Keeping N-registered aircraft in Canada long term

[peekay]

Hi all,

I've read many threads about importing US aircraft and converting them into Canadian registration.

But I'm wondering if it's possible / legal to keep an N-registered aircraft in Canada for "long term"? (Majority of time for say the next couple of years).

Assuming all other requirements (e.g., customs duty/HST etc. if any) are to be paid in full.

I'm planning to split my time between Canada and the US. Initially the plane will be maybe 80% in Canada vs 20% in the US. But after a couple of years maybe switch to 80% in the US, 20% in Canada.

The other option is to just keep the plane in the US, but that would mean I'd seldom be able to fly it while I'm still primarily in Canada.

I think it might cost $$$ to switch the registration to Canada and then having to switch it back to FAA in a few years.

Legally the plane will be continuously owned by a US corporation / trust.

Any thoughts on if this is possible, and if so what would be the process, etc?

I know many operate N-registered aircraft continuously in Europe, Latin America, etc., but not sure about Canada?

Thanks!

[peterdillon]

A Canadian citizen can only operate a US registered aircraft in Canada for 90 days. To import a basic aircraft now is a mimimim of $5000 and could be alot more. There is a complicated way for a corporation that does business on both sides of the border but dont think it would work for you but you could check it out.
A US citizen can keep a US regitered plane in Canada as long as they want but need to get the annual done by a US approved AI technician. No time restriction on a Canadian operating a Canadian plane in US airspace other than you cant be in the US more that 183 days a year. If you have a Green card or US Visa you might be able to come at it from a different angle.

[peekay]

Thanks Peter, that's very clear. I found various threads relating to CAR 202.42 based on your description.

Being in Toronto presently, I guess if I'm sure I'll be moving back to the US sooner rather than later, I could keep the plane in the US just over the border in Buffalo for the time being.

Otherwise it seems I'd be better off simply buying or renting Canadian-registered aircraft until I move. (My certificate / ratings are FAA but I gather from AC 61-135 that it's easy to convert to the Canadian equivalents).

Thanks again.

[ahramin]

As for the US side I think a US registered aircraft must be in the US at least 6 months of the year. Used to be that way anyway.

[RatherBeFlying]

As it seems you are a US citizen and will likely be using a Delaware corporation, I'd keep the plane in Niagara Falls or Buffalo. Do your local recreational, currency flying in the US and just bring it into Canada for vacation trips. Given that most of us don't get 90 days of vacation, let's postulate 2 weeks = 16 days leaves 74 other days; take off 15 days for holiday weekends and there's still 59 days or 29 other 2-day weekends.

Bottom line the 90 day limit will not be much of a problem. The drive can be a big problem. The farther West of the big smoke you live, the better.

Oh yes, import for an Ontario resident will cost HST at 13%.

If you will be moving back to the US you really do not want to do the importation twice.

Note that reverting back to US residency may relieve you of the 90 day limit. If you are here to work and maintaining a residence in the US, the airplane would be your commute vehicle. Check with lawyer.

[peekay]

Thanks for the helpful comments everyone.

I'm afraid, given how lazy I am, if the plane isn't conveniently parked "next door" then I will not fly it very often. 4-hour minimum drive to the airport and back (and crossing the border twice) guarantees I won't go out for quick burger runs regularly. And of course an older plane that's not flown regularly is going to have issues.

First world problems, I know.

[gryph0n]

You can go beyond 90 days if the aircraft is operated by a US entity such as a partnership, LLC or corporation. Small private planes are ok, but jets or other operations requiring a Private Operator Registration Document aren’t. I have this in writing from Transport Canada. You have to be operating the plane as a member of the entity- not as an individual who leased the plane from the entity.

[co-joe]

You can go beyond 90 days if the aircraft is operated by a US entity such as a partnership, LLC or corporation. Small private planes are ok, but jets or other operations requiring a Private Operator Registration Document aren’t. I have this in writing from Transport Canada. You have to be operating the plane as a member of the entity- not as an individual who leased the plane from the entity.

Can you just hop across the border and buy gas every 90 days or less to reset the counter?

[photofly]

The limit is ninety days in 12 months. Hopping across the border doesn't reset anything:

202.42 (1) Subject to section 203.03, no person shall operate in Canada an aircraft that is registered in a foreign state that has been present in Canada for a total of 90 days or more in the immediately preceding twelve-month period unless...

[pelmet]

You can go beyond 90 days if the aircraft is operated by a US entity such as a partnership, LLC or corporation. Small private planes are ok, but jets or other operations requiring a Private Operator Registration Document aren’t. I have this in writing from Transport Canada. You have to be operating the plane as a member of the entity- not as an individual who leased the plane from the entity.

Could one have a trust based on the US and the keep it in Canada. That is what Europeans do. I think it saves them a bunch on maintenance.

[digits_]

You can go beyond 90 days if the aircraft is operated by a US entity such as a partnership, LLC or corporation. Small private planes are ok, but jets or other operations requiring a Private Operator Registration Document aren’t. I have this in writing from Transport Canada. You have to be operating the plane as a member of the entity- not as an individual who leased the plane from the entity.

Could one have a trust based on the US and the keep it in Canada. That is what Europeans do. I think it saves them a bunch on maintenance.

That only works because Europe also allows it. I don't think Canada likes it as much.
Europeans do it for maintenance costs, to avoid import costs (not so much for tax, but for the government import inspection fees and costs etc), and for easier access to STCs etc.

[photofly]

They’re not very keen on it in Europe either.

[RatherBeFlying]

The new luxury tax adds motivation. If the plane is based in the US near the border, you might be able to find a newly minted commercial pilot looking for hours to hop the plane over.

[pelmet]

There seem to be a lot expenses for importing an aircraft as well. What does that typically cost.

[schnitzel2k3]

There seem to be a lot expenses for importing an aircraft as well. What does that typically cost.

Depends on what you are importing. Lots of aircraft require specific modifications before importing into Canada. Some types like the Hawker 4000 or Hawker 400 are not certified here at all.

Then there are taxes and if you are operating privately or commercially.

It's no wonder guys wanna run N - that and if they have a U.S corporation with sufficient capital to write off - you've got some pretty sweet writeoffs down there - whereas Canada is looking into the logistics of taxxing private aircraft even further.

[pelmet]

I mean, what are the typical import costs for a single engine Cessna.

[photofly]

Last one I imported was $950 plus ferry fees.

[WANP]

While I can offer no advice on American registered planes, I for years have had my Mexican registered plane in Canada half of the year, or more, and not a peep from the government about it.