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Title 26, Internal Revenue CodeRelease 119-110

§4282 Transportation by Air for Other Members of Affiliated Group

Title 26 › Subtitle D — Miscellaneous Excise Taxes › CHAPTER 33 — FACILITIES AND SERVICES › Subchapter C — Transportation by Air › PART III — SPECIAL PROVISIONS APPLICABLE TO TAXES ON TRANSPORTATION BY AIR › § 4282

Last updated Sep 22, 2026|Official source

Summary

No tax under sections 4261 or 4271 applies to payments one member of an affiliated group gets from another member for services tied to using a plane when one member owns or leases the plane and the plane is not offered for hire to people outside the group. The Secretary must make rules to carry this out. Whether the plane is offered for hire is decided on each flight. "Affiliated group" means the group in section 1504(a), but treat all corporations as included and ignore any exclusions in section 1504(b).

Full Legal Text

Title 26, §4282

Internal Revenue Code, Source: USLM XML via OLRC

(a)General rule
Under regulations prescribed by the Secretary, if—
(1)one member of an affiliated group is the owner or lessee of an aircraft, and
(2)such aircraft is not available for hire by persons who are not members of such group,
no tax shall be imposed under section 4261 or 4271 upon any payment received by one member of the affiliated group from another member of such group for services furnished to such other member in connection with the use of such aircraft.
(b)Availability for hire
For purposes of subsection (a), the determination of whether an aircraft is available for hire by persons who are not members of an affiliated group shall be made on a flight-by-flight basis.
(c)Affiliated group
For purposes of subsection (a), the term “affiliated group” has the meaning assigned to such term by section 1504(a), except that all corporations shall be treated as includible corporations (without any exclusion under section 1504(b)).

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Prior Provisions

A prior section 4282, act Aug. 16, 1954, ch. 736, 68A Stat. 508, defined “fair charge” in connection with tax on transportation of oil by pipeline, prior to repeal by Pub. L. 85–475, § 4(a), June 30, 1958, 72 Stat. 260. For

Effective Date

of repeal, see section 4(c) of Pub. L. 85–475, set out as an

Effective Date

of 1958 Amendment note under section 6415 of this title.

Amendments

1996—Subsecs. (b), (c). Pub. L. 104–188 added subsec. (b) and redesignated former subsec. (b) as (c). 1976—Subsec. (a). Pub. L. 94–455 struck out “or his delegate” after “Secretary”.

Statutory Notes and Related Subsidiaries

Effective Date

of 1996 AmendmentAmendment by Pub. L. 104–188 effective on 7th calendar day after Aug. 20, 1996, see section 1609(i) of Pub. L. 104–188, set out as a note under section 4041 of this title.

Reference

Citations & Metadata

Citation

26 U.S.C. § 4282

Title 26, Internal Revenue Code

Last Updated

Sep 22, 2026

Release point: 119-110