NBAA Forms Coalition to Fight Washington’s Aircraft Luxury Tax

Groups argue that a recently passed bill will have ‘sweeping, unintended consequences’ for the state’s economy.

Jack Daleo

Monday, December 08, 2025 at 01:42 PM ET

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Edited By:

Travis Tingle

Costly, noncommercial aircraft, such as this Beechcraft King Air C90A, face a 10 percent tax on sale, lease, and transfer in Washington state. [Credit: NBAA]

Key Takeaways:

Washington state has implemented a 10% luxury tax on non-commercial aircraft valued over $500,000, with proceeds designated for a Sustainable Aviation Fuel Account.
A coalition of major aviation industry groups is actively opposing this tax, arguing it's based on a "grossly uninformed understanding" of aircraft use and will cause significant economic harm and negatively impact critical services like medical transport and disaster relief.
The coalition emphasizes the industry's strong commitment to sustainability and net-zero emissions goals, aiming to educate legislators and build a constructive relationship to incentivize, rather than penalize, environmental progress.

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Aviation industry groups are uniting to fight legislation in Washington state that they argue is based on a “grossly uninformed understanding” of high-value aircraft.

That was the language used by the National Business Aviation Association (NBAA), National Air Transportation Association (NATA), General Aviation Manufacturers Association (GAMA), Vertical Aviation International (VAI), Corporate Angel Network (CAN), and Angel Flight West in an April letter to Washington Governor Bob Ferguson.