AMENDMENT(S) PROPOSED BY THE SENATE

FINANCE

1. Line 23, introduced, after B.

strike

remainder of line 23, and all of lines 24 through 28

insert

Aircraft that are (i) considered Warbirds, manufactured and intended for military use, excluding those manufactured after 1954, and (ii) used only for (a) exhibit or display to the general public and otherwise used for educational purposes (including such flights as are necessary for testing, maintaining, or preparing such aircraft for safe operation), or (b) airshow and flight demonstrations (including such flights necessary for testing, maintaining, or preparing such aircraft for safe operation), shall constitute a new class of property.  Such class of property shall not include any aircraft used for commercial purposes, including transportation and other services for a fee.  State sales and use taxes shall be deferred on such class of property for a period of ten years, so long as the aircraft meets the above use criteria and is not used for commercial purposes.  After the ten-year period of use specified  above  has passed, any tax liability of the owner shall become exempt.  However, if the Director of the Department of Aviation determines that such an aircraft was used for commercial purposes or for purposes other than set out in clause (a) and (b) during the ten-year period, the owner shall be liable for the deferred taxes plus interest at a rate equal to the rate of interest established pursuant to § 58.1-15.