Aplux, LLC, and Paul & Ann Lux Associates, L.p. v. Director of Revenue

Summary

The court held that APLUX did not qualify for a resale exemption for either aircraft based on its agreements with Luxco because APLUX retained general control, priority use, and the power to lease the aircraft to others. It held that APLUX did qualify for the exemption for the Excel based on its agreement with Aero because Aero received possession, custody, operational control, and substantial responsibility for the aircraft. The decision therefore affirmed in part, reversed in part, and remanded for determination of the tax due.