26 U.S.C. § 4043 — Surtax on fuel used in aircraft part of a fractional ownership program

(a) General rule. A tax is imposed on any liquid used as fuel during a calendar quarter by any person in a fractional-program aircraft when it transports a qualified fractional owner in that aircraft program, or when it is used because of that owner, including deadhead service. (b) Tax amount. The tax is 14.1 cents per gallon. (c) Definitions and special rules. (1) “Fractional program aircraft” means, for a fractional-ownership aircraft program, an aircraft listed as such in the manager’s FAA management specifications under subpart K of part 91 of title 14, Code of Federal Regulations, and registered in the United States. (2) “Fractional ownership aircraft program” means a program in which one manager provides management services for fractional owners; each aircraft has one or more fractional owners and at least one has more than one owner; for at least two aircraft, no ownership interest is below the minimum and none is held by the manager; all owners have a dry-lease aircraft-exchange arrangement; and multiyear agreements cover the ownership, management services, and dry-lease exchange. (3)(A) A “qualified fractional owner” owns at least the minimum interest in at least one aircraft. (B) The “minimum fractional ownership interest” is at least 1/16 of at least one subsonic fixed-wing or powered-lift aircraft, or at least 1/32 of at least one rotorcraft. (C) A “fractional ownership interest” is ownership of an aircraft interest, a multiyear leasehold interest, or a multiyear leasehold convertible into ownership. (D) A “fractional owner” is any person owning any interest, including the whole interest, in such an aircraft. (4) “Dry-lease aircraft exchange” means a written-program-agreement arrangement making the aircraft available, as needed and without crew, to each owner. (5) An aircraft is not treated as used to transport or for the account of a qualified owner when used for flight demonstration, maintenance, or crew training. (6) It is not treated as used for the account of a qualified owner in deadhead service when someone other than a qualified owner is separately charged for that service. (d) Termination. This section does not apply to liquid used as aircraft fuel after September 30, 2028.