Basch & Rameh Advogados Associados | Brazil | 26 May 2021
Fractional ownership is a means of aircraft ownership that is usually coupled with a programme which covers various aircraft owned by more than one party, all of which are placed in an exchange pool. By purchasing an interest in an aircraft that is part of a programme, an owner gains close to round-the-clock access to a private aircraft. In light of a recent clarification to fractional......
Basch & Rameh Advogados Associados | Brazil | 17 Mar 2021
Issues relating to withholding tax have long plagued the Brazilian airline sector. When the special rates of 0% and 1.5% for aircraft rents became ineffective in 2021, the rate soared to 15%, which is the general rate applicable to cross-border leases of any equipment. The latest developments have resulted in confusion, widespread lease defaults and erratic payments from Brazil's airlines.
Basch & Rameh Advogados Associados | Brazil, USA | 18 Nov 2020
In June 2020 the Global Aircraft Trading System (GATS) was launched to facilitate aircraft trading and financing by reducing the burden on industry participants – in particular, airlines. Since the GATS relies on the use of trusts, a traditional common law concept, a question arises as to whether the GATS can be used in jurisdictions such as Brazil that are not based on common law.
Basch & Rameh Advogados Associados | Brazil | 29 Jul 2020
The COVID-19 crisis has brusquely forced businesses and professionals to close offices and work from home. Luckily, the Brazilian government began implementing measures relating to electronic filings and electronic signatures approximately 20 years ago, all of which have made closing aircraft deals from home offices relatively easy. The Brazilian Aeronautical Registry has adjusted some of its......
Basch & Rameh Advogados Associados | Brazil | 10 Jun 2020
Brazil's airlines are now being subjected to a withholding tax that has not been charged on most leases for more than three decades. Airlines may be able to successfully challenge the legality of the withholding tax; however, this will require dedication of legal and administrative resources that might have been used elsewhere to fortify the airlines. In any event, under the final text of the......
Basch & Rameh Advogados Associados | Brazil | 19 May 2020
Ken Basch examines the relief measures offered to the Brazilian aviation sector during the COVID-19 pandemic.