Arkansas charges a 6.5 percent state sales and use tax on most aircraft purchases, plus applicable local tax, with narrow exemptions for nonresident-to-nonresident sales and Arkansas-manufactured aircraft. Financing an aircraft in Arkansas, done right.
Northwest Arkansas National Airport, built in 1998 largely to serve the corporate travel needs of Walmart, Tyson Foods, and J.B. Hunt, drives an economic impact exceeding 500 million dollars a year and handles roughly a million boardings annually. A few miles away, Bentonville Municipal Airport, known as Thaden Field, hosts FBO Summit Aviation and serves the steady stream of smaller business aircraft flying in and out just two stoplights from Walmart's home office. Statewide, general aviation contributes an estimated 468 to 500 million dollars a year, and Arkansas' broader aerospace sector accounts for roughly 1.8 billion dollars in economic activity and 8,276 jobs, including about 4,050 in aerospace manufacturing.
The rates above are our live national rates; Arkansas residency neither helps nor hurts your pricing. What is Arkansas specific is the tax picture below.
Most purchases owe the standard rate. Arkansas' state sales and use tax rate is 6.5 percent, plus applicable local tax depending on where the sale or delivery occurs. Unlike some states, Arkansas has not confirmed a general private-party or casual-sale exemption for aircraft, so most purchases, dealer or private party, owe this tax.
Two narrow exemptions can apply. A sale between two nonresidents, where the aircraft will be used outside Arkansas, is exempt from Arkansas gross receipts tax. Separately, a new aircraft manufactured or substantially completed in Arkansas is exempt if it is purchased for the buyer's exclusive use outside Arkansas, a carve-out that parallels similar manufactured-aircraft exemptions in states like Alabama and Georgia.
This is orientation, not advice; Arkansas aviation tax outcomes are fact specific and depend on residency, where the aircraft is manufactured, and where it will be used. Engage an Arkansas aviation tax advisor before closing.
Federal bonus depreciation is only half the tax picture; how Arkansas treats the deduction is the other half, and Arkansas does not conform to federal bonus depreciation. Arkansas Code Annotated 26-51-428 adopts IRC Sections 167 and 168(a) through (j) as of January 1, 2019, explicitly excluding Section 168(k) bonus depreciation. The federal deduction must be added back and the aircraft depreciated on Arkansas' own schedule instead. The bonus depreciation guide carries the full state-by-state conformity breakdown and the December 31 placed-in-service mechanics. Read it alongside this page before you commit to a closing date.
The tax treatment above is specific to this state, but if you are comparing markets, financing across state lines, or want the full fly-away exemption rules in one place, see our aircraft sales tax by state guide for the state-by-state breakdown.
The two numbers every Arkansas business buyer runs first: the monthly payment at today's rate, and what 100 percent bonus depreciation could be worth in year one. Both in one place, with the state layer linked below.
The 60-second qualifier shows live rates by aircraft type and credit tier, no hard pull, no obligation.
