South Carolina Gov. Nikki Haley has signed a bill that removes a 6% sales tax on maintenance performed on general aviation aircraft.
Haley signed amended House Bill 3568 on June 15, and the tax exemption will take effect on Jan. 1, 2016.
South Carolina is home to 37 certified repair stations, but many of those businesses had been losing out on maintenance and repair work as cost-conscious aircraft owners took their airplanes to nearby Georgia, Florida, or Arkansas to avoid the tax.
“This new tax exemption is great news and will save GA owners thousands on maintenance and repair costs while supporting jobs and businesses in South Carolina,” said Aircraft Owners and Pilots Association President Mark Baker. “This is truly a win-win.”
In addition to AOPA, active supporters of the legislation included the South Carolina Aviation Association, the Carolina Aviation Professionals and the National Business Aviation Association.
South Carolina is the 21st state to pass such an exemption, according to AOPA officials.