Transcript:
FET is Federal excise tax, and it’s another tax to be mindful of when you’re owning or operating a business aircraft. Federal excise tax applies to the purchase or sale of air transportation services. It’s very commonly charged if you buy a commercial air ticket, or if you’re chartering an aircraft or selling charter services on your aircraft, FET would almost always apply. FET however can also apply to certain part 91 operations of an aircraft if aircraft transportation services are being sold.