[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3608 Reported in House (RH)]
<DOC>
Union Calendar No. 618
114th CONGRESS
2d Session
H. R. 3608
[Report No. 114-793]
To amend the Internal Revenue Code of 1986 to exempt amounts paid for
aircraft management services from the excise taxes imposed on
transportation by air.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
September 24, 2015
Mr. Tiberi (for himself, Mr. Renacci, Mr. Kelly of Pennsylvania, Mrs.
Beatty, Mr. Stivers, Mr. Wenstrup, and Mr. Pompeo) introduced the
following bill; which was referred to the Committee on Ways and Means
September 27, 2016
Additional sponsors: Ms. Wilson of Florida, Mr. Graves of Missouri, Mr.
Collins of New York, and Mr. Reed
September 27, 2016
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed
in italic]
[For text of introduced bill, see copy of bill as introduced on
September 24, 2015]
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to exempt amounts paid for
aircraft management services from the excise taxes imposed on
transportation by air.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. AMOUNTS PAID FOR AIRCRAFT MANAGEMENT SERVICES.
(a) In General.--Section 4261(e) of the Internal Revenue Code of
1986 is amended by adding at the end the following new paragraph:
``(5) Amounts paid for aircraft management services.--
``(A) In general.--No tax shall be imposed by this
section or section 4271 on any amounts paid by an
aircraft owner for aircraft management services related
to--
``(i) maintenance and support of the
aircraft owner's aircraft; or
``(ii) flights on the aircraft owner's
aircraft.
``(B) Aircraft management services.--For purposes
of subparagraph (A), the term `aircraft management
services' includes assisting an aircraft owner with
administrative and support services, such as
scheduling, flight planning, and weather forecasting;
obtaining insurance; maintenance, storage and fueling
of aircraft; hiring, training, and provision of pilots
and crew; establishing and complying with safety
standards; or such other services necessary to support
flights operated by an aircraft owner.
``(C) Lessee treated as aircraft owner.--
``(i) In general.--For purposes of this
paragraph, the term `aircraft owner' includes a
person who leases the aircraft other than under
a disqualified lease.
``(ii) Disqualified lease.--For purposes of
clause (i), the term `disqualified lease' means
a lease from a person providing aircraft
management services with respect to such
aircraft (or a related person (within the
meaning of section 465(b)(3)(C)) to the person
providing such services), if such lease is for
a term of 31 days or less.
``(D) Pro rata allocation.--If any amount paid to a
person represents in part an amount paid for services
not described in subparagraph (A), the tax imposed by
subsection (a), if applicable to such amount, shall be
applied to such payment on a pro rata basis.
``(E) Certain payments treated as made by aircraft
owner.--In the case of an aircraft owner which is
wholly-owned by another person, amounts paid by such
other person on behalf of such aircraft owner shall be
treated for purposes of this paragraph as having been
paid directly by such aircraft owner.''.
(b) Effective Date.--The amendment made by this section shall apply
to amounts paid after the date of the enactment of this Act.
Union Calendar No. 618
114th CONGRESS
2d Session
H. R. 3608
[Report No. 114-793]
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to exempt amounts paid for
aircraft management services from the excise taxes imposed on
transportation by air.
_______________________________________________________________________
September 27, 2016
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed