Rep. Atwood Sponsors Job Creating Tax Exemption

ATLANTA — State Representative Alex Atwood (R-Brunswick) today announced the introduction of House Bill 164. This legislation would make permanent an existing sales tax exemption for aviation parts used to repair and maintain out-of-state airplanes that is scheduled to automatically expire on July 1, 2013.

“HB 164 is vital to the success of the aviation industry in Georgia,” said Rep. Atwood. “In this economic climate, job creation is one of our top priorities, and this tax exemption has proven effective in creating jobs for Georgians over the last six years.”

House Bill 164 eliminates the expiration date on a state law that exempts engines, parts, equipment, or other personal property used in the maintenance or repair of out-of-state aircraft from Georgia’s sale and use taxes. In the six years since its original enactment, the exemption has successfully bolstered the aviation service industry and created jobs in Atlanta, Macon, Augusta, Savannah, and Brunswick, as well as other parts of the state.

Other states, including Florida and Alabama, have enacted similar tax exemptions. Of the states with an active aviation industry, only three have automatic expirations for their exemptions.

“Removing the expiration from this tax exemption lets Georgia’s aviation industry know that it will be able to continue competing on a level playing field with businesses in neighboring states,” added Rep. Atwood. “This bill is about helping Georgia companies compete with pricing offered by out-of-state companies, an especially important consideration since planes are intrinsically very portable.”

Georgia’s sales and use tax exemption for aviation parts has been in effect since 2007. The tax exemption has been renewed and extended twice since then.

For more information about HB 164, please click here.

Representative Alex Atwood represents the citizens of District 179, which includes portions of Glynn County. He was elected into the House of Representatives in 2010, and currently serves as the Vice Chair of Juvenile Justice, and as the Secretary of Public Safety and Homeland Security. He also serves on the Appropriations, Insurance, and Judiciary Non-Civil committees.