Liquidators and Administrators
Not all businesses are successful despite their best efforts to succeed. When this occurs a business could face potential insolvency action including repossession of valuable or financed assets; including a business aircraft.
In these circumstances financiers and secured creditors will need to consider how to realise any remaining value in repossessed aircraft, and these decisions will be dependent on various factors including:
- the current EU free circulation and VAT status of those aircraft,
- where the aircraft are physically sited at the time of repossession,
- any other potential complications arising from the history of the aircraft, and the defaulting owner, and
- likely difficulties in obtaining necessary supporting paperwork.
For receivers, insolvency practitioners and liquidators, there may also be additional requirements; where the appointed person is obliged to take over any responsibility for managing the affairs of the remaining business from the perspective of the local tax authority, as well as any negotiations that may be required with financiers and security holders to resolve outstanding debts.
The tax team at Martyn Fiddler Aviation is comprised of Chartered Tax Advisors with over 70 years of combined experience. We will be able to assist you from beginning to end in identifying and resolving any potential pitfalls from a Customs and tax perspective and our colleagues will be able to support you in arranging any aircraft movements to achieve your end goals.
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Be Prepared for 31 December 2020
In less than 4 months’ time the UK will leave the European Union (31 December 2020). At the time of writing there is no agreement in place to determine what the status of goods (including business aircraft) imported into the EU (including the UK and Isle of Man) before 31 December 2020 will be.
In the newsletter attached Martyn Fiddler Aviation outline the list of possible results, explaining the impact of each scenario and the work that will be requested of aircraft owners in order to remain in free circulation in both the UK and the EU.