Why Maryland's aviation history starts before the Wright brothers left Kitty Hawk
Maryland's aviation history starts at College Park Airport, the world's oldest continuously operating airport, where Wilbur Wright trained U.S. Army officers to fly in 1909. The state is also home to NASA's Goddard Space Flight Center and the Navy's flight test center at Patuxent River, giving it an outsized role in aerospace research relative to its size.
The rates above are our live national rates; Maryland residency neither helps nor hurts your pricing. What is Maryland specific is the tax picture below, which treats the aircraft purchase and aircraft parts very differently.
Sales tax, use tax, and property tax: the Maryland layer
The aircraft itself is taxed; the parts on it generally are not. Maryland does not offer a broad exemption on the purchase of a general aviation aircraft, which is taxed at the state's standard 6 percent sales and use tax rate. Where Maryland stands out is on the ownership side: materials, parts, and equipment used to repair, maintain, or upgrade an aircraft or its avionics are exempt from sales and use tax through June 30, 2030, for aircraft under 12,500 pounds gross takeoff weight, or heavier aircraft used primarily in interstate or foreign commerce.
Property tax varies by county. Maryland does not impose a uniform statewide personal property tax on individually owned, non-business aircraft; business-use aircraft may be subject to county-level business personal property tax depending on where they are based. Confirm the treatment in your specific county before closing.
This is orientation, not advice; Maryland aviation tax outcomes are fact specific and county treatment of business aircraft varies. Engage a Maryland aviation tax advisor before closing.
The depreciation layer
Federal bonus depreciation is only half the tax picture; how Maryland treats the deduction is the other half. Maryland has historically limited bonus depreciation at the state level, reducing the state-level benefit. 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.
Compare against other states
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.
Run the Maryland Buyer's Numbers
Interactive: payment and year-one depreciation, side by side
The two numbers every Maryland 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.
Est. year-one bonus depreciation
N/A
Est. year-one federal tax value
N/A
Illustrative only, not a loan offer and not tax advice. Bonus depreciation eligibility depends on qualified-business-use thresholds and listed-property rules; state conformity varies. See the
bonus depreciation guide for the December 31 placed-in-service mechanics and the state-by-state conformity table before you plan around these numbers.
What Maryland buyers should know
- Rates and terms are national. Same live pricing as the strip above; up to 20-year terms on certified pistons, 15 to 20 percent down for strong credit, soft-pull pre-qualification available.
- Closings are remote. Your closing runs through FAA escrow in Oklahoma City regardless of where in Maryland you or the aircraft sit. Our title & escrow guide walks the sequence.
- Budget for the 6 percent purchase tax. Maryland does not offer a broad purchase exemption for general aviation aircraft; plan for the standard rate on the purchase price.
- Parts and avionics are a real ongoing savings. Maryland's exemption on aircraft parts, avionics, and repair materials runs through June 30, 2030, and can meaningfully reduce your ownership costs.
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Maryland Aircraft Financing Questions
Do aircraft loan rates differ in Maryland?+
No, rates are set by aircraft type, credit profile, and loan structure, not by state. Maryland buyers see the same live pricing shown on this page. What is Maryland-specific is the tax treatment and the strength of the local market.
Does Maryland charge sales tax on aircraft purchases?+
Yes, at Maryland's standard 6 percent sales and use tax rate; Maryland does not offer a broad exemption on the aircraft purchase itself, though parts, avionics, and repair materials are separately exempt through June 30, 2030.
Will my aircraft owe Maryland property tax?+
Generally not for personal use; Maryland does not impose a uniform statewide personal property tax on individually owned, non-business aircraft. Business-use aircraft may be subject to county-level business personal property tax depending on where they are based.
Are aircraft parts and avionics taxed in Maryland?+
No, generally not; Maryland exempts materials, parts, and equipment used to repair, maintain, or upgrade an aircraft or its avionics from sales and use tax through June 30, 2030, for aircraft under 12,500 pounds gross takeoff weight or heavier aircraft used primarily in interstate or foreign commerce.
Where does a Maryland aircraft closing actually happen?+
Through an FAA escrow agent in Oklahoma City, like every U.S. aircraft closing, deposit held in escrow, title searched, documents filed with the registry in sequence on funding day. You never have to leave Maryland.
Does Maryland conform to federal bonus depreciation?+
Not fully; Maryland has historically limited bonus depreciation at the state level, reducing the state-level benefit. See the bonus depreciation guide for the full state-by-state conformity table, and confirm current-year treatment with your CPA.
FLYING Finance Resources
From the FLYING Ecosystem
Taxed on the way in, exempt on the way through.Live rates, soft-pull pre-qualification, closing coordinated through Oklahoma City escrow.
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