A House committee this week approved legislation from state Rep. Bronna Kahle of Clinton to help Michigan aircraft repair companies compete with out-of-state businesses.
The bills approved by the House Tax Policy Committee would exempt parts used in aircraft repairs from Michigan’s 6-percent sales and use tax. Neighboring states already allow this type of exemption, giving shops in states including Ohio, Indiana and Wisconsin a competitive advantage for maintaining aircraft based in Michigan.
“Aviation is important to Michigan and to the quality of life across the state,” Kahle said. “Right now, our aviation companies are at a competitive disadvantage. We need to improve the climate for these Michigan-based businesses and keep this work and these jobs in our own state.”
Aerospace Services And Products Inc., based in Hudson, is one of the businesses that testified in support of Kahle’s legislation.
“This legislation introduced by Rep. Kahle is very important to Michigan aviation repair businesses,” said Bill White, owner of Aerospace Services And Products. “It stops pushing Michigan-based aircraft repair and maintenance business to other states and keeps it right here in Michigan, providing skilled jobs and ultimately strengthening our state and local economies.”
The bills advance to the House floor for consideration.