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> From: Jeffrey Clough[SMTP:jclough@gateway.net]
> do we owe sales taxes on aircraft of which we are the manufacturers?

In Minnesota, it's called a "use tax" (at the same rate as the sales tax), 
and is theoretically due on any item purchased outside of and brought into 
the state. In practice, the revenooers only get you on items that have to 
be registered, such as cars, boats, and ... airplanes. We do not pay for 
our labor (neither should you), just on the value of the kit and 
components. Failing to pay when the items are brought into the state 
results in penalty and interest. I know at least some other states have 
similar laws on the books, but I don't know about Colorado.

By the way, Northwest Airlines is specifically exempt from the Minnesota 
use tax, as well as state fuel taxes. Maybe you should incorporate and buy 
a fleet ...

 - Chuck