ireland:the leading aircraft finance and leasing location
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Ireland: The Leading Aircraft Finance and Leasing Location
Ireland is the leading jurisdiction for the location of aircraft leasing companies and through which aircraft finance transactions are structured. For established lessors and new entrants, Ireland is the ideal place to build a successful business, with a progressive tax and legal framework for aircraft and engine financing and leasing.
Ireland’s Strengths • Highly regarded Irish Aviation Authority
– ensuring maintenance supervision to protect residual value and avoid risk of deregistration
• A Government committed to supporting the development of the aviation finance and leasing industry
• Access to experienced aviation professionals and service providers
• Contracting State to Cape Town Convention and Aircraft Protocol
• Headquarters to many top leasing companies
Industry Facts • Over EUR 83 billion of aircraft assets
are under management in Ireland.
• 7 out of top 10 aircraft lessors have operations in Ireland.
• Half of the world’s leased fleet of commercial aircraft are leased or managed through Ireland.
• Hundreds of foreign operated aircraft are registered with the Irish Aviation Authority operating in over 16 different countries.
Attractive tax environment Ireland offers a very attractive tax environment in which to carry on aviation leasing and financing business:
• Access to a wide double tax treaty network (over 69 signed treaties)
• A standard corporation tax rate of 12.5%
• No withholding tax on lease rental payments
• Straight-line tax depreciation of 12.5% over eight years
• 0% VAT on international aviation leasing
• No stamp duty or transfer taxes on the transfer of aircraft or aircraft parts
• Wide exemptions from withholding tax on interest and dividends
• Availability of flexible securitisation regime for holding aircraft and receivables
www.matheson.comDublin London New York Palo Alto
For more information, please see www.matheson.com or call +353 1 232 2000 and ask to speak to either of the following partners in our Aviation and Asset Finance Group:
Ireland: The Leading Aircraft Finance and Leasing Location
Why our clients choose Ireland Ireland’s attractive tax regime is a key factor for international lenders, investors and lessors looking to locate and structure aircraft and engine financing and leasing transactions.
Ireland’s other attributes include:
• Onshore status
• Ease of access to the EU and OECD
• A well-developed common law legal system
• Competitive business environment
• Incorporation of companies within five days
• Minimum capitalisation requirements (US $1 or EUR 1)
• English-speaking
Why our clients choose us The primary focus of Matheson is to serve the Irish legal needs of international companies and financial institutions doing business in and through Ireland. Our clients include over half of the Fortune 100 companies. We also advise 7 of the top 10 global technology brands and over half of the world’s 50 largest banks. We are headquartered in Dublin and also have offices in London, New York and Palo Alto. More than 600 people work across our four offices, including 75 partners and tax principals and over 350 legal and tax professionals. Our Aviation and Asset Finance Group is consistently recognised by clients and international independent legal directories as a leader in the field of aircraft finance and leasing. Our lawyers advise on the financing of hundreds of aircraft each year.
We advise our clients on a wide variety of leasing and financing structures that can be implemented in Ireland, including:
• Owner lessor structures
• Bankruptcy remote orphan vehicles
• Securitisation vehicles
• Private equity leasing structures
• Lease in/lease out structures for aircraft operated in jurisdictions such as Russia, Italy, India, Korea and China
www.matheson.comDublin London New York Palo Alto
Contacts
Chris Quinn
PARTNER
Gerry Thornton
PARTNER
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