, check your maintenance manual for recommendations on which cleaning products and methods to use. The maintenance manual can also provide recommendations for how often you should clean specific components.

2. Use the Right Cleaning Products

Aviation-approved cleaning and disinfectant products are essential for cleaning your private jet. Using the right cleaning supplies helps protect everyone on board by eliminating viruses and other harmful germs. It also keeps your interior safe from fires, as many interior components can be flammable.

The wrong products could corrode sensitive aircraft components and damage the jet’s overall structure, which can have disastrous consequences.

3. Clean and Sanitize High Touchpoints

The typical airliner can have as many as 700 high-touch surfaces. This is one of the biggest advantages of private jets — in contrast, the typical private aircraft might only have a few dozen high-touch surfaces. These touchpoints can include:

• Armrests
• Handrails
• Air vents
• Restroom Lavatory
• Seatbelts
• Window shades
• Windows

Using an antimicrobial disinfectant will kill bacteria and remove viruses, protecting your passengers and crew. Electrostatic spraying is a fast, EPA-approved cleaning technology that disinfects aircraft surfaces and provides lasting protection against bacteria, mold, and viruses. In addition to thoroughly disinfecting surfaces, make sure you also wipe away all smudges and fingerprints as well.

4. Deep Clean Floors

Your jet’s carpet is one of the first things passengers will notice, so it’s important to make sure you remove all spots and stains. Here are some tips for deep cleaning your floors:

• Vacuum floors: Before you vacuum, remove anything that could get in the way. This includes seats, carpeting, and any loose items. While vacuuming, pay special attention to hard-to-reach spots to make sure you get a thorough clean.
• Pile lift floors: A weekly pile lifting routine can remove dry dirt that commercial vacuums can’t reach, which can help you cut time when deep cleaning your jet’s floors.
• Shampoo carpets: Before you begin, conduct a quick spot test to make sure your product is suitable for use with your carpet. Then, use the method of your choice to apply shampoo to the carpet and rinse. Make sure to do this every six months for the best results.
• Remove stains: Many common stains can be removed without using harsh chemicals. For more difficult stains, using special cleaning solutions or running the carpet through commercial machines will be more effective.

5 Tips for Cleaning Your Aircraft’s Exterior

Your aircraft’s exterior experiences significant stress while in the air, so cleaning it regularly is essential for preventing damage and maintaining its appearance. Here are some of the best tips for cleaning the exterior of your private jet.

1. Coordinate Cleaning and Maintenance Schedules

Scheduling an aircraft cleaning can result in an extended period of downtime. If your aircraft is on a charter, make sure the maintenance and service team coordinates with the charter time to ensure work completion.

A reliable Aircraft Management Services provider can take care of this step so you don’t have to balance conflicting schedules.

2. Begin With a Dry Wash

The first step to a sparkling aircraft is a thorough dry wash. You can use water, but you’ll need to be especially careful around openings like windows and fuel caps. If water gets inside, it can cause serious damage.

Instead, gently wipe dust and debris from the exterior using a non-abrasive rag or cloth. Then, spray a new cloth with a gentle water-based cleaning solution and run it along the exterior to remove caked-on dirt, insects, and soot. This process may take anywhere from 45 minutes to over an hour, depending on the size of your aircraft.

Try to do this step at least three times per year for the best results.

3. Clean the Windows

Your windows are one of the most sensitive parts of your aircraft’s exterior, so take care when cleaning them. First, wipe away insects and other solid debris with a cloth and some water. Then follow this step with an aircraft-specific window polish.

Apply a spray polish that is intended for the type of windows you have. For example, acrylic windows and windshields are incredibly vulnerable to damage, so you should use a polish approved for use with acrylic windows. Using a glass window polish could cause unsightly scratches.

4. Apply Wax and Sealant

Once the surface of your aircraft is clear, it’s time to apply wax and paint sealant. Follow your manufacturer’s guidance on which products to use and how to apply them. While you should avoid using silicone-based waxes on new paint, it enhances older paint by adding shine and increasing water resistance. Additionally, a high-quality polymer sealant will provide a long-lasting barrier against caked-on dirt and debris.

5. Clean the Brightwork

Polishing your brightwork is a key part of cleaning your aircraft’s exterior because it helps prevent degradation and pitting. However, it’s important to be gentle — overly aggressive cleaning can cause scratches, which increase your risk of oxidation and corrosion.

Use an aircraft-approved metal polish and a microfiber cloth to remove imperfections, and aim to clean your brightwork at least once every six months. A regular brightwork polishing routine can help prevent deep scratches and pitting. It can also help you more closely monitor the condition of your chrome parts so you’ll know if you need to replace or repair them soon.

Trust Latitude 33 to Manage Aircraft Detailing

Thoroughly detailing your aircraft is a time-consuming and strenuous process, which is why you should consider taking advantage of Aircraft Management Services from Latitude 33 Aviation.

Our turnkey Aircraft Management Services include all the services you could need, including discounts on scheduled maintenance services. We leverage our relationships with maintenance providers and parts suppliers to provide excellent detailing services at a fraction of the cost. Plus, if you plan to charter your jet, we’ll help you maximize revenue generation and reduce your ownership costs.

You can rely on our team to take excellent care of your aircraft. Contact us today to learn more about our services or request a quote for a private charter.

The aviation industry has committed to achieving net-zero carbon emissions by 2050. Developing cost-efficient green aviation fuel will be critical for reaching this goal, which is why investing in the development of sustainable aviation fuels is so important.

According to the Air Transport Action Group (ATAG), sustainable fuels could cover approximately 2% of aviation fuel demand by 2025 with sufficient investment. Understanding what SAF is and the benefits it can bring is essential for maintaining a competitive edge and improving airline sustainability moving forward.

What Is Sustainable Aviation Fuel (SAF)?

Sustainable Aviation Fuel (SAF), also known as aviation biofuel, is a sustainable alternative to traditional jet fuels. It is a blended product that combines fossil fuel with sustainable fuels made from plant-based or waste products.

SAF has a chemical composition that is almost identical to conventional jet fuels, so it meets the industry’s strict standards for quality. For example, you can use SAF in aircraft that require Jet A or Jet A-1 fuel without needing to make extensive modifications to your engine system.

Airlines have been using SAF since 2008 when the first technical test flight took off in New Zealand. It became commercially available in 2011 and has slowly gained popularity ever since.

Optimizing production is vital for making aviation biofuels more available to airlines. The U.S. federal government has set a goal to scale up SAF production to 35 billion gallons annually by 2050 in an ambitious inter-agency project called the Sustainable Aviation Fuels Grand Challenge. The goal is to meet 100% of aviation fuel demand with SAF by 2050.

What Is Sustainable Aviation Fuel Made Of?

SAF is a blended product that contains a combination of renewable biomass-derived fuel and fossil fuel. According to the Environmental Protection Agency (EPA), U.S.-based harvesters can sustainably collect as much as one billion tons of feedstock annually — enough to produce 50 to 60 billion gallons of biofuel.

Because 100% SAF is still not suitable for safe commercial use, ASTM 7566 defines acceptable requirements for SAF blends. The typical SAF blend ratio is 30% renewable to 70% fossil fuel, but some blends can contain as much as 50% of each.

Three types of sustainable aviation fuels are in development today:

• FOGs: Most of today’s biofuels come from fats, oils and greases (FOGs), such as tallow, vegetable oils or waste greases. Typically, FOG-based SAFs are produced through the hydrotreated esters and fatty acids (HEFA) process, which is the most mature SAF refining process in use today. However, this type of SAF production is difficult to scale to industrial levels.
• Biomass and MSW: Second-generation SAFs are made by refining carbon-based biomass and municipal solid waste (MSW) such as algae, animal waste and agricultural and forestry residues. While it can reduce emissions by 85% to 95% over its lifecycle, this type of SAF is significantly less energy-dense than fossil fuel.
• Power-to-liquid (PtL): This new technology uses electrolysis to convert renewable electricity into fuel. While it has the potential to reduce emissions by up to 99%, it requires enormous quantities of electricity — as PtL use and production increases, it’s likely to become more cost-efficient.

How Is SAF More Sustainable?

While SAF is still fairly new, it has enormous potential for creating radical change in the aviation industry. From generating new economic opportunities to dramatically reducing

When compared to conventional jet fuel, SAF is the more sustainable option for two reasons — the fuel’s clean-burning properties and its environmentally friendly production processes.

Sustainable Aviation Fuel Performance

According to ATAG, using SAF can reduce how much carbon dioxide is emitted by up to 80% across its lifecycle. This reduction is due to the fact that SAF burns cleaner than fossil fuels — because SAFs contain fewer aromatic components than conventional jet fuel, they release fewer emissions.

Scientists and aviation fuel producers have also begun researching negative emissions biofuels, which offset emissions by absorbing more carbon than they release. This development could significantly accelerate the process of achieving industry sustainability goals.

Fuel Production

Because it uses renewable feedstocks, aviation biofuel production is significantly more sustainable than fossil fuel production.

Conventional fuel production removes non-renewable carbon from the earth by drilling, surface mining or fracking. These extraction techniques can generate significant air and water pollution, which can negatively impact nearby communities by contributing to health conditions like asthma and cancer.

Further, transporting and processing fossil fuels releases massive quantities of greenhouse gas (GHG) emissions, which contributes to climate change.

In contrast, SAF production absorbs carbon from the air. It also uses renewable feedstocks, which means it does not deplete natural resources like fossil fuels, which are non-renewable. As a result, producing SAF has no impact on climate change.

The Benefits of Sustainable Aviation Fuel

The benefits of using SAF go beyond simply reducing emissions. Some of the top advantages of this technology include:

• Environmental benefits: According to the Waypoint 2050 analysis, SAF will be a major contributor to reducing emissions — estimates say it will make up between 53% and 71% of the reductions needed to reach net-zero by 2050.
• Engine compatibility: SAF is chemically similar to traditional jet fuels, making it compatible with any jet engine system that uses Jet-A or Jet A-1 fuels. You can easily switch to SAF without needing to make costly modifications to your aircraft.
• Diversified feedstocks: Fossil fuel production relies on one non-renewable source, so when it runs out, there is no way to produce more. SAF uses a diverse range of feedstocks, enabling producers to switch feedstocks whenever necessary.
• Competitive advantage: Using SAF shows your stakeholders your commitment to sustainable business practices, which can improve your overall reputation and provide customers with a more environmentally friendly option. Additionally, since many airlines are moving to SAF, you can remain competitive in the industry.
• Economic stimulation: Because fuel production infrastructure is often installed close to feedback sources, increasing SAF production can generate new economic opportunities worldwide. ATAG estimates that shifting to SAF could create as many as 14 million jobs globally.
• Expanded supply: Only 22 countries produce 90% of the world’s fossil fuel supply. Switching to SAFs could expand the industry to almost every country on Earth.

Partner With Latitude 33 Aviation for Fuel Discounts

At Latitude 33 Aviation, we’re committed to providing our clients with superior and sustainable service. When you choose us as your aircraft management service partner, we can purchase fuel for you at up to a 50 percent discount, helping you reduce your ownership costs so you can invest in more sustainable alternatives.

We also offer other administrative services, including world-class crew training, accounting services and revenue generation opportunities.

Learn more about our service offerings by filling out our online contact form. A representative will be in touch shortly to answer any questions you may have.

As you consider the specific ways you’ll be utilizing your private jet, you must ensure you’re following all necessary regulations. Will you be using your jet for private transportation? Will you be using your aircraft to earn revenue with charter flights? These are just two examples of how you can use your private aircraft, and the regulations you must follow in both instances differ.

The Federal Aviation Administration (FAA) has specific regulations in place you must follow depending on how you are using your private jet. These requirements are known as Federal Aviation Regulations (FARs). Understand the difference between Part 91 and Part 135 operations to ensure you fly lawfully and safely.

What Are Part 91 Operations?

In Part 91 operations, you can only provide flights in non-commercial situations. The FAR regulations governing Part 91 operations are all non-commercial in nature, so you are unable to receive compensation or reimbursement for flights. The moment you receive payment for the use of your aircraft in most instances, it becomes a commercial transaction.

When operating under Part 91 certifications, you will be subject to a set of specific conditions under which the aircraft must operate. These conditions include safe weather requirements, necessary landing distances, and proper pilot training. You will also need limited insurance to fly non-commercially under Part 91 guidelines to protect you from being liable in certain circumstances.

Since Part 91 operations govern non-commercial flight situations, you have more freedom in how you operate your private aircraft. This is to give private operators more flexibility in how they use their aircraft while still providing a framework for safe, consistent operations.

There are some situations under Part 91 operations when payment can be made to the operator for use of the private aircraft. This may happen only when the operator is paying an equal portion of the costs of the flight as the people who are being transported. For example, if there are three passengers receiving transportation services on your aircraft, you will have to pay one-fourth of the total cost of the flight.

What Are Part 135 Operations?

Part 135 operations are a set of FAR guidelines relevant to non-scheduled, commercial aircraft operations. These can include air taxi flights and private air charters, among other types of transactional private jet situations. The FAA outlines a much more strict and detailed legal and operational framework when flying under Part 135 operations, so it’s important to understand it to ensure you’re following all requirements and guidelines.

Due to the back-end support and structure of Part 135 operations, the process of achieving Part 135 certifications is quite involved. After achieving certification, you must completely follow all operating guidelines to stay safe and legal as you engage in using your private aircraft for commercial purposes. In addition to having a full management crew to oversee organizations, you will also need a flight-following system in place. This addition will ensure operational control of your aircraft during flight while also tracking the flight status.

Since Part 135 operations are commercial, you should also be aware of the tax implications of providing commercial flights with your aircraft. The Internal Revenue Service (IRS) has different definitions for what constitutes a commercial flight than the FAA. Anytime you surrender your private jet charter flight use, tax agencies may view the flight as commercial — even if you, the owner, are a passenger on the flight.

The Differences Between FAR Part 91 and 135

FAR Part 91 and 135 have several key differences in addition to Part 91 being non-commercial and Part 135 being commercial.

Personnel Requirements

There are some important personnel-related differences to understand, including:

• Management personnel: In Part 91 operations, the commanding pilot is the final authority on all procedures. In Part 135 operations, you need a full management crew including a chief pilot, maintenance manager, and operation manager. This crew provides a clear chain of command before, during, and after flights.
• Rest requirements: Part 91 operations have looser rest requirements than Part 135 operations. In Part 91 operations, a pilot can fly an aircraft for days without breaks. In Part 135 operations, pilots follow strict rest requirements between flight sessions as an added safety measure.
• Pilot qualifications: Part 135 operations regulations impose higher standards for pilot qualifications than Part 91 operations. Part 135 operations may also subject the flight crew to alcohol and drug testing.

Flight Conditions

It’s theoretically possible for pilots to take off in conditions of zero visibility when operating under Part 91. Part 135 operations are unable to take off under these conditions and require airports with on-site weather reporting.

When operating an aircraft under Part 91, pilots can use a runway of any length as long as it fits under the aircraft’s performance limitations. This differs from operating an aircraft under Part 135, which requires a set amount of runway length to ensure safe takeoff and landing.

Passenger Requirements

Passengers also have their share of requirements they must follow when flying under Part 91 or Part 135 operations regulations. Passengers can usually avoid identification for flights within the United States when flying non-commercial under Part 91 operations. This differs from flights under Part 135 operations, which require passengers 18 years and older to present government-issued identification as they would when flying on a commercial airline.

Why Is It Important to Know the Difference?

Knowing the difference between Part 91 operations and Part 135 operations enables you to properly plan for how you want to use your private jet and what you can expect under certain circumstances. Here are some primary benefits of understanding the differences:

• Safety: Because of the tighter restrictions on Part 135 operations, you can argue that they have more safety nets in place. This can give you more peace of mind.
• Regulations: You want to follow all regulations when using your private aircraft. Knowing the differences between Part 91 and Part 135 operations can help you achieve this and avoid penalties.
• Intended use: Part of staying safe and following regulations is aligning your intended use of your private aircraft with the correct FAR operations. By knowing how you want to use your private jet, you can align your operations with either Part 91 or Part 135 for the safest and best outcomes.

Navigate Federal Aviation Regulations With Latitude 33 Aviation

Latitude 33 Aviation can assist you in enhancing your private jet usage. Whether you need aircraft management services, want a private jet charter, or are looking to learn more about private aircraft sales, we can help you achieve your goals. Our team of professionals has the expertise to help you navigate federal aviation regulations, so you can use your aircraft with confidence. We are part of the top 5% of United States private jet charter operators to earn the ARGUS Platinum safety rating, solidifying our standing as a reliable charter operator.

Contact us online today with any questions.

States typically impose sales and use tax for the sale, purchase, and use of aircraft. However, the amount of imposed sales and use taxes vary from state to state. Each state enforces specific tax laws that aircraft owners must adhere to. In some cases, states will allow tax exemptions on sales and use taxes if aircraft owners meet specific requirements.

It s important to understand your state’s tax laws and how sales and use taxes work. That understanding can help you avoid paying high taxes and even help you reduce the amount of taxes you owe on an aircraft transaction. Your hangar location, where you purchase your aircraft, how often you use it, and what you intend to use it for are all factors that affect sales and use taxes.

Sales Tax vs. Use Tax

When aircraft sales and purchases occur, states impose taxes on the transactions and use of aircraft within the state. Sales tax applies to the sale and purchase of an aircraft. When an owner sells their aircraft, they must pay a sales tax on the money they earn from the transaction. Depending on state law, someone who obtains an aircraft may have to pay a use tax for operating or simply storing the aircraft within the state.

What Is Aircraft Sales Tax?

The government imposes a transaction-based sales tax on the sale of services and goods. Sales tax is a type of consumption tax that the seller is responsible for collecting and delivering to the government. This tax also applies to the lease or purchase of property such as aircraft. Sales tax applies in the state where the lease or sale transaction occurs. A lease transaction can take place in:

• The aircraft’s hangar location.
• The aircraft’s delivery location.
• Any other state with jurisdiction to impose a tax on the aircraft.

What Is Aircraft Use Tax?

As of 2021, 45 states and the District of Columbia have a use tax on property consumption, use, or storage. This tax can apply to any property that was purchased outside the state.

Individual states’ use tax provision structures will determine if a use tax applies. Some states may impose a use tax the first time an aircraft owner uses their aircraft in the state. Some impose it on an aircraft that is present in the state for a certain number of days, while others may only impose a use tax if the owner uses the aircraft within a specific period following the purchase. Some states consider an aircraft owner’s permanent home country a factor, while others consider it irrelevant.

In most situations, aircraft owners must pay use tax based on their hangar location because it serves as the aircraft’s primary base. Since aircraft are mobile and can be used in any state, they can also be subject to use tax in any state with jurisdiction. However, it is uncommon for a state to impose a use tax on a nonresident’s aircraft that only occasionally operates in the state.

Current and prospective aircraft owners should primarily focus on the following tax provision factors:

• The aircraft’s primary base or hangar location
• Whether or not the aircraft owner is a business entity
• The aircraft’s primary place of business
• The owner’s state of residence
• Any state where the owner will frequently operate the aircraft

Personal Property Tax

Sales and use taxes are not the only fees aircraft owners and buyers must consider. It’s also important to be aware of personal property taxes. Some states impose a personal property tax and a registration fee on aircraft transactions. Ensure you address all potential fees and taxes before selling or purchasing an aircraft.

Aircraft Depreciation

It’s also important to consider aircraft depreciation when buying or selling aircraft. Aircraft depreciate over time. When you sell a depreciated aircraft, you will need to pay income tax on the gain you receive. This depreciation recapture is based on the amount the aircraft’s sale price exceeds its adjusted basis. A state will tax this as ordinary income instead of capital gains.

Exemptions

While many states impose significant sales, use, and personal property taxes on aircraft sales, some exemptions exist. Aircraft tax exemptions eliminate the tax owed on certain sales if they meet specific requirements. These exemptions include the fly-away exemption, the isolated or occasional sales exemption, the sale-for-resale exemption, the credit exemption, and the interstate commerce exemption.

Fly-Away Exemption

Many states allow for the fly-away exemption. This exemption applies if the aircraft’s sale occurs while the aircraft is in one state and the new owner moves the aircraft to a different state within a specific period. In this situation, sales and use tax would not apply to the sale. However, the aircraft owner may still have to file paperwork with the taxing authority.

Isolated or Occasional Sales Exemption

Sellers who are not in the business of selling may make transactions called occasional or isolated sales. In some states, an aircraft may be exempt from sales tax if the property owner only makes an isolated sale. However, infrequently-sold high-price items do not qualify for this exemption in many states.

Credit Exemption

Some states allow a trade-in credit that equals the trade-in property’s value to offset the sales tax applied to the purchase price. The transaction must meet two conditions to qualify for the trade-in credit:

1. The person purchasing the new property must be the one selling the trade-in property.
2. The person acquiring the trade-in property must obtain it with the intention of holding it for resale for ordinary business purposes.

Some states may limit this exemption to the exchange of similar property. With this limitation, a trade-in credit for an aircraft sale would only apply when exchanging one aircraft for another.

Sale-for-Resale Exemption

The sale-for-resale exemption is the most significant in aircraft sales, often occurring when a licensed dealer purchases an aircraft for their inventory. Since the dealer purchases the aircraft with the intent to sell it in a future taxable transaction, the state will not collect a sales or use tax on the purchase.

Sale-for-Resale Including Leasing Exemption

The sale-for-resale exemption can also apply to leasing situations and is based on two notions — that sales taxes typically apply to retail sales rather than wholesale sales and that leases typically qualify as taxable sales. In some states, this exemption allows a company or person to purchase an aircraft tax-free by establishing a separate business entity as a leasing-and-holding company.

The sale-for-resale leasing exemption only applies under certain conditions:

• The buyer must purchase the aircraft solely to hold and lease it to other parties: In this situation, the buyer is responsible for paying sales tax on the lease payments, resulting in a tax deferral. The total sales tax on the aircraft would depend on how many years the buyer owns it, allowing them to make sales tax payments over several years and avoid paying an entire up-front sum.
• The leasing-and-holding company must lease an aircraft without a crew, aircraft management, or pilot services: The person or company that the owner leases the aircraft to is responsible for hiring employees, working with a separate management company or setting up their own pilot company.
• The aircraft owner must not operate the aircraft, and the aircraft’s sole purpose must be for leasing: Ignoring this rule can result in an imposed sales tax on the original purchase in addition to penalties.

The sale-for-resale leasing exemption differs between states in regards to the lessee. Some states require that an aircraft owner leases the aircraft to only one affiliate and others require an exclusive lease to a single entity.

While some states implement the sale-for-resale exemption, others have rules in place that cancel it out:

• Operating vs. capital leases: Some states attempt to establish a distinction between operating leases and capital leases. In these cases, a state will view a lease with a purchase option of a nominal sum as equal to a sale and tax the original purchase price. Some states will even treat leases as a sale if the leases exceed a percentage of the aircraft’s value.
• Taxing on commencement: Some states charge a lessor or lessee tax on the total sum of an aircraft’s lease payments due as of the commencement date, resulting in a higher sales tax than the tax on a standard sale.
• No lease taxes: Some states will not tax any type of lease, preventing aircraft owners from using the sale-for-resale exemption. This exemption requires a minimum of two taxable transactions — the purchase and the release. If the lease is not taxable, the state will not consider the first transaction to be a purchase for resale and will require tax on the aircraft’s original purchase price.

Interstate Commerce Exemption

While the interstate commerce exemption varies from state to state, it shares some similarities with the sale-for-resale exemption. The interstate commerce exemption is based on the recognition that aircraft providing transportation services to the public should be tax-exempt. In these cases, the aircraft’s buyer is considered a transportation services vendor, making them exempt from taxation or only eligible under a different tax arrangement.

The Federal Aviation Administration grants the Part 135 certificate to companies if they meet a specific section of Federal Aviation Regulations (FARs). Some states offer the interstate commerce exemption to Part 135 operators, while others limit it to scheduled carriers. The Part 135 certificate allows companies to operate as non-scheduled air charter carriers, and some states deny the interstate commerce exemption to on-demand jet carriers.

States also base eligibility for the interstate commerce exemption on different factors. Some states focus on an aircraft’s end user, while others focus on the use of the aircraft. Other states allow the exemption only if the aircraft’s purchaser or lessee is a certified air carrier.

Important Considerations for Leasing

If you plan to purchase an aircraft with the intent to lease it, it’s important to consider and do the following:

• Keep records: Keeping records of everything will ensure you have everything you need if the state performs a tax audit. Many states require taxpayers to maintain accurate records and books, and many tax authorities require thorough records to support any requests for exemptions. An aircraft owner must present bank statements and invoices to back up each entry. It’s also essential to keep records of any third-party transactions.
• Ensure lease payments are market rate: If a lease rate falls under the market rate, a tax authority may impose a higher one. Ensuring you set your lease payments at the market rate will prevent tax authorities from imposing their own lease rate. Some states require aircraft owners to charge a lease rate equal to the sales or use tax they would have paid if the exemption was not applied.
• Pay attention to corporate formalities: Corporate formalities are the rules and guidelines that allow a corporation to meet its operational requirements and retain the benefits of corporate protections. Following these formalities ensures that the state’s tax authority considers the entity a legitimate business.
• Follow through with the correct leasing and ownership structure: Following through with the correct leasing and ownership structure ensures that the state’s tax authority will recognize the purchase and lease as a legitimate transaction. Execute your written lease when you purchase the aircraft to ensure you can claim the exemption within the state’s time limit.

Looking to Sell or Purchase an Aircraft?

Selling or purchasing aircraft requires extensive knowledge about an aircraft’s value and potential taxes. The taxes you will owe on an aircraft transaction will depend on where you complete the transaction, your hangar location, and where you use the aircraft. Some states allow for tax exemptions if you meet certain requirements, so it’s important to understand state tax laws.

Adhering to a state’s tax exemption requirements can help reduce the amount of taxes you owe on an aircraft transaction. As an aircraft sales and acquisitions company, Latitude 33 Aviation conducts market research to help buyers purchase aircraft that meet their specific criteria. Our experienced acquisition experts can help you protect your multi-million dollar sale or purchase, so your investment is safe.

With the help of Latitude 33 Aviation, you can make informed decisions, and avoid costly pitfalls when buying a private jet. Contact Latitude 33 Aviation to learn more about how we can help you make informed financial decisions as you sell or purchase a quality aircraft.

*This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.

Aircraft interior refurbishment involves updating, replacing, and enhancing a cabin’s interior elements. Owners often refurbish their aircraft to increase comfort, style, functionality, and resale value.

A high-quality refurbishment makes a cabin more aesthetically pleasing and desirable to potential buyers looking for an exceptional aircraft. Continue reading to learn more about how to effectively upgrade a jet’s interior with superior design, functionality, comfort, and style.

What Does It Mean to Refurbish an Aircraft?

Refurbishing an aircraft is the process of extensively or subtly updating its interior elements. Refurbishment may include a few updates or a full remodel of the jet’s interior facets. Aircraft owners may choose to refurbish all or a selection of the following features:

• Windows
• Window covers
• Seat upholstery
• Entertainment systems
• Armrests
• Lighting
• Countertops
• Flooring and carpeting
• Cabinets
• Composite panels
• Sound system
• Internet connection capabilities
• Walls

Why Is Refurbishment a Good Investment?

Aircraft refurbishment is an exceptional investment for private jet owners and resellers. Refurbishing an aircraft increases its resale value and strengthens its appeal. Quality updates can impress potential buyers and significantly influence their purchasing decisions.

6 Points to Consider Before Refurbishing an Aircraft

Some aircraft owners start the refurbishment process without specific preferences, but keeping certain considerations in mind can make it easier to choose and plan aircraft interior upgrades. Before refurbishing a jet, owners should consider the following elements:

1. Style

Refurbishing an aircraft is the perfect opportunity for an owner to update their jet’s style for a more appealing aesthetic. Older jets may have outdated styles with undesirable textures, colors, and furnishing, and owners can upgrade them to match more modern styles and create the look they desire.

Before starting the refurbishment process, aircraft owners should plan the design they want to create. Designing a jet’s interior with the right colors and textures can help to fashion a pleasing interior style.

2. Comfort

Comfort is another essential factor. Updating interior private jet features can increase passenger comfort and safety. Updating upholstery eliminates wear and tear, and repairing window scratches can prevent hazardous broken windows. To enhance an aircraft’s comfort, owners should consider seating features, convenient fixtures, adjustable mood lighting, cabin pressure, and humidification.

As an example, rotating seats enhance passenger experiences by allowing them easier window viewing, and reclining chairs or beds make sleeping easier and more comfortable. Convenient fixture additions such as cup holders and desks also increase convenience.

3. Functionality

An aircraft refurbishment goes beyond comfort and style to also address functionality. It’s important to consider the jet’s cabin management system and connectivity. Updating the interface allows the cabin crew to better control and monitor aircraft functions within the cabin such as passenger calls and signs and cabin illumination.

4. Capacity

Aircraft owners can increase capacity with the right updates. Refurbishing an aircraft provides the opportunity to optimize cabin space. Adjusting a jet’s floor plan can create more space for additional seating as long as the adjustments align with Federal Aviation Administration (FAA) regulations. It can also create more space for optimal luggage storage.

Aircraft owners can schedule a professional evaluation before starting the refurbishment process to determine if it’s possible to increase their jet’s capacity and ensure their plans remain within FAA regulations.

5. Resale Value

Resale value is an important consideration when refurbishing an aircraft, as certain changes may add more value than others. Choosing the right colors, textures, furnishings, and features can increase a jet’s appeal and value. Aircraft owners should consider elements that will stand the test of time. Trending colors and styles may not be as desirable in a few years, so it’s best to choose elegant, neutral colors that will remain appealing.

6. Technological Features

Technological updates can significantly enhance an aircraft’s interior. Features including automated window dimming, energy-efficient lighting, a strong internet connection, and televisions improve the passenger experience and increase a jet’s appeal.

How to Refurbish an Aircraft Interior

Refurbishing a private jet’s interior requires planning and attention to detail. The aircraft refurbishment process consists of the following steps:

1. Evaluate the Aircraft

Aircraft evaluation is the first step of the refurbishment process. During an evaluation, a professional aircraft interior team inspects the jet’s interior for concerning factors such as damage and scratches. They may also take photos for future reference. They’ll consider the aircraft owner’s functionality and style goals while evaluating the jet’s condition and initiating quality control measures.

The team will also review the following documents in its process:

• Flight records
• Electric plans
• Maintenance records
• Avionics lists

2. Create a Plan

Following the evaluation, owners can then consult with a design team to start the aircraft interior design and planning process. During this step, aircraft owners can consider the colors, carpeting, seating, lighting, and layout they would like to use. This is also when owners and designers should begin contacting vendors for the supplies and materials they’ll need for the refurbishment.

3. Remove the Existing Interior

Once a plan is in place, the refurbishing team removes the aircraft’s existing interior. They take out interior elements such as lower walls, headliners, seats, window panels, and carpets. Then, the refurbishing team disassembles these components and strips them of fabrics and materials.

4. Refurbish and Replace Interior Components

The refurbishing team replaces components and re-installs updated elements after they make changes. During this step, they’ll also detail and clean the jet’s interior.

5. Track and Manage Costs

Tracking and managing aircraft interior refurbishment costs is crucial throughout the entire process. It’s important to obtain quotes from several different respective vendors and receive details about what they can offer, as doing so allows you to choose the best options for the best prices. Remaining involved in tracking and managing costs helps to prevent potential unexpected occurrences and minimize changes.

4 High-Value Aircraft Interior Upgrades

Adding high-value aircraft interior upgrades can result in a high return on investment. If you’re planning a jet refurbishment, consider the following beneficial upgrades:

1. High-Bandwidth Connectivity

Cabin electronics have become incredibly important to passengers. High-bandwidth Wi-Fi allows passengers to stay connected to email, social media, and online work programs during flight.

With a quality internet connection, you and other passengers can continue working on important tasks or stay connected to your favorite websites with ease. This increases a cabin’s comfort and convenience during flights. You can also install tablets in the cabin’s seats to optimize convenience.

2. Passenger-Friendly Cabin Management System

Functional improvements to the cabin management system can also enhance the passenger experience and optimize an aircraft upgrade. Updating the cabin’s audio panel system improves audio quality for music and video connections, making it much easier to enjoy entertainment during flights.

3. Seating and Upholstery

Seating and upholstery elements are what provide the most comfort and style in an aircraft cabin. It’s essential to replace all of a cabin’s chairs even if only one appears outdated or damaged to create a more coherent design.

4. Carpeting

Adding new carpeting to an aircraft is a simple yet crucial upgrade. New carpeting gives a cabin a fresh, clean, and luxurious look. Carpet can wear easily due to foot traffic, so carpet replacement is one of the most important upgrades an aircraft owner can make.

Aircraft Interior Refurbishment Do’s and Don’ts

If you plan to refurbish a jet for the first time, there are some important considerations to keep in mind. Before starting the refurbishing process, consider the following do’s and don’ts:

What You Should Do

For a high-quality aircraft interior upgrade, remember to take the following actions:

1. Plan Ahead

Planning ahead is essential when refurbishing a private jet. The more advanced planning you do, the more you can minimize aircraft downtime. Planning ahead prevents challenges, scheduling delays, and changes once the refurbishing process begins. If you and the refurbishing team are in agreement about your goals, selected designs, chosen vendors, and scheduled timelines, the process can proceed smoothly.

2. Consider Proportions

When you step into an aircraft, you visually take in the entire interior at once. Therefore, you want your upholstery, carpet, wall colors, and fixtures should work together to complement each other. Making all of the cabin’s elements one color can cause that color to overpower the cabin, but choosing too many colors can make the space appear busy, so you should aim for balance.

3. Test Lighting and Colors

Lighting may seem simple, but different lighting options can dramatically affect your aircraft cabin’s overall aesthetic. Different bulbs and fixtures offer warmer or cooler tones, which can give the cabin’s colors and materials various appearances. Choosing quality lighting and colors that complement it can set the tone for your aircraft’s mood and atmosphere. LED lights are an excellent option that can enhance lighting and conserve energy.

When you choose a jet’s interior colors, examine your color samples in natural sunlight, and pay close attention to how they look throughout the day. You may love one color in the early morning light but dislike its appearance in the dimmed evening light. The best color option for your cabin is one that you find appealing in all lighting conditions.

What You Shouldn’t Do

For a smooth process and desirable results, you should take action to avoid the following mistakes:

1. Neglect Small Details

Pay close attention to details during the design and refurbishing process. Small changes may seem unimportant compared to larger upgrades you plan to make, but they can make a significant difference. Specifically, focus on perfecting your seating and flooring and request any unique features that can complement your overall style.

2. Delay Ordering Materials

Ordering materials in advance can help ensure you receive the colors and styles you prefer. Ideally, you should order products three to six months ahead of time to avoid needing to choose different styles at the last minute due to items selling out or requiring long production periods.

Other Aircraft Interior Design Tips and Best Practices

Choosing the right elements, colors, fabrics, flooring, and details can help you fashion the elegant interior you desire. If you’re unsure where to start, consider the following design tips and best practices:

1. Use Neutral Color Palettes

Neutral color palettes are ideal for interior refurbishings. While some trends may ignite temporary interest in bold colors, toned-down options remain stylistically timeless. Neutral colors can complement other design elements and highlight bolder details. They beautifully accentuate textures and furnishings and make it easier to create a well-designed space.

Using whites, grays, browns, and black in an aircraft interior opens the space up for various styles and design options, allowing future owners to style it according to their personal tastes.

2. Prioritize Durability

Leather is the standard seating option for aircraft interiors because it’s stylish and durable. You can add leather to other interior elements to enhance its appearance and increase longevity. Consider doing so for features such as armrests and the divan base in addition to the cabin’s chairs.

3. Choose the Right Fabrics

Aviation regulations allow certain fabrics in aircraft, which are mainly natural fibers such as nylon, wool, and vinyl. Fabric enhances comfort, adds to the cabin’s aesthetic, and absorbs sound. Choosing the right fabric can complement your aircraft interior’s style and make your materials last longer.

4. Select Quality Flooring

Quality flooring contributes to your jet’s aesthetic and the interior’s durability. Wool loop carpet is made of tightly-packed wool loops, and it offers a wide variety of design options. You can choose from various yarn colors and loop heights to create an exquisite look. Wool carpeting is the most long-lasting option because it naturally repels dirt and is easy to clean. Its durability can help you save time and money on future refurbishments.

It’s also essential to select quality flooring for your aircraft’s galley, vestibule, and lavatory because these areas are prone to spills, dirt, and weather intrusion. Cabins maintain a refreshed appearance with durable vinyl flooring, which offers water resistance and can come in various types for maximum customization.

5. Add Comfortable Accessories

Accessories can add a luxurious touch to your aircraft interior for optimal comfort. Consider adding and providing items such as custom pillows, stylish throws, and soft slippers.

Buy and Sell Refurbished Jets With Latitude 33

Refurbished aircraft are exceptional investments due to their updated style, comfort, functionality, and value. Latitude 33 Aviation offers professional jet brokerage and sales services to help you purchase or sell your private jet. Our jet acquisition services are tailored to meet client needs, and our team can help you determine the ideal aircraft for you based on your requirements and needs.

Latitude 33 also offers brokerage services to help clients sell aircraft. If you wish to sell your refurbished aircraft, our experienced professionals can guide you through the sales process with negotiation mastery, marketing acumen, and extensive market expertise.

With a factory acceptance program, complete services, and an experienced team, we understand the marketplace and the intricacies of each aircraft ownership stage. Contact Latitude 33 to learn more about how we can help you purchase or sell a private jet.