Only the owners of planes registered in other states are eligible.
Majority Leader Larry O’Neal, a tax lawyer by profession, argued that the $16 million in annual taxes the state would forego will stimulate $800 million in repairs. The mechanics doing the repairs would pay $27 million in income taxes, resulting in a net $13 million tax boost for the state.
“That’s not an accommodation to a corporation,” said O’Neal, R-Bonaire. “This is a good deal for Georgia.”
He also noted that if Georgia lets the exemption expire, flying to Florida or South Carolina to get the exemption on parts would only take minutes for a jet.
Rep. Alex Atwood, R-Brunswick, sponsored House Bill 933 because two advisory commissions recommended the exemption become permanent.
“It has been quite a job creator up in Augusta and in Savannah and down in my district in Brunswick,” he said.
Standard Aero in Augusta and Gulfstream Aerospace in Savannah and Brunswick have large airplane service facilities.
The measure still requires passage by the Senate and the signature of the governor to become law.