State Rep. Bob Wooley, R-Dist. 66, will introduce a bill today in the state Legislature that, if passed this session, would cut sales tax on commercial and military aircraft sales and services.
The move could deliver an economic boost for Roswell and Chaves County, Wooley said.
The tax break for two aviation companies operating at Roswell International Air Center — AerSale and Stewart Industries — would allow them to bring in additional aircraft for maintenance and hire workers.
“Both companies are on the verge of bringing in hundreds of planes to Roswell for maintenance and many more to store,” Wooley said. “We’re looking at an additional 200 to 300 jobs out there.”
The companies now pay a 7 percent gross receipts tax on the sale of commercial and military aircraft. They also pay the tax on any maintenance, refurbishing, remodeling or other works on the planes.
AerSale is a supplier of aftermarket aircraft, engines, contracts for maintenance checks and provides other services for large aircraft.
Stewart Industries is a Federal Aviation Administration repair station that services aircraft operations and helps them recover aging fleets. Services include storage, maintenance, aircraft dismantling, aircraft recycling and fleet procurements, according to the company’s website.
Several city and local economic officials are expected to attend today’s hearing, The bill, an amendment to an existing law, must go through several steps before it can be enacted, Wooley said.
“If we get this bill passed, it will be a very big economic boost to Roswell,” Wooley said.”
The bill, HB 24, will first be introduced to the house taxation revenue committee today. If passed, it will be sent to the House Appropriations Committee, and then it must go to the house floor for a vote. If approved, it will be assigned to the Senate Finance Committee, then on to final votes for approvals. It must be signed by the governor and would become effective July 1.
“It’s going to be very hard to get a bill through right now with such a short time, but getting this on the first day, we’ve actually got a chance to do this,” Wooley said. “We’re just going to pray we get it done.”