Seriously Ron.., you've got nothing to lose by researching the "rules" you
speak of.., and by the way.., any "rules" issued from administrative
agencies, offices, or departments are not really "laws" per se..!! All
state taxing authorities, and the IRS in particular have no "law making"
authority..!! Hard to believe I know, but the IRS itself is a state
corporation, and it does make up it's own "rules." So, when one buys an
aircraft for personal use there is no "initial" need to report the purchase
to any agency unless you wish to register or fly it.., and then it's the
FAA's venue, NOT some taxing authority. As per your belief that ALL
personal property is taxable.., that is false. I think the last time I saw
the "tax man" come by my folk's home to "take a look" for county tax
purposes was 1948..!! I'll end.., AGAIN, with the note that, YES.., if one
is going to use the aircraft in business, or for any purpose that can BE
APPLIED to corporate or business use to qualify for the DEDUCTION.., then
yes, by all means, report the aircraft as such!! But for personal use..,
neyt..!! If they ask about it, then ask'em back.., I mean this is
America.., RIGHT..??