Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2013
Sales and Use Tax Annotations
210.0000 DEMONSTRATION, DISPLAY AND USE OF PROPERTY HELD FOR RESALE—General—Regulation 1669
210.0019 Aircraft. The use of an aircraft by an aircraft dealer to transport executives and other people, when these people are not potential purchasers, is not a use for demonstration and display under Regulation 1669. Such use is subject to tax as set forth in Regulation 1669(f)(1)(C). When the taxpayer elects to pay use tax based on the fair rental value of an aircraft held for resale but used for other purposes (as opposed to paying tax measured by the cost of the aircraft), the tax is applicable even if the aircraft is used outside California for purposes other than demonstration and display. 6/29/71.