Not everyone can own
an aircraft. The FAA rules place certain
limitations on who can become the registered
owner of an aircraft. Avoiding these limitations
is important where the aircraft is to be flown in
the United States, particularly where the
aircraft is to be operated under the more relaxed
requirements of Part 91 of the FAA rules.
INDIVIDUAL
An individual must
generally be a U.S. citizen or a resident alien.
CORPORATION
A corporation must
be incorporated in the United States and must not
be controlled or managed by foreign interests. These limitations can generally be avoided where
the aircraft is "based and primarily
used" in the United States. Otherwise, a
voting trust or owner trust might be the only
alternative. These rules also apply to an LLC, regardless
of whether the LLC is treated as an "ignored entity" for tax
purposes.
PARTNERSHIP
A partnership must
be composed entirely of individuals. A
partnership with a general corporate partner is
not allowed to become the registered owner of the
aircraft.
TRUST
The trustee of a trust may become a
registered owner of an aircraft.
OWNER TRUST
A special type of trust which is defined by the
FAA rules. |