Buying and Flying
Aircraft Registration, Leasing and Ownership
Purchasing/Selling
Registration
Operations
Purchasing/Selling
1. What are important issues to address in the Purchase Agreement?
2. Should I have a pre-purchase inspection performed?
3. Should I have a title search performed on the Aircraft?
4. Should I have a judgement and federal tax lien search performed on the Seller?
5. What documents must be filed with the FAA?
6. Do I have clear title for my imported aircraft?
7. Are you in compliance with the Trading with the Enemy Act, USA Patriot Act and other new security acts?
Registration
1. Does the registered owner meet the definition of U.S. Citizen?
2. What is a "pink slip" operation?
3. Can I fly out of the U.S. immediately after I purchase my Aircraft?
Operations
1. Are your aircraft operations in compliance with either Part 91 (noncommercial rules) or Part 135 of the Federal Aviation Regulations?
2. Are all EU VAT, customs and tax issues addressed for my international flights?
Joint Owership
 1. What is Joint Ownership?
2. When should you consider Joint Ownership?
3. Who should the owners be?
4. How many joint owners can I have?
5. What are the allowable charges?
6. What issues should you consider including in your written agreement?
7. Is the federal excise tax applicable?
8. Who has operational control?
Dry Leasing
 1. What is a Dry Lease?
2. Why Dry Lease?
3. What are the allowable charges?
4. Did you comply with the Truth-In-Leasing Requirements?
5. Are your Pilot/Management Services truly independent?
6. How do I select a management company?
7. Have you considered state tax implications?
8. Is the Federal Excise Tax applicable?
9. Have you complied with any applicable SEC reporting requirements?
10. Which party has operational control?
Charter
 1. What is "piggyback" charter?
2. Why put your aircraft on a charter certificate?
3. Is Truth-In-Leasing applicable?
4. Who will employ the crew?
5. Have you considered states' tax implications?
6. Is the Federal Excise Tax applicable?
7. Who has scheduling priority and is it important?
8. Which party has operational control?
9. What should I look for in a charter company?
Fractional Ownership
1. What is Fractional Ownership?
2. What is the FAA's current position on Fractional Ownership?
3. Why utilize Fractional Ownership?
4. Is Truth-In-Leasing applicable to any of the agreements?
5. Have you considered state tax implications?
6. To which charges is the Federal Excise Tax applicable?
7. Which party has operational control?
8. Do you know what the FAA and or your insurance policy says about entities with a primary business purpose to own and a operate an aircraft solely to provide flights to another individual or company? FAA Chief Counsel Opinion
9. Can aircraft or all sizes engage in fractional ownership?
10. Can helicopters engage in fractional ownership?
Interchange
 1. What is Interchange?
2. When should you consider interchange?
3. What are the allowable charges?
4. Did you comply with the Truth-In-Leasing requirements?
5. Have you considered state tax implications?
6. Is the Federal Excise Tax applicable?
7. Which party has operational control?
8. Are there any size/weight restrictions on which aircraft can use interchange?
Time Share
 1. What is Timesharing?
2. When should you consider timesharing?
3. How many timeshare agreements can you have?
4. What are the allowable charges?
5. Did you comply with the Truth-In-Leasing requirements?
6. Have you considered state tax implications?
7. Is the Federal Excise Tax applicable?
8. Have you complied with any applicable SEC reporting?
9. Which party has operational control?
10. Are there any size/weight restrictions on which aircraft can use timeshare?
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Buying and Flying
