# Plain Language Summary: Advanced Air Mobility Tax Exemption Parity Act of 2023

This bill extends certain tax breaks to a new type of aircraft called "powered-lift" vehicles—think of them as a hybrid between a helicopter and a plane. These aircraft can take off and land vertically like a helicopter but fly forward like a traditional airplane. Right now, helicopters and fixed-wing planes get exemptions from federal air transportation taxes in specific situations, but powered-lift aircraft don't qualify for those same breaks. This bill simply adds powered-lift aircraft to those existing exemptions so they're treated the same way.

The tax exemptions being extended apply to two main situations. First, there's an exemption for aircraft used in mining and timber operations—essentially, if a helicopter or plane is being used to support these industries, it doesn't pay certain federal taxes on that transportation. Second, there's an exemption for air ambulances that transport patients for medical emergencies. By adding powered-lift aircraft to these categories, companies operating these new aircraft for mining, timber, or emergency medical transport would get the same tax treatment as traditional helicopters and planes doing the same work.

The bill also tells the Treasury Department to update any other existing tax rules or guidance that mention helicopters or fixed-wing aircraft to include powered-lift aircraft as well. This ensures consistency across all the different tax regulations. The changes would take effect about 60 days after the bill becomes law, giving the government time to update its rules and systems. Essentially, this is a technical fix to make sure a new technology isn't accidentally disadvantaged compared to older aircraft types when it's used for the same purposes.

Advanced Air Mobility Tax Exemption Parity Act of 2023

Panetta, Jimmy

Advanced Air Mobility Tax Exemption Parity Act of 2023 This bill exempts powered-lift aircraft from the excise tax on air transportation. The bill defines powered-lift aircraft to mean a heavier-than-air aircraft that is capable of vertical takeoff, vertical landing, and low speed flight.