Leased Hangar Space May be Taxable, Authority Says

Pennsylvania is one of a handful of states that collects “That regulation doesn’t describe our relationship, as a taxes on self storage rents. Airport authorities in at least government entity, to those who we lease space to,” Snyder one county in the Keystone State are trying to determine said to the officials. A recent state audit of authority whether it must collect $20,000 in back taxes from those records dating back to 2007 resulted in the finding that the who lease 65 hangars at Arnold Palmer Regional Airport authority must collect the tax on direct-lease payments. in Unity and Rostraver Airport. “Candidly, the state has been rather vigorous in finding The Westmoreland County, Airport additional sources of revenue under the current economic Authority board of directors has asked its solicitor, Don climate,” Snyder said. He went on to say that he believes Snyder, to look into whether a state regulation regarding only those who lease hangars and then rent out the spaces self storage services requires the authority to charge the to secondary purchasers must charge the tax. six percent sales tax for space it leases. Leased hangars cost about $300 per month, said the authority’s executive director Gabe Monzo. v

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