|
Aircraft and Yacht
Registration Worldwide for US and International Clients
To fulfill the
requirements established by the FAA and fly an aircraft with an
"N" number outside the USA, the aircraft must be 75%
owned by US citizens. The same 75% citizenship requirement has
also been established by the US Coast Guard prior to documenting
a vessel.
As an
International client (not a citizen of the US) to protect your
aircraft or yacht and meet these requirements you will need US
Registration through a Delaware Company & Trust Structure.
This is our "Specialty".
Challenges and Solutions
Purchasing an aircraft or yacht is a huge
investment and requires a lot of thought. There are several
possible options available, other than deciding on the type of
aircraft yacht or cost. The legal ramifications including asset
protection must be considered.
To protect your personal
assets one should own an aircraft or yacht as a Corporation. The state of Delaware is recognized as having a
favorable tax climate with
• No Sales tax
• No Personal property tax
• No Intangible property tax
• No Stock transfer tax
Frequently Asked Questions
Q.Can an International citizen own
an aircraft or a yacht without qualifying as a US citizen?
1. Yes. Foreign
aircraft corporation - if the aircraft will be flown at least
60% of its flight time in the US, it can be registered
to a US corporation which is foreign owned provided that
regular returns are filed with the FAA proving its flight time
in the US. You must keep a log and provide the address as to
where the log is located for inspection at all times.
2. No. Foreign owned yacht corporation - The USCG requires
that you meet the 75 % citizenship requirements at all times.
Q. If I do not meet the above
requirements what are my options to meet FAA or USCG
requirements for citizenship?
The answer is to form a Statutory Trust.
- Owner Trust - If the
aircraft is settled in trust with a US trustee it may be
beneficially owned by a foreign person or company.
- Voting Trust - If a
US corporation is structured so that not less than two
thirds of the Directors and Officers are US citizens and not
less than 75% of the voting rights in the shares of the
corporation are settled in trust then that corporation can
be the registered owner of a US aircraft or yacht and may be
owned by a foreigner.
Q. What is a Statutory Trust?
A Trust is quite simply an agreement
between one person (the settlor) who gives to another person
(the Trustee) an asset, in this case an aircraft or yacht, to
hold on certain terms. In the case of an Owner Trust the
aircraft or yacht is typically held solely for one beneficiary
which is the settlor. The reason that a Trust is required by the
FAA and USCG is that in this way they can ultimately control the
aircraft or yacht through their US Citizens who are the
registered trustees of US registered aircraft or yacht.
Q. When establishing the trust, how am I
protected?
We take the following steps to minimize
your risk and maximize your security:
1. At AMG we
specialize in registering US aircraft with the FAA for foreign
owners and take your interest to heart.
2. All aircraft and yachts, under our administration are
registered to individual owner trustee corporations. This is
important because the Trust agreement which the beneficial
owner of the aircraft or yacht will have to sign will include
indemnities in the event that the trustee is sued. Where an
individual or a Trust company which registers itself directly
as the owner of the aircraft or yacht is sued then they will
claim against you under its indemnity. Where the Trustee is a
separate trustee corporation for your use only, then you get
the added protection of being able to rely on its limited
liability for your protection.
3. By utilizing our professional and knowledgeable services
you can be assured and feel confident that your aircraft or
yacht will be properly owned by a US Corporation registered in
Delaware and provide you with all proper documentation
included in the trust agreement. As long as your follow
the rules and provide us with the due diligence we require,
you will have the ability to fly the aircraft or sail the
yacht legally outside of the US.
4. We ensure that you have not just the trust and registration
documentation but also all ancillary documents required to
legally operate the aircraft or yacht internationally.
5. All State and Federal government documentation will be sent
promptly.
Q. What does it cost to initiate the
Trust Agreement and register the aircraft?
Initial costs to set up a new Delaware Corporation and Delaware
Statutory Trust including the Trust Agreement with nominee
directors is as follows:
1850.00
Preparation of Trust Agreement
1500.00 Nominee Directors
(initial year)
430.00 Formation of
Corporation for Aircraft and Yachts
500.00 Statutory Trust
preparation and filing in Delaware
450.00 Prepare and File
the application with the USCG or (yachts)
215.00 Sign and File
application with FAA (aircraft)
Q. How do I get started?
You must provide us with
the following documentation:
- Proof of Insurance
naming us and holding us harmless for any debt or injury
pertaining to the aircraft or yacht
- Notarized copy of
Passport and Drivers License for all directors and officers of the Delaware entity
- Letter of
Recommendation notarized by a licensed attorney or accountant
that can attest and state that they know you and believe you
to be a reputable person.
- Proof that the
aircraft or yacht is free of debt or if mortgaged a letter
from the bank indicating our involvement with the aircraft
or yacht.
- Notarized Bill of
Sale from present owner to new Delaware corporation
- If yacht:
- Builders Certificate,
if never registered or USCG documented
- Copy of USCG Document
if documented
- Original title if
state registered
Q. Is there an annual administration
fee?
The annual costs in providing Corporation and Trust Management
run around 1500.00 for the trust management and 800.00 for the
nominee directors. These fees include the cost of directors'
fees.
Other fees payable in
January on a calendar basis are
90.00 Registered
agent fees
125.00 Delaware State
Franchise tax
35.00 Preparation
and filing of above
450.00 Filing and signing
of federal tax returns with the IRS
n/c
Proof of Insurance naming us as the Trustee
Q. Why select Asset
Managing Group, Inc.
to act as
my trustee and register my aircraft?
- AMG provides
professional and confidential services to protect our
clients as permitted by law. All information is classified
and will only be released with our client’s permission or
by court order.
- We offer personal and
considerate services.
- There are no hidden
costs or fees.
- We work with clients
worldwide providing them with legal and useful information
on owning, operating and registering their aircraft or
yacht.
Please click
here to get started or request additional information on our
Trustee Services for Aircraft Registration for International
clients. Call toll free 800.219.9359.
|